India’s manufacturing activity rises to 4-month high in Feb, PMI rises to 56.9

Key Highlights

• While the reading was slightly below the preliminary estimate of 57.5, it remained well above the 50-mark that separates expansion from contraction.
• “India’s final manufacturing PMI reflected an acceleration in manufacturing activity in February.
• Output expanded at a faster rate for a second month, supported by stronger domestic orders,” said Pranjul Bhandari, chief India economist at HSBC.
• “However, growth in new export orders continued its slowing trend that began in mid-2025, somewhat restricting employment creation in the manufacturing sector.” The data suggests Asia’s third-largest economy remains resilient in the current quarter after clocking 7.8 per cent GDP growth in the October–December period, aided by a 13.3 per cent surge in manufacturing output.
• For the full fiscal year ending March, India is projected to grow 7.6 per cent.