Growth in India's services sector slowed to its weakest pace since November 2023, according to the HSBC India Services PMI report released on Friday.
While the sector continued to expand at historically strong rates, the index dipped from 60.9 in August to 57.7 in September, remaining above the neutral 50.0 mark that separates growth from contraction.
The survey, compiled by S&P Global, highlighted that the slowdown in services growth was driven by softer increases in new business, international sales, and output.
Despite this moderation, the sector's overall performance remained robust.
Meanwhile, India's manufacturing sector also saw a decline for the second consecutive month in September. The average PMI reading for the sector fell to its lowest level since the quarter ending December 2023.
The slowdown in manufacturing was attributed to intense competition and a weaker rise in new export orders, with growth momentum hampered despite positive demand trends.
