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India Macroeconomic Indices

1 Finance Macroeconomic Index

Index providing insights into India’s economic phases and growth outlook. The 1 Finance Macroeconomic Index determines the growth of the economy.

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Subindices

Comprehensive real-time indices tracking India’s economic trends and performance.

Services Sector Activity Index

Services Sector Activity Index

Tracks India’s services sector growth and employment trends.

Industrial Sector Performance Index

Industrial Sector Performance Index

Output and performance of industries involved in manufacturing, production, and related activities.

Agriculture Output Index

Agriculture Output Index

Monitors India’s agricultural production and growth.

Consumer Inflation Index

Consumer Inflation Index

Tracks and provides a timely insight into India’s CPI trends.

Equity Market Optimism Index

Equity Market Optimism Index

Gauge Indian equity market sentiments and investor confidence.

Global Economic Impact Index

Global Economic Impact Index

Assesses the impact of global influences on India.

Financial Sector Soundness Index

Financial Sector Soundness Index

Evaluates banking stability and financial health.

Interest Rate Outlook Index

Interest Rate Outlook Index

Monitors repo rate trends to understand economic phases and monetary policy stance.

Economic Indicators

Economic Indicators

A comprehensive snapshot of India’s key economic indicators, including sectoral performance, inflation, interest rates, equity market optimism, financial sector soundness and global impact metrics. This section offers contextual insights into the country’s economic health and trajectory, helping inform data-driven investment decisions.

India's Economic Dashboard

An overview of India's Economy

High-Frequency Economic Indicators

An extensive collection of high-frequency economic indicators

Services Sector ActivityIndustrial Sector PerformanceAgriculture OutputConsumer InflationEquity Market OptimismFinancial Sector SoundnessGlobal Economic ImpactInterest Rate OutlookOther HFIsKey Economic Indicators
Global Market P/E
Reports and Resources
Asset Allocator
1 Finance Macroeconomic Index

Subindices

Services Sector Activity IndexIndustrial Sector Performance IndexAgriculture Output IndexConsumer Inflation IndexEquity Market Optimism IndexGlobal Economic Impact IndexFinancial Sector Soundness IndexInterest Rate Outlook Index

Economic Indicators

India’s Economic DashboardHigh-Frequency Economic Indicators
Global Market P/E

Reports and Resources

BlogsMonthly UpdatesQuarterly UpdatesWhite PapersAnnual Reports
Asset Allocator
Subindices

Services Sector Activity Index

Services Sector Activity Index

Services Sector Activity Index

Current Phase

Transitory Slowdown

Index Value: 53.28

77% Success rate

Summary

A transitory slowdown signifies a phase where the services sector performs poorer than the previous quarters, which is marked by declining confidence among consumers and businesses, and reduced trade and investment.

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Index Value (LHS)

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Current Phase

Transitory Slowdown

Index Value: 53.28

77% Success rate

Summary

A transitory slowdown signifies a phase where the services sector performs poorer than the previous quarters, which is marked by declining confidence among consumers and businesses, and reduced trade and investment.

Services Sector Activity Index

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Showing: Index Value • Range: 10 Years

Index Value (LHS)

Last Updated: 30 Apr, 2026
Source:CMIE Economic Outlook, 1 Finance Research
Source: CMIE Economic Outlook, 1 Finance Research
Last Updated: 30 Apr, 2026
Source:CMIE Economic Outlook, 1 Finance Research
Source: CMIE Economic Outlook, 1 Finance Research

Overview

Recent Updates

  • India’s services sector activity strengthened significantly in April 2026, with the HSBC India Services PMI rising to 58.8 from 57.5 in March, marking a five-month high.
  • The services sector had slowed temporarily in March 2026, with PMI falling to a 14-month low due to geopolitical uncertainties, softer tourism demand, and weaker domestic business sentiment amid the Middle East conflict.
  • Domestic consumption-led services such as transport, logistics, financial services, hospitality, and digital commerce have shown robust momentum, supported by urban demand recovery, rising mobility, and higher discretionary spending.
  • Input cost pressures across the services sector remain elevated due to higher fuel prices, logistics costs, and imported inflation linked to rising crude oil prices. Firms have partially passed on higher costs through increased service prices, although margin pressures persist in several service industries.

Near-term Outlook

  • The Services Sector Activity Index is expected to indicate continued strong expansion through 2026, supported by urban consumption, formalisation, digital adoption, and strong domestic demand.
  • India’s IT and business services ecosystem continues to expand, supported by strong global outsourcing demand and a large skilled workforce, positioning the sector for sustained medium-term growth.
  • Overall, the index points to steady services-led growth with stable employment, strong consumption linkages, and continued formalisation, making the services sector a key stabiliser for India’s growth amid global uncertainty.

Description

What is the Services Sector Activity Index?

Services Sector Activity Index is crafted using various high frequency economic indicators which captures the demand and supply side fluctuations, seasonal variations, impact of domestic policy measures, tax reforms, employment situations and global developments, to provide a timely insight into the performance of the services sector in India. Services sector is a crucial indicator for policymakers to formulate effective economic and trade policies; and also, to track the demand sentiments in the economy.

What are its components?

The index covers diverse economic parameters covering both demand and supply side factors. We have assigned appropriate weights to each of these indicators, which reflect the impact of these factors on the services sector activities.

The High Frequency Indicators (HFIs) include:

Assessment and Expectation for Overall Business Situation (Services, Quarterly Survey)

Baltic Dry Index (BDI)

Non-food Bank credit of SCBs: Services Sector

Capital Expenditure - Central Government

Central Government Tax Collections (gross)

Consumer Price Index (CPI) Inflation - Miscellaneous

Domestic Air Passenger Traffic

Domestic Passenger Car Sales

Usability

How to use Services Sector Activity index for better financial decision-making?

Insights from the services sector, a major component of India’s GDP, offer a strategy that is both informed and responsive to the dynamic nature of the Indian economy, especially within the vital services sector. These insights ensure that financial planning is robust, adaptive, and ready to seize emerging opportunities.

Insights

Performance Analysis of Services Sub-sectors: Identifying trends in sub-sectors such as hospitality, IT, or financial services is key in forecasting market conditions, indicating potentially favourable times to invest in these areas.

Demand Forecasting in Services: Indicators such as domestic air traffic and rail freight traffic shed light on mobility on demand within the services sector, aiding in the adjustment of spending and savings strategies, particularly during economic downturns.

Job Market Stability in Services Sector: Observing trends in the services sector provides a predictive view of employment stability, crucial for planning financial security and emergency savings for those employed in the sector.

Policy Changes and Tax Reforms Impact: Monitoring shifts in policy and tax reforms related to the services sector is essential. Understanding these changes helps in strategically adjusting investment plans to either mitigate risks or leverage new opportunities that arise from these economic policy shifts.

Historical Events

Apr

2025

Rise of Protectionism around the World: US and EU Elections

The EU and the US are India’s largest trading partners and a key source of FDI and Exports. Donald Trump’s victory in the 2024 elections and his subsequent announcement of reciprocal tariffs on trading partners reignited the concerns around protectionist policies as a means. European Parliament (EP) is the EU’s directly elected legislative body, with 720 members (MEPs) representing 27 member states. Elections occur every five years.

Feb

2022

Russia-Ukraine War

The Russia-Ukraine War, with Russia’s military intervention in Ukraine on February 24, 2022, was a major geopolitical conflict that has caused widespread international concern and economic repercussions. It marks a severe intensification of the long-standing tensions between Russia and Ukraine.

Mar

2020

COVID-19 Pandemic and Lockdown

The COVID-19 pandemic, a global health crisis caused by the novel coronavirus, began affecting India significantly from March 2020. Characterised by widespread infections, lockdowns, and public health emergencies, the pandemic has had profound implications on the Indian economy and society. According to the Ministry of Health and Family Welfare (MoHFW), COVID-19 caused 5,33,318 deaths as of December 19, 2023.

Jul

2017

Implementation of GST

On July 1, 2017, India underwent a major tax reform with the implementation of the Goods and Services Tax (GST), marking a significant milestone in the country's taxation history. GST was introduced as a comprehensive indirect tax on the manufacture, sale, and consumption of goods and services throughout India, replacing multiple cascading taxes levied by the central and state governments.

Nov

2016

Demonetisation

Demonetisation, announced on November 8, 2016, was a significant decision by the Indian government to withdraw the legal tender character of the Specified Bank Notes (SBNs), involving the high-value currency notes (₹ 500 and ₹ 1,000) from circulation. It represented a drastic step by the government in its fight to curb black money, counterfeit currency and corruption.