The Reserve Bank of India (RBI) has highlighted that while household debt in India has been on the rise over the past three years, it remains relatively low compared to other emerging market economies (EMEs).
The demand for work under the Mahatma Gandhi National Rural Employment Guarantee Act (MGNREGA) has remained subdued in most months of the current financial year, according to a report by the Reserve Bank of India (RBI).
Urban demand witnessed a contraction in the second quarter of FY25 because of declining incomes in the corporate and government sectors coupled with an increasing tax burden on households, according to a report by Systematix Institutional Equities.
The PM also highlighted that after the implementation of GST, the savings of the poor and the common man have increased as the GST has reduced taxes on various household items like flour, curd, detergent etc.