Factory output growth drops to 6-month low

• Investment demand relatively strong in February

- MUKESH JAGOTA

INDUSTRIAL OUTPUT IN February expanded at the slowest pace in six months at 2.9% on year, as growth in manufacturing and mining faltered, according to data released by the government on Friday.

The growth in Index of Industrial Production (IIP) was sharply lower than the revised figure of 5.2% in January. The manufacturing sector expanded just 2.9% from 5.8% in January and 4.9% in the corresponding month a year ago. The sector accounts for 77.6% of the index. The mining sector also experienced a significant decline.