New Delhi, April 4 || The HSBC PMI Index for India’s services activity remained buoyant at 58.5 in March, which is well above its long-run average of 54.2 but a tad lower than February’s reading of 59, according to data released on Friday.
Meanwhile, the HSBC India Composite PMI Output Index increased to a 7-month high of 59.5, from 58.8 in February, to record another month of above-trend growth.
The 50.0 mark in the HSBC PMI index represents the crucial level that separates growth from contraction.
“Domestic and international demand remained fairly buoyant in March, despite being sequentially a tick lower than the month before," said Pranjul Bhandari, chief India economist at HSBC.
"Looking ahead, business sentiment remains generally positive, but intensifying competition presents a significant challenge to many survey participants," Bhandari said.
At the sub-sector level, there was a broad-based increase in business activity and sales, with finance and insurance exhibiting the strongest growth trends, followed by consumer services. Underlying data indicated that the slowdown in the growth of total new business reflected a weaker increase in international sales.