Services sector activity rises to a three-month high

Tepid expansion India's services sector activity rose slightly in May compared to the previous month.

- Rhik Kundu

India's services sector output rose to a three-month high in May, driven by strong export growth, even as the pace of new business and activity remained largely unchanged from levels in the previous three months.

The seasonally adjusted HSBC India Services PMI Business Activity Index, compiled by S&P Global, edged up to 58.8 in May from 58.7 in April and 58.5 in March, staying well above the 50-mark that indicates expansion. However, it was still below February's 59.