Urban, rural households' quarterly expenses up by over 30%: Report
A new report shows that average household spending in India jumped by 33%—from about ₹42,000 in June 2022 to over ₹56,000 in March 2025—driven by inflation, with both urban and rural areas experiencing significant increases.
Wealthier city folks saw a 15% annual rise in expenses
Urban families now spend around ₹73,579 every quarter (up from ₹52,711), while rural households saw costs rise from ₹36,104 to ₹46,623.
Higher prices hit all income groups: wealthier city folks saw a 15% annual rise in expenses; lower-income rural families faced an even steeper climb at 18%.
Reserve Bank's Consumer Confidence Index dropped to just 95.4
Nearly half of the surveyed families said they're struggling to manage their budgets, and only a small group (17%) feel financially comfortable right now.
The Reserve Bank's Consumer Confidence Index also dropped—from 98.5 in March 2024 to just 95.4 by May this year—showing people are feeling the squeeze.
Households are focusing on basics like groceries, education
With costs up everywhere, most households are focusing on basics like groceries, education, and paying off debt instead of splurging on luxuries.
Over half said they'd rather save any extra cash than spend it on non-essentials—a sign that financial caution is definitely trending this year.