24 Nov 2025, Mon

India’s core infrastructure sector is moving fast, growth at three months high level in June

India core infrastructure sector: India’s infrastructure sector is moving fast. In June 2025, the growth rate of eight core infrastructure sectors of the country reached a three -month high level 1.7 percent. According to the government data released on Monday, it is higher than the growth rate of 1.2 percent recorded in May 2025, but is less than the growth of 5 percent recorded in June 2024.

These five sectors- coal, crude oil, natural gas, fertilizer and electricity, which were recorded output negative in June. However, positive growth was recorded in the production of refinery products (3.4 percent), steel (9.3 percent) and cement (9.2 percent).

There was so much reduction in production

In the first (April-June) quarter of the financial year 2026, eight core sectors have gained 1.3 percent growth. Whereas in the same period last year, it was 6.2 percent. That is, growth has decreased compared to the last one year. Coal production has declined by 6.8 percent in June, while crude oil production has declined by 1.2 percent. The production of natural gas and fertilizer has declined by 2.8 percent and 1.2 percent respectively.

Production of five out of eight sector is reduced

According to the report of News18, ICRA Limited Chief Economist Aditi Nair said, even though the core production increased from 1.2 percent of May 2025 to 1.7 percent, it certainly remained slow and a decrease in production of five out of eight sectors. He further said, where the output of coal remained under pressure due to the elevated base, while the excess rainfall in the beginning of June 2025 affected the production of electricity.

These sectors performed well

He further said, encouraging the production of cement and steel sector gained 9.2-9.3 percent growth in June 2025. The growth of these sectors was good in the first quarter of FY 2026, which means that strong GVA growth will also be achieved in the construction sector. Economists estimate that this slow performance of infrastructure will affect the overall GDP growth in the first quarter of FY 26.

Also read:

Income Tax Bill 2025: Selection Committee Report presented in Lok Sabha, recommendation of several changes including TDS refund-Gupta donation

Source link

By Admin

Leave a Reply

Your email address will not be published. Required fields are marked *