India Core Infrastructure Growth Slows to 4.8 Percent in August

The Ministry of Commerce and Industry reported that India's core infrastructure sector growth slowed to 4.8 percent in August, marking a three-month low. This figure represents a decrease from the revised 5 percent growth recorded in July, with the overall index falling to 119.2, a sequential decline of 1.32 percent.

The slowdown resulted primarily from a sharp drop in iron ore growth, which fell to 5.5 percent from 29.5 percent in July, and a 3.8 percent contraction in coal production. Other sectors experiencing contractions included natural gas, crude oil, and fertilizers.

Growth was partially offset by the electricity sector, which reached a 27-month high of 11.6 percent. Despite the August dip, the cumulative index grew 4.3 percent from April to August 2026, nearly doubling the 2.4 percent growth seen during the same period in the previous year.