PMI services recovers from 5-mth low
HSBC India Services PMI rose to 60.5 in June from a five-month low of 60.2 in May
Expansion In Output
- Demand strength
- Rising intakes of new biz
- New orders
- Jobs generation at 2-yr high
New Delhi: India’s services sector growth quickened in June from May’s five-month low, amid a stronger rise in new orders, record rise in export orders, and an unprecedented expansion in international sales, a monthly survey said on Wednesday. The strong demand also led to service providers hiring more staff with the pace of job creation touching a two-year high.
The seasonally adjusted HSBC India Services Business Activity Index rose from 60.2 in May to 60.5 in June, pointing to a sharp expansion in output. In the Purchasing Managers’ Index (PMI) parlance, a print above 50 means expansion, while a score below 50 denotes contraction.
“Activity growth in India’s service sector accelerated in June, with the index rising by 0.3 ppt (percentage point) to 60.5, led by an increase in both domestic and international new orders. This encouraged services firms to increase their staffing levels at the fastest pace since August 2022,” said Pranjul Bhandari, Chief India Economist at HSBC.