BENGALURU, Oct 5 Reuters Growth in India39;s dominant services industry accelerated in September as already robust demand strengthened, according to a survey that also showed businesses were the most optimistic in over nine years.

That bodes well for Asia39;s thirdlargest economy, which is expected to be the fastestgrowing major economy this fiscal year, defying a global slowdown trend.

SP Global39;s India services purchasing managers39; index rose to 61.0 last month from 60.1 in August, confounding expectations in a Reuters poll for a dip to 59.5.

The reading was above the 50mark separating growth from contraction for a 26th consecutive month.

The latest PMI results brought more positive news for India39;s service economy, with September seeing business activity and new work intakes rising to one of the greatest extents in over 13 years, noted Pollyanna De Lima, economics associate director at SP Global.

Besides demand strength domestically, firms noted higher international sales to Asia, Europe and North America.

While the new business subindex a key gauge of demand rose slightly to 61.2 last month, export growth eased to the slowest pace since June but remained in expansionary territory for an eighth consecutive month.

That improved business sentiment about the coming 12 months to its highest since June 2014. Job creation also stayed solid, with firms continuing to hire for a 16th straight month.

In an indication that a recent rebound in inflation could be…

Leave A Comment