Mapping India's Financial Dreams: A Resilient Journey

A new report from Home Credit India reveals a transformative shift in financial dynamics among India's lower middle class. 'The Great Indian Wallet 2025' finds a resilient demographic driven by digital adoption and aspirations like entrepreneurship, education, and homeownership despite rising economic pressures.

According to the report, 73% of respondents are confident of achieving financial goals within five years, with 57% reporting increased incomes. However, saving rates are declining, and financial pressure is apparent as 12% are borrowing to cover basic needs. Education spending has notably risen in priority.

Digital tools have emerged as key enablers, with 63% of consumers feeling they ease financial pursuits. The report also highlights the need for stronger digital literacy to combat online financial fraud, as digital channels become more preferred for transactions and loan applications.

(With inputs from agencies.)