InvestorQ : Why is the Index of industrial production so weak and what happened to inflation?
Rutuja Nigam made post

Why is the Index of industrial production so weak and what happened to inflation?

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diksha shah answered.
11 months ago
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Despite being shut down for just one week in March, the IIP for the month of March 2020 came in at (-16.7%), which is much worse than anticipated. This is an all-time low. The negative IIP was triggered by deep cuts in manufacturing and in electricity generation with mining almost flat in March. However, early indications of weak IIP were there in the core sector number which constitutes over 42% of IIP. In a surprising move, the government did not announce the CPI inflation rate for the month of April due to limited economic activity and lack of credible data points. This could also be an indication that the government may even skip announcing IIP for April when it is due in the month of June.

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