look news india
Mumbai: The country’s business activity fell to a 14-month low in January this year, indicating a further slowdown in the country’s economic growth rate. HSBC’s composite primary S&P Global Purchasing Managers’ Index (PMI) of services and manufacturing for January fell to 59.20, the lowest level since November 2023.
It has been said in the report that the activities of the service sector, which plays an important role in the country’s economy, can be called a risk against the economic growth rate. However, due to business optimism, companies are maintaining strong growth in hiring.
For the current financial year, the government has estimated the economic growth rate to be 6.40 percent, which was eight percent more than the last financial year.
Last year the composite PMI for December was 59.20. A PMI above 50 is said to be expanding in that area. The country’s composite PMI has remained above 50 continuously for the last three and a half years.
The manufacturing sector remained strong in January, but service sector activity remained slow. The report said the primary index of the services sector fell to 56.80, a 26-month low.
The report said that activity in the manufacturing sector remains strong, while a slowdown in the services sector could be a matter of concern, as the services sector has been a significant contributor to the country’s economic growth. The manufacturing sector saw an increase in new orders. Export orders reached six-month high. Inflation pressure has increased in January. The report also said that inflationary pressures are more prevalent in the services sector than the manufacturing sector.