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IIP Growth Slows to 1.5% in June 2025, a 10-Month Low

30 July 20251 min read
ECONOMYIIP Growth Slowsto 1.5% in June2025, a 10-MonthLow30 July 2025safalsetu.com

Why in the news

Industrial output growth, measured by the Index of Industrial Production (IIP), dropped to its weakest in ten months in June 2025.

Key facts

  • Figure: IIP growth of 1.5% in June 2025, the lowest in 10 months.
  • Cause: steep contractions in mining and electricity, which are heavily influenced by erratic monsoon weather.
  • Debate: the episode raises urgent questions about building climate risk into India’s economic data frameworks.

Exam angle

  • Indicator: Index of Industrial Production (IIP); month: June 2025; growth: 1.5%.
  • Sectors that contracted: mining and electricity.

Test yourself

1. What was India's IIP growth in June 2025?

IIP growth slowed to 1.5%, a 10-month low.

2. Which two sectors saw sharp contractions that pulled down IIP in June 2025?

Mining and electricity output fell sharply.

3. What factor was blamed for the weakness in mining and electricity output in June 2025?

Erratic monsoon activity hit these sectors.