Industrial output down, inflation at 5.05 percent

It is expected that the RBI would cut rates in the coming monetary policy review

GN Bureau | September 14, 2016


#monetary policy review   #rate cut   #RBI   #inflation   #Industrial output  


 India’s industrial output declined by 2.4 percent in the month of July after it had climbed 1.95 percent the month before. However, the government data also showed a slower inflation at 5.05 percent in August; the RBI has set a target of 5 percent retail inflation by March 2017. 

The dip in inflation is mainly because of a steep fall in food inflation –  from 8.35 percent in July to 5.91 in percent August. 
 
The reason behind fall in industrial output was primarily due to dip in production in the manufacturing sector, which forms a major portion of the IIP (index of industrial production) – it declined by 3.4 percent in July. 
 
Both these events are expected to push the apex bank to cut rates at the next monetary policy review scheduled on October 4.
 

Comments

 

Other News

HAL units can’t be allowed to be idle: Bhamre

 Minister of state for defence Subhash Bhamre has assured Hindustan Aeronautics Ltd (HAL) that work load for its Nashik unit will continue to flow even after Su-MKI manufacturing and production activities conclude in the next few years.  “HAL has the world class facilities and giv

INS Kalvari dedicated to the nation by PM

 Naval submarine INS Kalvari was dedicated to the nation by prime minister Narendra Modi on Thursday in Mumbai. INS Kalvari is a diesel-electric attack submarine built by the Mazagon Dock Shipbuilders Ltd for the Indian Navy. As per the plan, five more such submarines would be inducted into

Gujarat decides

People queued up since early morning to cast their ballot to decide the political fate of 851 candidates in the second and final phase of the bitterly fought Gujarat assembly elections. The votes in all the 182 seats will be counted on December 18. Over 22 million people are eligible to cast

Delhi’s air pollution answer may lie in distant Iceland

Had the situation not been so desperate, then the AAP government’s proposal to sprinkle water from helicopters would have been considered hare-brained. But, a more practical solution to tackling air pollution may well be around the corner and it lies in the success of a pilot project in Iceland.

Would demonetisation and GST have an impact on the Gujarat elections?

Would demonetisation and GST have an impact on the Gujarat elections?

By 2022, 37% of workforce would be employed in new job roles: Report

 In the organized manufacturing and service sector, employment is expected to increase from the current 38 million to 46-48 million by 2022, a new study has found.  All the new forms of employment are expected to add a further 20% - 25% to the workforce of the current defined “or



Video

NGT clarifies on amarnat issue, holy cave in not silent zone

Current Issue

Opinion

Facebook    Twitter    Google Plus    Linkedin    Subscribe Newsletter

Twitter