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Informist, Wednesday, Jul. 29, 2026

 

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--India May wholesale trade services output growth 3.7%
--India May repair services output growth 9.8%
--CONTEXT: Govt releases Index of Services Production for May
--India May retail trade services output growth 13.3%
--India May road transport services output growth 4.4%
--India May water transport services output growth 5.6%
--India May warehousing services output growth 11.5%
--India May accommodation, food services output growth 27.4%
--India May postal, courier services output growth -1.0%
--India May telecom services output growth 11.8%
--India May information, broadcasting services output growth -7.6%
--India May real estate services output growth 17.7%
--India May IT, computer-related services output growth 10.3%
--India May scientific services output growth 11.0%
--India May administrative services output growth 5.0%
--India May arts, entertainment services output growth 1.6%
--India May banking services output growth 12.1%
--India May insurance services output growth 2.7%

 

NEW DELHI – The output of India's services sector in May was driven by a healthy growth in accommodation, real estate, and retail trade sub-sectors, data released Wednesday by the statistics ministry showed. Index of Services Production, which tracks 19 services sub-sectors at present, reported a strong rise in 16 categories compared with the corresponding period a year ago. Of these 16, half of the services sub-sectors recorded a double-digit growth in May, the statistics ministry said.

 

The Ministry of Statistics and Programme Implementation is releasing the trial Index of Services Production to measure short-term changes in the growth of India's formal services sector. The 19 sub-sectors listed by the ministry cover about 60% of the services sector. This index, with 2024-25 (Apr-Mar) as the base year, will serve as a counterpart to the Index of Industrial Production, which measures the economic growth of the industrial sector. 

 

The maiden data released on Jul. 14 for April showed 14 out of the 19 sub-sectors recorded a double-digit growth from April 2025. The growth was mainly led by the output of sub-sectors such as accommodation, retail trade, and administrative services.

 

 

Among all the 19 sub-sectors, accommodation and food sector output rose the highest for the second consecutive month in May at 27.4% on year, slower than 37.2% growth in April. The sector was followed by real estate output growing 17.7% on year, retail trade output rising 13.3%, and banking up 12.1%. Other sectors showing robust services sector output included telecommunications, which rose 11.8%, warehousing and support activities for transporation services growing 11.5%. The output of professional, scientific and technical services, including research and development, sector rose 11% and that of information and computer related services grew 10.3%, and repair services climbed 9.8%.

 

Within the transport sector, the output of water transport services grew faster than road transport services in May. The output of water transport services rose 5.6%, while that of road transport services grew 4.4% during the month under review. The railway transport output rose 3.4% on year and air transport output declined 2.8%.

 

In the financial services, insurance services output rose 2.7% in May. While administrative services output growth was 5.0%, wholesale trade services output growth stood at 3.7%, and arts, entertainment, and recreation services output registered a 1.6% on-year growth.

 

The output of the three sub-sectors fell in the negative territory in May. Ohter than air transport, the output of the postal, courier services contracted 1.0% in May, while information and broadcasting services output slumped 7.6% on year.
 

The experimental indices will track goods and services tax, the Annual Survey of Incorporated Services Sector Enterprises, and other administrative data to map the formal services sector output. Some of the services excluded from the indices as of now are public administration and defence, financial services activities of the Reserve Bank of India, and money market funds, activities of private households with employed persons, and gambling and betting activities. These services have been excluded from the scope of Index of Services Production due to lack of coverage under different data sources.  End

 

Reported by Shweta

Edited by Akul Nishant Akhoury

 

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