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Monday, August 11, 2025
TopicHousehold savings

Topic: household savings

RBI’s key economists feel rising households debt could spur economic growth, contrary to worries

Minutes of Monetary Policy Committee meeting show that several members felt debt-fuelled consumption could become a ‘self-fulfilling prophecy’ to boost overall growth.

Households are saving less and borrowing more, but that’s not necessarily a bad thing

Data for 2022-23 shows households’ reliance on borrowings has increased not only to finance consumption, but also to purchase or construct property. Vehicle loans also saw an increase.

How do Indians save money? It depends on income growth, inflation, and banking access

Paper co-authored by SBI chief economist Soumya Kanti Ghosh underscores how policies geared towards boosting real income and reducing inflation could help hike savings rate in India.

Real estate over banks — where the average Indian household is putting its savings

Over the past few years, especially post-pandemic, financial savings have been witnessing a shift with more households shifting away from traditional instruments such as bank deposits.

Why endowment plan, a traditional life insurance scheme, is part of most household finances

Unlike term plans that provide life risk cover or unit-linked schemes, where returns are market-linked, endowment plans offer maturity benefits upon survival & minimum guaranteed return.

India’s savings rate exceeds UK, US, Brazil’s. Real challenge is turning it into investment

In 'Grasping Greatness', Ila Patnaik and Radhika Pandey analyse savings and capital formation in India.

Jaithirth Rao is wrong. Material wealth and economic apartheid are not Positive Economics

Entrepreneur Jaithirth Rao's recent attack on Oxfam report on inequality ignores the fact that only the rich are getting richer in this beleaguered Indian economy.

Covid and containment worsened women’s mental health, increased food insecurity in India

Researchers from California, Pennsylvania and Chicago universities surveyed households in Rajasthan, UP, Bihar, Jharkhand, MP, and Maharashtra to also find a drastic fall in monthly income.

Why RBI’s proposed microfinance policy changes are borrower-friendly

Proposed changes divert the borrower away from informal lenders and also show the RBI’s intent of giving the NBFC-MFIs a level-playing field in the financial system.

Modi wants to bring household savings into financial markets but Budget roadmap isn’t clear

Incentivising informal sector workers to save is good, but creating separate schemes for different groups divides an already fragmented pensions market.

On Camera

There’s a method in Trump’s Pakistan romance. It’s all about Gulf security

Like Turkey and Egypt, Pakistan is one of a handful of powers with the human resources and infrastructure to help secure the Persian Gulf as Trump’s America draws down its military presence.

How mining, manufacturing & power sectors weighed on India’s industrial output since January 2024

India’s industrial output growth saw a 10-month low in June, with Index of Industrial Production (IIP) growing by mere 1.5% as against 1.9% in May 2025.

Legacy of Air Chief Marshal LM Katre, the man who flew Spitfires & ushered IAF into a modern era

ACM Katre was 2nd IAF chief to die in harness. It was at a memorial lecture in his honour where IAF chief AP Singh revealed that India shot down 6 Pakistani aircraft in Op Sindoor.

Modi’s ready to risk it all for farmers. Farm reform can answer Trump with new Green Revolution

Standing up to America is usually not a personal risk for a leader in India. Any suggestions of foreign pressure unites India behind who they see as leading them in that fight.