The final India Services Purchasing Managers’ Index (PMI) for December 2024 rose to 59.3 points, an increase from 58.4 points recorded in November.
According to the HSBC Final India Services PMI, compiled by S&P Global, India’s manufacturing PMI for December 2024 slipped to a 12-month low at 56.4.
Advertisement
The drop was attributed to softer rates of expansion in production and fresh business orders. The lowest manufacturing PMI in 2024 earlier had been observed in November and January 2024, at 56.5.
The slight dip in services PMI was observed in November, when the PMI fell to 58.4 from 58.5 in October, but it did not deter the sector’s overall momentum. The HSBC Final India PMI, also reflected positive trends during this period, highlighting growth in both hiring and sales.
Ines Lam, economist at HSBC said that India’s services companies expressed strong optimism in December as business activity growth surged to a four-month high. Forward-looking indicators such as new business and future activity suggested that the strong performance will likely continue in the near future.
Among sectors, Finance & Insurance registered by far the strongest increases in both new orders and business activity.
On the employment front, the survey noted that the combination of new business growth, upbeat forecasts and rising capacity pressures supported another round of job creation across the service economy.
