India's Industrial Production Sees Slowdown in January

India's industrial production experienced a setback as growth decelerated to a three-month low of 4.8% in January, driven by underperformance in the manufacturing and mining sectors. The recent data from the National Statistics Office indicates a notable slowdown compared to the previous months.

The factory output, which is evaluated by the Index of Industrial Production (IIP), presented a contraction from the 5.2% growth reported in January 2025. December 2025's figures were also revised, indicating an 8% growth, a slight uptick from the initially estimated 7.8% in January 2026.

Despite the industrial challenges, power generation noted a significant upswing to 5.1% from the 2.4% seen last year. Among the industry's sectors, infrastructure and construction goods emerged as the leading contributors, while manufacturing showed mixed results.