Services PMI registers the strongest growth in 13.5 years, rising to 61.2 in March.

In March, India's services sector witnessed remarkable growth, marking one of its strongest expansions in over 13.5 years. The HSBC India Services Business Activity Index rose from 60.6 to 61.2, signalling robust demand driving sales and business activity. New order intakes surged, with the export business experiencing its fastest growth since September 2014. Despite heightened pressure on capacities, companies have increased hiring quickly since August 2023, reflecting optimism in the market. However, rising price pressures were noted, with input costs and output charges increasing notably.

Looking ahead, services companies anticipate continued favourable demand trends, with marketing efforts seen as growth opportunities. Yet, concerns persist regarding competitive pressures. Despite challenges, the sector remains resilient, navigating through price pressures while capitalizing on emerging opportunities for expansion.

Disclaimer: This information has been collected through secondary research and IBEF is not responsible for any errors in the same.