India Services PMI Revised Downward

The HSBC India Services PMI was revised lower to 62.5 in August 2025, down from the preliminary estimate of 65.6 and below market expectations of 65. However, the latest figure remained above the final reading of 60.5 in July, marking the strongest expansion in the services sector since June 2010, as both new orders and output rose at the fastest pace since mid-2010. Foreign sales also increased, registering the third-strongest rise since the series began in September 2014. Employment climbed moderately, driven by an increase in part-time recruitment. On the price front, input costs continued to rise, while selling prices surged at the steepest rate in over 13 years, as firms passed higher expenses on to clients. Looking ahead, business sentiment strengthened to a five-month high, supported by increased budget allocations for advertising and expectations of sustained demand.