Strong export orders drive May providers PMI to three-month excessive of 58.8 -OxBig News Network

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| Photo Credit: V. Raju

India’s providers sector exercise rose marginally to a three-month excessive in May 2025, pushed by sturdy exports, in keeping with a personal sector survey.

The HSBC India Services PMI® Business Activity Index for May got here in at 58.8, up from 58.7 in April. The studying for May marks the second consecutive month of elevated exercise. A studying above 50 denotes an enlargement in exercise, whereas one under 50 implies a contraction.

Also learn | India-Pakistan conflict, inflation drag May PMI to three-month low of 57.6

“A key area of strength was exports, with survey participants reporting one of the strongest improvements in international demand in 19-and-a-half years of data collection,” the report stated. 

The report additional stated that May’s survey additionally revealed a report enhance in employment, as providers companies continued to regulate their working capacities according to ongoing will increase in gross sales.

“To keep up with swelling demand, India’s service providers heavily increased staff recruitment,” Pranjul Bhandari, Chief India Economist at HSBC stated. “Indeed, the employment index rose to the highest reading ever recorded by this survey. Meanwhile, price pressures continued to intensify with input prices and charged prices both rising last month.”

The uptick in providers exercise comes at a time when the May PMI for manufacturing fell to a three-month low, dragged down by the India-Pakistan battle and value inflation.