New Delhi: Industrial production grew at 8.6% in February 2008, compared to 11% a year ago, but belied apprehensions of a major slowdown after dismal figures for the previous month, giving RBI some headroom to tighten money supply for combating the surging inflation.
Industrial growth, as measured by Index of Industrial Production (IIP), was much higher than 5.3% in January and even reversed the negative ouput growth witnessed in consumer durables goods.
For the first 11 months of last fiscal, industrial growth stood at 8.7% against 11.2% a year ago, according to figures released by the Government.
In February, electricity generation grew by 9.8% from a low of 3.3% a year-ago.
Manufacturing, which occupies the highest weight of around 80% in IIP, grew at 8.6% against 12% in February, 2007. It was higher than 5.9% in January.
However, consumer durable goods sector, which grew by negative 3.1% in January, rose by 3.3% in February against 1.8% a year-ago.
Mining output maintained growth rate of 7.5% in February this year.
For April-February 2007-08, electricity generation was 6.6% against 7.2% in the corresponding period of last year.
Manufacturing growth was 9.1% against 12.2%, but mining output expanded at higher pace of 5.1% against 5%.