India’s HSBC Composite PMI declined to 57.1 in June 2026 from 59.3 in May, coming in below the flash estimate of 57.4 and marking its lowest level since March. The latest reading signaled a moderation in growth across both manufacturing and services.
New orders increased at the slowest pace in three months, while employment growth weakened to its lowest rate so far this year. External demand also softened, with export orders expanding at the slowest pace in nearly two years.
As overall growth cooled, easing cost pressures allowed firms to rein in price hikes. Input cost inflation fell to a five-month low, and output price inflation eased to its weakest rate in seven months.
Looking ahead, business sentiment deteriorated to a five-month low, with both manufacturers and service providers turning less optimistic about future output.
