A fresh assessment from NABARD shows that more than 72.8% of rural households in India foresee their earnings rising in the next twelve months.
This information originates from the fortnightly Rural Financial Conditions and Perspectives survey carried out in September 2025.
Even though the proportion is marginally below 74.7% in July, it remains significantly higher than the 70.2% documented in September 2024.
Spending, Savings, and Credit Access
The study also noted that 76.2% of households reported greater spending over the past year, marginally less than 76.6% in July.
Meanwhile, the share of families saying their earnings had declined fell to 18%, the lowest since the survey series began in September 2024.
At the same time, 44.5% indicated their income had remained unchanged – the highest proportion in all seven rounds this year.
When asked about actual increases, 37.5% of families confirmed their incomes had grown, nearly the same as 37.6% last year.
Savings behaviour also showed improvement 23.7% of households managed to raise their savings, while fewer (34.5%) reported a rise in borrowings.
In terms of credit, access to institutional sources has widened, with 54.5% of rural households now borrowing formally. However, around 21.8% still depend exclusively on informal lenders, paying steep interest rates of 17-18%.
Findings from the study suggested that, even with natural calamities such as floods and landslides and risks from international trade tariffs, rural morale stays relatively high. Local participants highlighted progress in infrastructure as a reason for their positive expectations.
Government welfare interventions have played a stabilising role. Surveyed families stated that direct payments and non-cash aids – like subsidised staples, LPG cylinders, fertilisers, pensions, school uniforms, and reduced transport fares – provided key help during income instability.
Taken together, the study reflects moderate optimism in rural India. With ongoing infrastructural development, broader financial inclusion, and steady government backing, households seem positioned for stable income growth in the months ahead.
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