Household savings rose to 22.5% of GDP in 2020: Motilal Oswal

by Nidhi Bhati

According to an analysis by brokerage Motilal Oswal Financial Services, household savings in India rose to 22.5 per cent of GDP in calendar year (CY) 2020 from 19.8 per cent of GDP in calendar year 2019. Due to physical restrictions, household savings rose almost around the world last year. The brokerage further observed that the rise in household savings in the country in 2020, which was equal to 1.1 times of the 2019 level, was the slowest compared to other nations. This slower growth was linked to weaker income growth as a six per cent decline in private final consumption was similar to or lower than that of most other nations, it noted.