The S&P Global Australia Services PMI Business Activity Index fell to 46.3 in March 2026, larger than initial estimates of a 46.6 contraction, down from 52.8 in February. This marked the first contraction in 26 months and the sharpest decline since November 2023, reflecting weaker business activity and new orders, with firms citing turbulent international conditions and the war in the Middle East as key factors. Activity fell in four of five sectors, while new export orders dropped at a solid pace, ending a seven-month growth streak. Meanwhile, employment continued to rise, as firms expanded staffing for future projects, reducing backlogs for the first time in three months. On prices, rising fuel costs pushed operating expenses to the fastest rate since January 2023, with output price inflation reaching a 38-month high. Despite the contraction, companies remained cautiously optimistic about future growth, though overall business confidence slipped to a 28-month low. source: S&P Global

Services PMI in Australia decreased to 46.30 points in March from 52.80 points in February of 2026. Services PMI in Australia averaged 51.68 points from 2016 until 2026, reaching an all time high of 58.80 points in April of 2021 and a record low of 19.50 points in April of 2020. This page provides the latest reported value for - Australia Performance Services Index - plus previous releases, historical high and low, short-term forecast and long-term prediction, economic calendar, survey consensus and news.

Services PMI in Australia decreased to 46.30 points in March from 52.80 points in February of 2026. Services PMI in Australia is expected to be 49.00 points by the end of this quarter, according to Trading Economics global macro models and analysts expectations. In the long-term, the Australia S&P Global Services PMI is projected to trend around 52.60 points in 2027 and 53.00 points in 2028, according to our econometric models.



Related Last Previous Unit Reference
Bankruptcies 1306.00 1260.00 Companies Mar 2026
Building Capital Expenditure 2.30 2.30 percent Dec 2025
NAB Business Confidence -29.00 0.00 points Mar 2026
Business Inventories -0.10 -0.80 percent Dec 2025
Capacity Utilization 73.70 78.90 percent Mar 2026
Passenger Car Sales 13101.00 12642.00 Units Mar 2026
Changes in Inventories 657.00 -1801.00 AUD Million Dec 2025
Composite Leading Indicator 100.82 100.76 points Mar 2026
Company Gross Profits 133922.00 126530.00 AUD Million Dec 2025
Corruption Index 76.00 77.00 Points Dec 2025
Corruption Rank 12.00 10.00 Dec 2025
Industrial Production 2.70 0.10 percent Dec 2025
Industrial Production Mom 1.60 -0.20 percent Dec 2025
Ai Group Industry Index -23.60 -1.50 points Mar 2026
Ai Group Services Index -23.60 1.10 points Mar 2026
Ai Group Construction Index -31.40 -8.20 points Mar 2026
Ai Group Manufacturing Index -27.90 -15.60 points Mar 2026
Westpac Leading Index MoM -0.10 0.00 percent Feb 2026
Manufacturing Production 1.10 -1.90 percent Dec 2025
Mining Production 3.80 0.40 percent Dec 2025
New Orders 35.00 23.00 points Dec 2025
Plant Machinery Capital Expenditure -1.70 11.20 percent Dec 2025
Private Capital Expenditure 0.40 6.40 percent Dec 2025
Small Business Sentiment -2.00 -8.00 points Sep 2025
New Vehicle Sales 105058.00 90712.00 Units Mar 2026


Australia S&P Global Services PMI
The S&P Global Australia Services PMI is compiled by S&P Global from responses to questionnaires sent to a panel of around 400 service sector companies. The sectors covered include consumer (excluding retail), transport, information, communication, finance, insurance, real estate and business services. The headline figure is the Services Business Activity Index. This is a diffusion index calculated from a question that asks for changes in the volume of business activity compared with one month previously. The Services Business Activity Index is comparable to the Manufacturing Output Index. The index varies between 0 and 100, with a reading above 50 indicating an overall increase compared to the previous month, and below 50 an overall decrease. This is only a limited sample of PMI headline data displayed on the Customer’s service, under licence from S&P Global. Full historic PMI headline data and all other PMI sub-index data and histories are available on subscription from S&P Global. Contact economics@spglobal.com for more details.

News Stream
Australia Services Contract More Than Initially Expected
The S&P Global Australia Services PMI Business Activity Index fell to 46.3 in March 2026, larger than initial estimates of a 46.6 contraction, down from 52.8 in February. This marked the first contraction in 26 months and the sharpest decline since November 2023, reflecting weaker business activity and new orders, with firms citing turbulent international conditions and the war in the Middle East as key factors. Activity fell in four of five sectors, while new export orders dropped at a solid pace, ending a seven-month growth streak. Meanwhile, employment continued to rise, as firms expanded staffing for future projects, reducing backlogs for the first time in three months. On prices, rising fuel costs pushed operating expenses to the fastest rate since January 2023, with output price inflation reaching a 38-month high. Despite the contraction, companies remained cautiously optimistic about future growth, though overall business confidence slipped to a 28-month low.
2026-04-07
Australia Services Activity Expected to Contract in March
The S&P Global Flash Australia Services PMI Business Activity Index fell to 46.6 in March from 52.8 in February signaling the first contraction in over two years. The downturn reflected a solid drop in services activity and a fresh fall in new business as demand faltered while employment continued to rise but slowed to the weakest pace in four months and outstanding workloads were depleted for the first time this year. Export demand increased but was insufficient to stop a contraction in overall sales. Business confidence weakened to a 20 month low amid demand fragility and economic disruption due to the war in the Middle East. On the cost side input price inflation and selling price inflation intensified from February as service providers faced costs at a more than three year high and charges reached their highest since August 2023.
2026-03-23
Australia Services Activity Growth Eases
The S&P Global Australia Services PMI Business Activity Index fell to 52.8 in February from 56.3 in January, indicating a solid extension of rising services activity to just over two years, according to final readings. The slower outturn reflected an easing in activity and new business growth, with new orders rising at a slower but still strong pace underpinned by new launches and growing customer bases. Employment increased at the quickest rate in almost three years as firms hired to cope with ongoing workloads, though pressure on capacity persisted and contributed to rising backlogs. Export demand continued to improve, leading to a more modest increase in new export business compared with January. Business confidence, however, declined in February amid concerns over the economic outlook and competition. On the cost side, input price inflation intensified on the back of higher labour and utility costs, while selling price inflation also rose and climbed to a six-month high.
2026-03-03