Economic growth in global emerging markets weakened to the lowest level in more than one-and-half years in April, data from a survey by Markit Economics and HSBC Bank showed Wednesday.

The HSBC Emerging Markets Index (EMI), a monthly indicator derived from the purchasing managers' surveys, dropped to 51.3 in April from 52.5 in March, marking the slowest growth in economic activity in more than one-and-half years. An index reading above 50 indicates expansion, while one below suggests contraction.

Activity weakened notably in both the manufacturing and service sectors across the emerging markets during the month.

New business wins by private sector firms across emerging markets increased at the weakest pace since August 2012. Meanwhile, employment levels stayed broadly stagnant during the month.

Cost pressures were the weakest in nearly four years of rising input prices, while prices charged for goods and services declined marginally, following a seven-month sequence of inflation.

The forward-looking component of the survey showed that output expectations across emerging markets weakened to seven-month low. The weakness in confidence was equally pronounced across both manufacturing and services.

"Weaker economic growth across most advanced markets is now being felt in the emerging world as well," Frederic Neumann, Co-Head of Asian Economic Research, said.

"The pull-back in EM growth at the start of the second quarter does not yet signal a sharper downturn, with ample liquidity providing an important backstop to demand virtually everywhere."

RTTNews