Services activity remains strong at 60.5 in July: HSBC PMI

Services PMI for July

India’s services sector rose to an 11-month high at the start of the second quarter, with the HSBC Services Purchasing Managers’ Index (PMI) at 60.5 in July against 60.4 in June. This is the second consecutive month that the index has remained above the 60 mark, indicating a robust expansion.

While India continues to benefit from strong domestic demand, economists are warning that the 25 percent tariff plus Russia penalty imposed by the US could trim GDP growth by 10–30 basis points in FY26. The Indian economy is still projected to grow at more than 6 percent, slightly lower from earlier forecasts.

Despite the moderation, India is expected to retain its position as the fastest-growing major economy in the world.