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Stronger domestic demand to boost industrial growth in FY25: CRISIL
The Business Guardian
|July 17, 2024
Industrial activity in the current fiscal year is anticipated to gain momentum from an uptick in domestic consumption, as highlighted in a recent CRISIL report.
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This improvement follows a period of weakened private consumption, which had dipped to 4% last fiscal year. The normalization of the monsoon in July and increased kharif sowing are expected to boost agricultural output, easing food inflation and enhancing discretionary spending.
The Index of Industrial Production (IIP) showed a significant rise of 5.9% year-on-year in May, up from 5.0% in April, indicating a healthy surge in industrial activity. This growth was primarily driven by higher outputs in manufacturing and electricity, despite a slight slowdown in mining output growth. Consumption-oriented sectors were the main drivers of this increase in May, although growth in infrastructure and investment-related goods decelerated.
Dit verhaal komt uit de July 17, 2024-editie van The Business Guardian.
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