Strong manufacturing growth lifts India's private sector in February, PMI shows
- IBEF
- February 23, 2026
The private sector in India registered strong growth in February, led mainly by the manufacturing sector, as indicated by the Purchasing Managers’ Index (PMI). The PMI data showed that there was growth in production, new orders, and business confidence, due to the rising domestic demand and improved market conditions. The manufacturing sector registered strong growth, with companies indicating higher production and employment, which is a positive sign of the continued growth in the industrial sector. The services sector also registered growth, which contributed to the overall growth in private sector activity. The continued improvement in business conditions shows that the Indian economy remains resilient in the face of changing global uncertainties.
The increase in PMI also reflects the improvement in demand conditions and capacity utilisation, thus encouraging companies to expand their operations and investments. The Companies reported increased input purchases of input and inventory build-up to satisfy the rising demand, while the employment levels increased to support the expanded output. The positive development is attributed to the support of favorable policy environments, the development of infrastructure, and strong consumption trends. Analysts pointed out that the growth in the manufacturing and services sectors is expected to support the economic outlook for India in the coming months. With the improvement in business sentiment and the continuous expansion of private sector activity, India is poised to continue with steady economic 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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