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Growth in the Index of Industrial Production surged to a 25-month high of 6.7% in November 2025, driven by a broad-based improvement led by the manufacturing and capital goods sectors, data released by the government on Monday (December 29, 2025) shows.
The data released by the Ministry of Statistics and Programme Implementation showed that the IIP’s growth in November 2025 was last outpaced by the 11.9% seen in October 2023.
“While the year-on-year growth in the IIP surged to a 25-month high of 6.7% in November 2025 from 0.5% in October 2025, this upswing largely reflects the shift in the festive calendar, restocking after the festive season sales, as well as some normalisation in activity across the mining and electricity segments following the excess unseasonal rains in the previous month,” Aditi Nayar, Chief Economist at ICRA Ltd. said.
Ms. Nayar added that, despite the demand boost spurred by the GST rate rationalisation in September, IIP growth averaged 3.6% during October-November 2025, lower than the 4.3% expansion seen in the July-September 2025 quarter.
Within the Index, the manufacturing sector too saw November 2025 growth accelerating to a 25-month high of 8%. Notably, this was on a relatively high base of 5% growth in November 2024. It was also significantly faster than the 1.8% growth recorded in October 2025.
The infrastructure and construction sector grew at 12.1% in November 2025, the fastest since October 2023, and also on a strong base of 8% in November last year.
Buoyed by the relatively strong performances of the manufacturing and construction sectors, the capital goods sector saw growth quicken to an 11-month high of 10.4% in November 2025.
The mining sector saw growth accelerating to a three-month high of 5.4% in November 2025, following two months of contractions. The electricity sector was the only one to record a contraction, of 1.5%, in November 2025, down from a growth of 4.4% in November last year.
Notably, both consumer durables and consumer non-durables sectors witnessed a rebound in growth in November 2025, growing 10.3% and 7.3%, respectively. This was a 12-month and 25-month high for the two sectors, respectively.
Published – December 29, 2025 05:02 pm IST
