India’s core infrastructure output rises to 4-month high of 3.7% in December

India’s output of eight key infrastructure sectors grew 3.7% in December from a year earlier, government data showed on Tuesday, helped by strong growth in cement, steel and electricity production.

The index of eight core industries, which tracks coal, crude oil, natural gas, refinery products, fertilisers, steel, cement and electricity, had risen 2.1% in November.

The core sectors account for about 40% of the weight of the country’s industrial production index.

Cement output surged 13.5% in December, while steel production rose 6.9% and electricity generation increased 5.3%, according to data released by the government.

Coal production grew 3.6% during the month, while fertiliser output rose 4.1%.

On the other hand, crude oil production fell 5.6% from a year earlier, natural gas output declined 4.4%, and refinery products slipped 1.0%.

The cumulative growth rate of core sector output during April to December is 2.6% as compared to the corresponding period of the previous fiscal year, provisional data showed.

Over the same period, steel output rose 9.5% and cement production increased 8.8%, while coal output declined 0.7% and crude oil production fell 1.9%.

Aditi Nayar, Chief Economist, ICRA Ltd, said it expects the IIP growth to ease somewhat to about 4.5-5% in December 2025 from 6.7% in November 2025.