Growth in India's dominant services industry continued to lose momentum in December as a resurgence in coronavirus infections weighed on new business and employment, a private survey showed on Wednesday.
India s services sector loses momentum; PMI falls to 52.3 in Dec vs 53.7 in Nov
The Nikkei/IHS Markit Services Purchasing Managers Index fell to 52.3 in December from November s 53.7 but held above the 50-mark separating growth from contraction for a third straight month
Reuters | January 6, 2021 | Updated 11:24 IST
Growth in India s dominant services industry continued to lose momentum in December as a resurgence in coronavirus infections weighed on new business and employment, a private survey showed on Wednesday. Asia s third-largest economy has been gradually recovering from a coronavirus-induced recession but is not expected to return to pre-pandemic levels soon, especially within the service industry - the engine of economic growth and jobs in the country.
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BENGALURU: Growth in India s dominant services industry continued to lose momentum in December as a resurgence in coronavirus infections weighed on new business and employment, a private survey showed on Wednesday.
Asia s third-largest economy has been gradually recovering from a coronavirus-induced recession but is not expected to return to pre-pandemic levels soon, especially within the service industry - the engine of economic growth and jobs in the country.
The Nikkei/IHS Markit Services Purchasing Managers Index fell to 52.3 in December from November s 53.7, but held above the 50-mark separating growth from contraction for a third straight month. A spike in Covid-19 cases was reported as a key factor restricting growth of new work intakes among service providers, which in turn curbed the rise in output and led to increased business uncertainty about the outlook, Pollyanna De Lima, economics associate director at IHS Markit, said in a release.
Service activity slows in December, PMI at 3-month low
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Synopsis
The IHS Markit India Services Business Activity Index dropped to 52.3 in December from 53.7 in November.
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Job market conditions darkened, slipping back into contraction, although the pace of job shedding remained minimal.
NEW DELHI: India’s services activity slowed to a three-month low level in December and staff hiring came to a halt on liquidity concerns, labour shortages and subdued demand as business optimism faded, a private survey showed on Wednesday.
The IHS Markit India Services Business Activity Index dropped to 52.3 in December from 53.7 in November.
A reading above 50 indicates expansion while below that signals contraction.
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Services activity, new business expand at slower rates in Dec: IHS Markit ANI | Updated: Jan 06, 2021 13:42 IST
New Delhi [India], January 6 (ANI): India s service sector continued to recover from the coronavirus disease 2019 (COVID-19) induced contractions seen through most of 2020 with output and new business rising for the third straight month in December, according to the latest IHS Markit Services Purchasing Managers Index (PMI) released on Wednesday.
However, in both cases, the rates of growth softened to the weakest over this period. Staff hiring came to a halt due to liquidity concerns, labour shortages and subdued demand while business optimism faded.