India's Private Sector Set For Strong Growth in 2025, S&P-HSBC Report Says

MT Newswires Live11-14 17:01

India's private sector is poised to see robust growth in 2025 with the latest HSBC India Business Outlook data indicating the highest profitability projections since February 2015.

The HSBC India Business Outlook survey conducted by S&P Global reported an increase in business activity net balance from +23% in June to +33% in October, the report published on Wednesday showed.

This suggests more upbeat expectations for the year-ahead outlook for output.

"Optimism around business activity, profitability and capex rose back up again along with strong hiring plans," said Pranjul Bhandari, Chief India Economist at HSBC, adding that manufacturers were more optimistic regarding capital investment and R&D than the service providers.

Private sector companies aim to increase their operating capacity by hiring more employees with expectations of new business gains and plans to scale up production volumes.

As per the data, hiring plans are their highest in ten years, as shown by the rise in the respective net balance from +14% in June to +18% in October.

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