India registers highest industrial production in May

India has registered the highest industrial production for May, in the last 12 months. High industrial production is achieved on the back of a statistical base effect and strong performance in manufacturing and electricity sectors.
 
Data released by the National Statistical Office (NSO) has shown the index of industrial production (IIP) rose an annual 19.6% in May, sharply higher than the downwardly revised 6.7% in April and lower than the 27.6% in May 2021. Growth in the April-May period was at 12.9% compared with an expansion of 67.3% in the year earlier period. The manufacturing sector rose 20.6% compared with an expansion of 32.1% in the year earlier period while the electricity sector shot up 23.5% during the month compared with a growth of 7.5% in May 2021. The mining sector rose 10.9% compared with a growth of 23.6% in May 2021-22. The data is nearly in line with PMI surveys, which have been showing a robust pick-up in the sector after the devastating impact of curbs imposed to prevent spread of Covid-19.
 
The high growth in industrial production is triggering hopes of a robust rebound in the crucial sector.