IIP contracts 0.1% in March as manufacturing sector growth slows down

This might pull down the growth of GDP in FY19, other things remaining the same

Industrial production in volume terms declined in March for the first time in 21 months — by 0.1 per cent — against a growth rate 0.1 per cent in the previous month as manufacturing continued to contract for the second month in a row and mining growth was muted.

This might pull down the growth of gross domestic product (GDP) in FY19, other things remaining the same.

In manufacturing, capital goods production continued to fall, which will affect economic growth. Besides, intermediate goods saw a decline for the second consecutive month while consumer durables showed a contraction in March against slight expansion