India’s private-sector growth rebounds in January as HSBC Flash Composite PMI rises to 59.5
A private survey showed India’s private-sector activity strengthened in January, with the HSBC Flash Composite Output Index rising to 59.5 from 57.8 in December, supported by faster new orders and improved output across manufacturing and services.
PMI signals stronger start to 2026
India’s private-sector activity improved in January, indicating a rebound after softer momentum at the end of 2025. The HSBC Flash Composite Output Index rose to 59.5 in January from 57.8 in December, reflecting faster expansion driven by demand and higher new business inflows.
The survey noted that growth picked up across both manufacturing and services. Respondents pointed to stronger order books and output, while forward-looking sentiment also improved as firms cited factors such as efficiency gains, supportive demand conditions and planned marketing spends.
Hiring and costs: what the survey flagged
The report indicated that hiring resumed in January after being flat earlier, suggesting companies were adding capacity to match demand. At the same time, input prices rose at their fastest pace in four months, signalling some cost pressure even as business conditions strengthened.
- Composite index: 59.5 in January vs 57.8 in December (above 50 indicates expansion).
- Growth supported by faster new orders and higher output across sectors.
- Hiring returned, while cost pressures rose compared with the previous month.
Economists will track whether the rebound sustains into the next quarter, especially as companies balance demand-driven expansion with input-cost movements and pricing decisions.