India's Services Sector Keeps Momentum, Sees Record Employment Growth Amid Strong Demand

India's burgeoning services sector continued its growth streak, albeit slightly, in May 2025. The HSBC India Services PMI edged up to 58.8 from April's 58.7, signaling continued expansion, as reported by a monthly survey of approximately 400 service companies.

The index's consistent reading above the 50 mark reflects substantial demand, both locally and internationally. A significant rise in international orders was recorded, particularly from Asia, Europe, and North America, marking one of the most significant improvements in the survey's history.

Strengthened by robust demand, companies responded with a surge in hiring to manage increased workloads, leading to record employment growth. Rejuvenated business confidence, backed by improved staffing and client expansion, sets an optimistic tone for future growth in India's services economy.

(With inputs from agencies.)