Comments on IIP data - Harsh Pati Singhania - President, International Chamber of Commerce, India & Director, JK Organisation

The negative IIP growth data should be seen in the context of poor performance of mining and capital goods sector. However, it would be wrong to compare this with October IIP figures of 8% growth. They were on the back of the festival season run up and a low base effect.

Nonetheless, the November figures indicate a continuing weakness in the economy. Perhaps it is time for RBI to take decisive steps towards easing of monetary policy in its forthcoming Quarterly review in January 2013 so as to boost consumer and investment demand.

Source : Equity Bulls

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