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StatsGuru: India's economic indicators suggest a mixed picture

Within IIP, the capital goods sub-index has contracted for seven continuous months, suggesting investment demand continues to be weak

While headline gross domestic product numbers suggest a recovery is underway, other macroeconomic indicators paint a mixed picture. As shown in Table 1, the Index of Industrial Production (IIP) grew by only 1.2 per cent in May, dragged down by the manufacturing sector. Over the April to May period, IIP has, in fact, contracted by 0.1 per cent. Within IIP, the capital goods sub-index has contracted for seven continuous months, suggesting investment demand continues to be weak. And, while the consumer durables segment has witnessed healthy growth, the contraction in the non-durables segment, ...