India's services sector growth decelerated significantly in July, with the Purchasing Managers' Index (PMI) falling to 53.3 from 57.4 in the previous month, according to data from S&P Global.
The sharp decline marks a notable softening in the country's largest economic engine, which accounts for the majority of India's gross value added.
While the index remains above the 50.0 threshold that separates expansion from contraction, the pace of growth has slowed markedly.
The report indicates that hiring activity provided a counterbalance to the broader slowdown, suggesting that employment levels remained resilient despite the dip in new business momentum.
The data presents a divergent picture from other major economies.
In the United States, private sector activity accelerated sharply in July, with the S&P Global composite PMI rising to 53.6 from 51.9 in June.