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India’s services sector growth slowed significantly in July, reaching its weakest pace in over four years. New business inflows expanded at the slowest rate since early 2022, driven by softer demand. Overseas demand remained relatively resilient, with export business outperforming overall sales growth. Employment growth improved modestly, while business confidence weakened to a seven-month low. Input cost inflation eased, and companies raised selling prices at the fastest pace since April.
