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Macro economic situation upsetting: PHD Chamber

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Capital Market
Last Updated : Dec 30 2013 | 11:55 PM IST
Negative IIP growth rate and volatility in macro economic situation month after month is raising concerns. The pending and slower reforms outlook has impacted the industry growth prospectus and the situation is turning from bad to worse once again said Mr. Suman Jyoti Khaitan, President, PHD Chamber of Commerce & Industry.

Industry has posted a negative growth rate of (-) 1.8% in the month of October 2013 of which manufacturing sector has posted a negative growth rate of (-) 2%.

On the other hand, increase in CPI inflation month after month is also a major worry for industry as wage rates are already in the higher trajectory and with an increase in CPI inflation; labour may demand a rise in wage rates. An increase in wage rates spiral may again hit industry growth, going forward, said Mr. Khaitan

The CPI inflation stands at 11.24% in month of November 2013.

The industry chamber has urged the government to focus on economic reforms immediately and save the industry from decelerating growth trajectory and help industry to recover faster and enter sustainable and promising growth trajectory, said Mr. Suman Jyoti Khaitan, President, PHD Chamber of Commerce & Industry.

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First Published: Dec 30 2013 | 4:10 PM IST

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