New Delhi: The HSBC India Services Purchasing Managers’ Index (PMI), compiled by S&P Global eased in January. At 56.5 in January, the seasonally adjusted HSBC India Services PMI Business Activity Index indicated a sharp rate of expansion. However, the headline figure was down from 59.3 in December to its lowest level since November 2022.
A reading of 50 separates expansion from contraction. The HSBC Global India Services PMI is compiled from responses to questionnaires sent to about 400 service sector companies. The PMI data is an indicator of the health of the economy.
Also Read: UAE authority announces road closure for 5 days
The services sector is a cornerstone of India’s economy. The services sector contributes more than half of the country’s gross domestic product, or GDP. India’s services sector is one of the fastest growing in the world. December saw higher demand for Indian services from clients based in Australia, Canada, Europe, the Middle East and South America.
The HSBC India Composite Output Index fell from 59.2 in December to a 14-month low of 57.7.