Private sector activity hits 3-month high of 61.4 in July

India's private sector activity surged to a three-month high in July, driven by strong manufacturing and service sectors, according to the HSBC Flash India Composite Output Index which reached 61.4. This positive trend marked 36 consecutive months of expansion. Backlogs of work increased, leading to the best employment growth in over 18 years. Inflation remained a concern with rising input costs for materials like coal and steel, and essentials such as eggs and vegetables. New orders and favorable market conditions further bolstered the sector's performance.