India services growth slows slightly in May: survey

Business activity among Indian services firms expanded for the 13th consecutive month in May, but at a slower pace than in April, as growth in business expectations and prices charged ebbed, a survey showed. The HSBC Markit Business Activity Index, based on a survey of 400 firms, fell to 58.2 in May from a 21-month high of 62.1 last month. A reading above 50 indicates expansion. The survey found that post and telecommunications firms recorded the fastest rise among the six sub-sectors reviewed. In May the telecom industry saw an auction of third-generation (3G) spectrum, which raised Rs 67,700 crore ($14.4 billion) for the government, from mobile carriers including Bharti Airtel and Reliance Communications. While growth in the services sector receded somewhat from last month's impressive levels, the employment index rose to 53.2, its highest since August 2008.