The output of eight core industries grew 2.2 per cent in January compared with the same month last year. The higher output came on the back of more coal, refinery output and electricity production during the period under review, according to data released by the Ministry of Commerce.
According to CARE Ratings, electricity production witnessed a trend reversal and grew by 2.8 per cent against the sustained contraction seen in the previous 5 months. It was also higher than the 0.8 per cent growth in January 2019.
“Two back to back higher numbers, after four months of abysmal performance, gives us the confidence that economic scenario is turning on the road of recovery,” said Devarsh Vakil- Head, Advisory (Private Client Group), HDFC Securities.
