India's Output Index dips slightly in March, but private sector sees strong growth: HSBC PMI

India's private sector continued its strong growth momentum in March, though at a slightly slower pace compared to February, according to the latest HSBC Flash India PMI data.

- TBG NETWORK

The HSBC Flash India Composite Output Index, which tracks the month-on-month change in the output of the country's manufacturing and service sectors, declined marginally from 58.8 in February to 58.6 in March.

Despite this slight dip, the latest reading remained well above its long-run average of 54.7, indicating a sharp expansion in business activity. The slowdown was primarily due to a softer increase in services activity, while factory production picked up significantly, growing at the fastest pace since July 2024. It said "the combined output of India's manufacturing and service sectors - was down marginally from February's final reading of 58.8 to 58.6 in March".