Growth of India’s services sector eases in September

The growth of India’s services sector eased in September from the recent high in August, as new business and activity expanded at slower rates, according to a monthly survey released on Monday.

- OUR CORRESPONDENT

The seasonally adjusted HSBC India Services Purchasing Managers’ Index (PMI) Business Activity Index fell to 60.9 in September, from a 15-year high of 62.9 in August, amid competitive conditions and cost-control measures.

Notwithstanding the moderation, the September Services PMI index was well above the neutral mark of 50.0 to signal another substantial upturn in output. “Business activity in India’s services sector eased in September from the recent high August level. Most trackers moderated, but nothing in the survey suggested there is a big loss in growth momentum in services,’ said Pranjul Bhandari, Chief India Economist at HSBC.

As per the survey, part of the slowdown reflected softer improvements in international demand for Indian services.