New Delhi: The growth rate of eight of core industries rose to four-month high of 6.3 percent in October on the back of better output in coal, refinery products and electricity, a positive news ahead of the RBI's monetary policy review Tuesday.
The eight core industries -- coal, crude oil, natural gas, refinery products, fertiliser, steel, cement and electricity -- had shrunk by 0.1 percent in October last year.
The growth rate was 1.9 percent in September this year.
The core sector contributes 38 percent in the overall industrial production, a parameter that RBI takes into account while framing its monetary policy.
The Reserve Bank of India (RBI) is expected to hold interest rate at 8 percent in its fifth bi-monthly monetary policy review on Tuesday.
The industry has been demanding a rate cut to push the economic growth, which has slowed to 5.3 percent in September quarter from 5.7 percent in the three months to June 2014.
Production in coal, refinery products and electricity registered a growth of 16.2 percent, 4.2 percent and 13.2 percent, respectively in October, as per the data released by the Commerce and Industry Ministry.
Growth in coal and refinery products had declined by 3.5 percent and 5 percent, respectively in October 2013 while growth in power generation was only 1.3 percent.
Expansion in crude oil and steel production was 1 percent and 2.3 percent respectively in October. The growth in the two sectors was slower than the previous month.
During April-October, the eight sectors grew by 4.3 percent as against 4.2 percent in the same period last year.
