India’s services sector continues its robust growth trajectory, with the HSBC India Services Purchasing Managers’ Index (PMI) holding steady at 58 in the latest report. This figure signals sustained expansion amid favorable economic conditions.
The PMI reading above the 50 threshold indicates strong business activity, new orders, and employment growth. Service providers reported sharper increases in output and new business, driven by domestic and international demand. This resilience underscores the sector’s pivotal role in India’s economy.
Key highlights include the fastest pace of job creation in over a year and improved supplier delivery times. Despite rising input costs, firms passed on charges to clients, maintaining profitability. HSBC Chief Economist for India noted the sector’s strength as a positive indicator for GDP growth.
This performance bodes well for India’s post-pandemic recovery, highlighting services as a key growth driver. Investors and policymakers will watch upcoming data for sustained momentum in this critical economic pillar.