Majority of Indians faced decline in household savings amid pandemic

A survey was carried out across 302 districts in India

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Majority of Indians faced decline in household savings amid pandemic. Source: pexels.com

LocalCircles has found that household savings have declined due to the coronavirus pandemic in India.

This comes as many consumers struggle to recover from job losses, a decrease in personal income, and salary cuts as a result of the pandemic.

The report revealed that 68% of 8,240 respondents experienced a decline in household savings in the past 8 months.

Among the 44,000 responses received, 38% were from women while 62% were from men. Meanwhile, 55% of the respondents were from tier 1, 26% from tier 2 while 19% were from tier 3, 4, and other districts.

Due to the decline in the levels of income and low savings. 50% of people plan on discrete purchases in the next four months. 10% of the participants plan on spending over Rs 50,000 while 21% plan on spending Rs 10,000- 50,000 on discretionary purchases during this period.

With the economic trends observed in the last 3 months, many are optimistic about a fast economic recovery with 15% fewer households expecting their Y2 20-21 earnings to fall compared to last year.

Although many consumers have been impacted by the crisis, most are hopeful that as things get back on track, they will be back to their jobs and businesses.

We’ve reported that Apple is investigating a situation where violence broke out at a factory that produces its products near Bengaluru, India.

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Tags: India