August 22, 2025
Hold tight! India's private sector just broke records in August, racing ahead at the fastest pace since the survey started in 2005. Thanks to a massive surge in demand, especially from the services sector, businesses are growing big time and prices are soaring like fireworks! The HSBC flash India Composite Purchasing Managers' Index (PMI), made by S&P Global, jumped to a stunning 65.2 in August from 61.1 in July, beating the expected 60.5 by a mile. Anything above 50 means the economy is growing, and India has now seen 49 months in a row of growth. What's driving this rocket-like climb? New orders exploded to levels not seen in nearly 18 years! Even exports are riding high with the fastest growth since 2014, showing the world just how strong India's businesses have become. The services sector led the parade at a record 65.6, while manufacturing also flexed its muscles with a PMI of 59.8, the highest since January 2008. Jobs are booming too, with the quickest rise in hiring since June, but all this hustle is pushing companies to raise prices. With rising wages and raw material costs, businesses are charging customers more - the fastest price hikes since February 2013! This means inflation could heat up, likely making the Reserve Bank of India (RBI) think twice before cutting interest rates anytime soon. Still, optimism is shining bright as companies feel confident about the year ahead—the strongest sentiment since March. So buckle up, India’s economic engine is roaring, and the RBI’s next moves will be watched closely by all of us!
Tags: India economy, Pmi august 2023, Hsbc survey, Services sector growth, Manufacturing boom, Rbi policy,
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