India's private sector growth accelerated to the strongest level in three months in July, led by faster increases in manufacturing production and services activity, survey figures from Markit Economics showed Wednesday.
The Nikkei Composite Purchasing Managers' Index, rose to 52.4 in July from 51.1 in the previous month. Any reading above 50 indicates expansion in the sector.
The Services Business Activity Index also climbed to 51.9 in July from 50.3 in June.
New business received by the Indian service sector grew at the sharpest pace since April, supported by successful price negotiations with clients as well as improved marketing campaigns. As a result, output registered further marked growth during the month.
Manufacturing order books increased at the quickest pace since March.
At the same time, employment was broadly unchanged in both the manufacturing and service sectors during July.
On the price front, input costs faced by service providers dropped in July due to lower prices paid for fuel and some commodities. Moreover, this was the first decline since September 2015.
In contrast, purchasing prices at goods producers continued to rise, although the rate of inflation softened to a five-month low.
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