Household savings declined by more than Rs 9 lakh crore in three years to Rs 14.16 lakh crore in 2022-23.
According to the latest National Accounts Statistics 2024 of the Ministry of Statistics and Program Implementation, net household savings declined sharply from Rs 9 lakh crore to Rs 14.16 lakh crore in the three years to 2022-23.
In 2020-21, Net household savings reached Rs 23.29 lakh crore. Data shows that they have been declining since then.
In 2021-22, Net household savings declined to Rs 17.12 lakh crore and a five-year low of Rs 14.16 lakh crore in 2022-23.
Earlier, the lowest net household savings was Rs 13.05 lakh crore in 2017-18, which increased to Rs 14.92 lakh crore in 2018-19 and Rs 15.49 lakh crore in 2019-20.
According to data, investment in mutual funds almost tripled in three years to Rs 1.79 lakh crore in 2022-23 from Rs 64,084 crore in 2020-21. In 2021-22, it was Rs 1.6 lakh crore.
In shares and debentures, the domestic investment almost doubled from Rs 1.07 lakh crore in the three years from 2020 to 21 to Rs 2.06 lakh crore in 2022-23. In 2021-22, it was Rs 2.14 lakh crore.
In addition, Bank advances (loans) to households have also doubled in three years to Rs 11.88 lakh crore in 2022-23, from Rs 6.05 lakh crore in 2020-21. In 2021-22, it was Rs 7.69 lakh crore.
Financial corporations and non-banking financial corporations’ loans to households increased also fourfold to Rs 3.33 lakh crore in 2022-23 from Rs 93,723 crore in 2020-21. In 2021-22, it was 1.92 lakh crore.
