By bno - Mumbai bureau Indian private sector companies began 2025 with a notable slowdown in growth as new business intakes decelerated. Aggregate output increased at its weakest pace since November 2023,

India's business activity grew at the slowest pace in over a year in January, a survey showed, highlighting emerging cracks in its world-beating economic growth at start of 2025 although firms hired new staff at a record pace.

The services sector, which contributes a lot to India's economy, is witnessing a slowdown. This may affect the country's strong economic growth. Government estimates indicate a slowdown to 6.4% overall growth for the ongoing fiscal, lower than revised RBI estimate of 6.6%.

The latest HSBC PMI data, compiled by S&P Global, showed that a stronger expansion in the manufacturing industry in India was more than offset by a loss of growth momentum in the service economy.Indian private sector companies started 2025 with a slowdown in growth.

The HSBC Flash India Composite Output Index, which tracks monthly changes in combined output from manufacturing and services, dropped from 59.2 in December to 57.9 in January, signalling the slowest expansion in 14 months.