नवीनतम
India's services sector booms with robust growth in Feb
NEW DELHI [Maha Media]: In February, the HSBC India Services PMI surged to 59.0, signaling marked growth in the services sector compared to January's 26-month low of 56.5. This upturn was driven by rising demand both within India and internationally, resulting in new orders, job creation, and vibrant business activity.
The expansion was significantly above long-term averages, fueled by heightened productivity and a surge in new business orders. February witnessed faster growth in new orders compared to January, thanks in part to robust international demand. Export gains were reported from regions including Africa, Asia, Europe, the Americas, and the Middle East, helping to alleviate capacity strains.
Employment growth in the services sector was one of the most rapid since data collection began in December 2005, with both full-time and part-time hirings. Despite increased hiring and higher costs for food, materials, and packaging, overall cost inflation receded to a four-month low.
While the rates of selling prices for goods and services climbed to a three-month peak, reflecting businesses transferring additional costs to customers, the HSBC India Composite Output Index rose to 58.8 in February from 57.7 in January, illustrating stronger growth in the private sector.
Pranjul Bhandari, Chief India Economist at HSBC, noted, "The services business activity index ascended notably in February, catalyzed by global demand at its highest in six months, as recorded by the new export business index." However, despite this growth, business sentiment showed a marginal decline, reaching its lowest since August 2024.
Advertising, customer relations improvements, and efficiency enhancements sustained business confidence at a positive level, though concerns about cost pressures and future demand led to a dip in sentiment to a six-month low. Among the service sectors, Consumer Services experienced the greatest cost pressures, while Transport, Information & Communication businesses recorded notable increases in selling prices.
