The Indian Industrial Production (IIP) numbers will be released today, for the month of September, and is expected to show a temporary rebound in the industry, mainly due to seasonality. Prime minister''s Economic Advisory Council member Saumitra Chaudhuri said, "I expect the industrial growth for September to be around 6%. The 1.3% growth in August was an aberration. I believe the growth is healthy, even though moderate."
Over the past few months, the industry has borne the brunt of the meltdown, but the IIP for September could bring in some respite, though for a brief time period. After a sharp dip in growth in August, the IIP is expected to rebound marginally in September to an estimated 3.2 per cent. However, some economists predict an upward surprise pegging growth at over five per cent, hoping that a seasonal revival in sectors like commercial vehicles and cement will push growth.
They feel that this would help to maintain the growth forecast. While Morgan Stanley estimates that growth in the financial year, 2010 will dip to 5.7 per cent, Goldman Sachs, too, mirrors those projections. Moreover, ratings agency Fitch also expects growth to slip below 6 per cent.
Over the past few months, the industry has borne the brunt of the meltdown, but the IIP for September could bring in some respite, though for a brief time period. After a sharp dip in growth in August, the IIP is expected to rebound marginally in September to an estimated 3.2 per cent. However, some economists predict an upward surprise pegging growth at over five per cent, hoping that a seasonal revival in sectors like commercial vehicles and cement will push growth.
They feel that this would help to maintain the growth forecast. While Morgan Stanley estimates that growth in the financial year, 2010 will dip to 5.7 per cent, Goldman Sachs, too, mirrors those projections. Moreover, ratings agency Fitch also expects growth to slip below 6 per cent.
No comments:
Post a Comment