India's business activity rebounds to 3-month high in September

India's business activity expanded at a faster pace in September, with the HSBC flash Composite Purchasing Managers' Index rising significantly from August levels. Growth was driven by increased demand in both manufacturing and services sectors, signalling economic recovery.

However, headwinds persist. Export growth slowed during the month, offsetting some gains, while hiring in the services sector declined, limiting job creation prospects. On a positive note, input-cost inflation eased, providing some relief to businesses operating in a competitive environment.