Flash data showed private-sector growth slowed as services PMI fell to 53.1, below a 58 forecast, while manufacturing eased to 53.9 despite stronger purchasing and rising inventories.
India’s HSBC Composite PMI fell to 54.3 in July 2026 from June’s final 57.1, the lowest reading since March 2022, as private-sector growth slowed sharply. The deceleration was led by services, where the flash PMI dropped to 53.1, well below a 58 forecast, though still signaling expansion. Manufacturing also softened modestly, with the HSBC Flash Manufacturing PMI slipping to 53.9 from 54.2, the weakest factory expansion since March. Despite the slower pace, manufacturers increased purchasing activity, supplier performance improved, input inventories and finished goods stocks rose, employment continued to grow, unfinished work increased, input cost and output price inflation accelerated, and business confidence strengthened from June.