CHENNAI: The index of eight core industries (ICI) grew at a three-month high of 7.4% on year-on-year(YoY) basis in December 2022, as against 5.7% a month-ago. In December 2021, it had grown 4.1% on yearly basis. The surge was recorded because of increase in production of coal, electricity, steel, cement, fertilizers, refinery products and natural gas increased in December 2022 over the corresponding month of last year.
Meanwhile, the final growth rate of ICI for September 2022 was revised to 8.3% from its provisional level of 7.9 %. The cumulative growth rate of ICI during April-December 2022 was 8% (provisional) as compared to the corresponding period of last year, the statement added.
Crude oil output declined 1.2% YoY in December 2022. This is the seventh successive month of output contraction in crude oil. The output of natural gas and refinery products reversed the contractionary trend of past few months and grew 2.6% and 3.7% YoY, respectively in December 2022 (November 2022: negative 0.7%, negative 9.3%). Coal, electricity and steel recorded a healthy YoY growth of 11.9%, 10% and 9.2%, respectively.
“…the notable feature of December 2022 core data is that the output of all the sectors are now higher than the pre-COVID level (February 2020). The output of the eight core sector stood 13.6% higher than the pre-COVID level. Even the momentum (month-on-month seasonally adjusted) was at a 10-month high of 3.2% in December 2022, up from 2.5% in the previous month,” Dr Sunil Sinha, Principal Economist, India Ratings and Research said.
Fiscal deficit
Meanwhile, India’s fiscal deficit in April-December period expanded to 59.8% of annual estimates at Rs 9.96 lakh crore from 50.4% in the corresponding period of last year, as per the government data. Total receipts were recorded at Rs 18.25 lakh crore, while overall expenditure during April-December stood at Rs 28.18 lakh crore.
Fiscal deficit expands to 59.8% in Apr-Dec period
Fiscal deficit in April-December period expanded to 59.8% of annual estimates at Rs 9.96 lakh crore from 50.4% in the corresponding period of last year, as per the government data. Total receipts recorded at Rs 18.25 lakh crore, while overall expenditure stood at Rs 28.18 lakh crore