India’s Services Sector Output Grows 13.5% in July, 17 of 19 Sectors Expand
- IBEF
- September 30, 2026
India’s services sector recorded broad-based growth in July 2026, with 17 of the 19 tracked sectors expanding, according to official data released by the Ministry of Statistics and Programme Implementation (MoSPI). According to CareEdge Ratings, services output grew 13.5% year-on-year in July, slightly higher than 13.2% in June. Ten of the 19 sectors recorded double-digit growth during the month. The 19 sectors covered under the trial Index of Services Production (ISP) account for around 60% of India’s services sector. Administrative and support services recorded the highest growth at 20.9%, followed by retail trade at 18.5% and real estate at 14.4%. Accommodation and food services grew 12.6%, while banking expanded 12.3%.
Real estate output grew 14.4% in July, moderating from 24.7% in June, while wholesale trade growth slowed to 12.1% from 15.1%. Telecommunications grew 11%, IT and computer-related services expanded 10.7%, and professional, scientific and technical services including research and development increased 10.4%. Road transport grew 9.9%, while water and railway transport increased 7.7% and 7.5%, respectively. Air transport declined 8.4% and repair services contracted 5% during the month. CareEdge Ratings expects the services sector to maintain its underlying strength, although external conditions, energy price volatility and supply-chain frictions could affect growth.
Disclaimer: This information has been collected through secondary research and IBEF is not responsible for any errors in the same.
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