India's manufacturing PMI has expanded to 58.7 in May from 57.2 in April. This comes as the 23rd month of manufacturing PMI remaining above 50 and is at a 31 month high.
A PMI reading of above 50 indicates expansion in manufacturing and below represents contraction.
"India's manufacturing PMI showcased encouraging developments in May, painting a notably positive picture for the sector. Demand conditions demonstrated remarkable strength, with factory orders rising at the fastest pace since January 2021,” S&P Global said in a statement.
The report also added that amid growing new orders and the favourable market conditions, the manufacturers scaled up production. The surge in sales also lead to increase in employment opportunities.