Indian Private Sector Growth Strongest In 14 Months

(RTTNews) - India's private sector activity expanded at the quickest pace in more than a year in June amid a record upturn in international sales, flash data compiled by S&P Global showed on Monday.

The HSBC composite output index rose to 61.0 in June from 59.3 in May. A score above 50.0 indicates expansion. The expected scor was 59.4.

Manufacturers led the upturn in business activity, though growth also picked up pace in the service economy, the survey said.

The manufacturing PMI climbed to 58.4 in June from 57.6 in the previous month, signaling the best improvement in operating conditions since April 2024.

The services purchasing manager's index rose to 60.7 in June from 58.8 in May.

New export orders received by Indian private sector firms grew at the fastest pace since comparable data became available in September 2014 amid stronger demand from Asia, Europe, the Middle East, and the Americas.

Meanwhile, capacity pressures intensified among Indian companies as outstanding business volumes rose at a faster pace compared to May.

Companies were prompted to add additional workforce numbers in June due to the combined effects of demand strength and rising backlogs.

On the price front, input price inflation eased to a 10-month low as slower increases were noted in both the manufacturing and service economies. Similarly, selling price inflation retreated from May's six-month high.