New Delhi: A survey by HSBC has indicated a slowdown in the growth of services sector in India, its weakest rate in three months in August as firms' order books filled up at a slower pace.
The HSBC Services Purchasing Managers' Index (PMI), compiled by Markit, dropped to 50.6 in August as against 52.2 in July. The index is calculated on the basis of response received from 350 purchasing managers of private companies. These companies comprise hotels & restaurants, transport & storage, financial intermediation, renting & business activities, post & telecommunication and other services. Index above 50 reflects expansion while below 50 means contraction.
Since, the index was above 50, it mean expansion for fourth consecutive months. Among various sectors, the Post & Telecom firms showed best growth, while Hotel & Restaurants reported reduction.
