New Delhi, Oct. 12 -- India's services sector is expected to maintain a positive demand outlook in Q3FY27, although business optimism has moderated from the previous quarter, with firms anticipating some easing in cost pressures but remaining cautious about selling prices and profit margins, according to the Reserve Bank of India's (RBI) latest Services and Infrastructure Outlook Survey.

The survey found that services companies reported improvements in overall business conditions, turnover and full-time employment during Q2FY27. However, firms also faced higher input cost pressures and reported some increase in selling prices, while sentiment on profit margins remained subdued, ANI reported.

Looking ahead, services firms remained optimi...