FX.co ★ India Private Sector Growth Revised Lower

India’s HSBC Composite PMI came in at 54.3 in August 2026, slightly below the flash estimate of 54.6 and unchanged from July. The reading pointed to a solid expansion in private-sector activity, but growth remained jointly the weakest in four-and-a-half years and below its long-run average. Overall sales growth picked up compared with July yet stayed muted, registering the second-softest increase since February 2022. Manufacturing output growth lost momentum, while service-sector activity accelerated. Aggregate employment rose at the fastest rate in 14 months, with strong hiring in services more than offsetting ongoing job cuts in manufacturing. On the price front, composite input-cost inflation eased to a seven-month low, but output charge inflation quickened to its highest level since April.