The core infrastructure sector of has witnessed slowdown in the growth in the months of April-July. The sector recorded a growth of 3.7% in April-July 2008, as compared to 6.6 percent for the previos quarter. The growth of the core infrastructure sector contributes about 26.7% in the index of industrial production (IIP) of the country.

The core infrastructure industries are crude oil, electricity, petroleum refinery products, coal, finished steel and cement. The performance of the crude oil sector was in the negative at -3% in July 2008, against +0.9% for the same period last year.

The growth rate of the finished steel was also disappointing at 1.9% in July this year. The growth rate of electricity generation was down from previous year.