Page 16 - Policy Economic Report_Jan 25

POLICY AND ECONOMIC REPORT
OIL & GAS MARKET

Manufacturing PMI – India

? The HSBC Flash India Composite Output Index – a seasonally adjusted index that measures the month
on-month change in the combined output of India's manufacturing and service sectors registered 57.9
in January 2025. The latest reading highlighted the strongest growth rate for four months. There were
quicker increases in output at both goods producers and service providers.

? The latest HSBC ‘flash’ PMI® data, compiled by S&P Global, showed that a stronger expansion in the
manufacturing industry was more-than-offset by a loss of growth momentum in the service economy.
The prices charged for goods and services rose at a faster rate than in December as cost pressures
intensified.

? The HSBC Flash India Manufacturing PMI – a single-figure snapshot of factory business conditions
calculated from measures of new orders, output, employment, supplier delivery times and stocks of
purchases – increased from 56.4 in December to 58.0 in January, highlighting the best improvement
in the health of the sector since July 2024.

Figure 9: India PMI

Source- S&P Global

India’s external position

India’s forex reserves
? India's foreign exchange reserves fell to $623.98 billion, down by $ 1.8 billion as of week ending

January 17, 2025 according to data from the Reserve Bank of India (RBI).

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