India Services growth subdued despite spike
(11:28, 03 Sep 2026)
India’s services sector saw an improvement in business activity in August, with the HSBC India Services PMI Business Activity Index rising to 54.1 from 53.3 in July. Despite this increase, the growth was among the weakest in over four years and remained below the long-run average of 54.5. New business inflows strengthened due to customer demand and marketing efforts, while international demand held steady, and new export orders rose at the same pace as in July. Employment rose to a 15-month high as companies hired to enhance customer service and digital operations. The HSBC India Composite PMI Output Index stayed at 54.3, indicating moderate private-sector growth. Aggregate employment increased significantly, and input cost inflation dropped to a seven-month low, though charge inflation picked up to its highest level since April.