Indian Economy Expands Rapidly in December


 
Indian sales managers reported another month of rapid economic expansion in December. The Headline Sales Managers Index eased marginally to 53.2 but remained comfortably in rapid growth territory, continuing the pattern of steady progress seen throughout 2025.

The forward-looking Business Confidence Index dipped slightly in December, yet staying well above the neutral 50 mark. Sales managers continue to express a positive near-term outlook, supported by resilient domestic demand despite a modest cooling from the levels seen in recent months.


Sales activity held steady at the previous month's level, maintaining healthy expansion and reflecting ongoing robust demand. Current growth measures continue to show a rapid pace of activity as the year draws to a close. The broader trend remains one of consistent strength, with little evidence of any significant loss of momentum across sectors.

Hiring continues at a cautious but sustained rate, in line with the gradual improvement observed over much of the past year.

The Prices Charged Index rose to its highest level in seven months, indicating firms are retaining reasonable pricing power amid firm demand. This measured increase suggests price pressures contained within the context of the prevailing economic strength.

Overall, December’s survey confirms that the Indian economy is maintaining a strong and stable pace of growth. While some forward-looking and current activity measures have eased slightly from recent peaks, all key indexes remain clearly above the 50 thresholds, supporting a continued positive outlook into 2026.


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