New Delhi, Apr 11 (UNI) India's factory output measured in terms of Index on Industrial Production (IIP) grew at 2.9% year-on-year (YoY) in February 2025 as compared to 5% rise in the previous month, as per official data released on Friday.

Ministry of Statistics & Programme Implementation (MoSPI) data showed mining sector output rose by 1.6% in the month of February this year while manufacturing sector activity expanded at 2.9% during this period.

Electricity sector output rose by 3.6% during the month under review.

"The Quick Estimates of IIP stands at 151.3 against 147.1 in February 2024. The Indices of Industrial Production for the mining, manufacturing and electricity sectors for the month of February 2025 stand at 141.9, 148.6 and 194.0 respectively," MoSPI said.

Commenting on IIP numbers, ICRA chief economist Aditi Nayar said that the deceleration in the month of February this year was broad-based, with all the use-based categories, as well as two of the three sectors barring electricity, witnessing a slower growth in February 2025 vis-à-vis the previous month.

"Following the base effect induced slowdown in February 2025, the YoY performance of most of the available high frequency indicators improved in March 2025, including electricity generation and the mobility and transport-related indicators, such as GST e-way bill generation, port cargo traffic, diesel consumption, petrol consumption, and vehicle registrations. While steel consumption declined in March 2025, this was dampened by a high base," she said.

ICRA expects the IIP growth to print at 3% in March 2025, similar to the levels seen in February 2025.

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