Economy continues to be disappointing: FM

The Union Finance Minister P. Chidambaram responding to the quick estimates of IIP for the month of July, 2012 which came at 0.1%, as against 3.1%.

Finance Minister said that these IIP estimates reveal that the performance of the economy continues to be disappointing.

Only 8 industry groups out of 22 have shown positive growth.

While the General Index for July, 2012 (over July, 2011) is positive at 0.1, it is too early to claim that this is a sign of a turn around , the Minister added.

The sector-wise performance reveals a mixed picture. The Finance Minister said that there are gains in some areas like manufacturing, capital goods but there are slippages in some other areas which includes electricity, consumer goods.

However, there is no clear pattern yet, he added. Analysts were largely expecting the IIP figure to come in at 0.3%.

GoodReturns.in