Industrial production slipped by 0.5% in January 2009 despite stimulus packages declared by the administration to defend against the impact of worldwide slump.

This is the third time repeatedly where IIP contracted during this fiscal.

IIP grew by 6.2% during the corresponding period a year ago.

Manufacturing, which declined 0.8%, led the reduction in industrial production, which was being followed by mining output, which declined by 0.4%.

But, electricity generation increased 1.8% in January 2009.

According to official projection, industrial growth is figured at 4.8% for 2008-09.

For the first 10 months of this fiscal, the industrial growth was 3% that might make the official projection of overall economic growth i.e. gross domestic product (GDP) of 7.1% for 2008-09 quite difficult.