India's business activity rises to a 14-month high of 61 in June

India's business activity surged to a 14-month high in June, reaching an index level of 61, according to preliminary results. This impressive recovery is largely attributed to robust performance in the services and manufacturing sectors, which have shown significant resilience amid global economic challenges. Analysts suggest that the growth is fueled by increased domestic demand and a gradual easing of supply chain disruptions. The services sector, a major contributor to India's GDP, has seen a noteworthy uptick with consumer spending on the rise. Meanwhile, the manufacturing sector has benefitted from both domestic and international orders, as businesses ramp up production to meet growing demands. These developments have provided a much-needed boost to the country's economic landscape, fostering optimism among industry leaders and investors alike. Economists are cautiously optimistic, highlighting that while the current momentum is promising, sustaining this growth will require addressing potential hurdles such as inflationary pressures and geopolitical uncertainties. The Indian government is expected to continue implementing supportive policies to maintain this positive trajectory, ensuring that the economy remains on a stable growth path in the coming months.

— Authored by Next24 Live