MUMBAI: The passbook has left the building. Eight in 10 Indian savers now use a digital platform to save or invest, says a YouGov survey commissioned by fixed-income platform Stable Money. Another 13 per cent plan to join them. Only 6 per cent have no plans to go online.
The survey, timed to World Savings Day, which India observes on 30 October, a day before the rest of the world, spoke to 1,212 urban adults in more than 150 cities and towns between 13 and 16 October. Of these, 1,003 (83 per cent) save or invest, and their answers make up the findings. The data are weighted to represent urban Indians aged 18 and above.
The saving habit starts early. Some 39 per cent began between 18 and 25, and another 26 per cent between 26 and 30. That makes 65 per cent by the age of 30 and 82 per cent by 35. One in 10 started after 40. Younger respondents, of course, can only report starting young, and the survey did not offer an under-18 option.
Now the stereotype. Nearly seven in 10 respondents are Gen Z or millennials, the lot usually accused of splurging. Offered an unexpected lump sum, 87 per cent would save, invest or clear debt. Some 32 per cent would pick equities or mutual funds, 25 per cent fixed income, 19 per cent a savings account and 11 per cent debt. Only 13 per cent would spend it: 8 per cent on travel or an experience, 5 per cent on a luxury buy.
The backdrop is not exactly relaxing. The Reserve Bank of India raised its FY27 consumer price inflation forecast to 5.2 per cent from 5 per cent in October, and the monetary policy committee also hiked the repo rate by 25 basis points to 5.5 per cent.
Women are in charge of the kitty. Across all respondents, 56 per cent make household financial decisions themselves and 23 per cent decide jointly with a spouse or partner. Only 11 per cent leave it to a spouse and 11 per cent to an advisor. Among women, 46 per cent decide on their own and 29 per cent jointly.
On products, mutual funds and fixed deposits are neck and neck. As a first choice, 23 per cent pick mutual funds and 21 per cent bank FDs and RDs. In the top three, it is 57 per cent against 56 per cent. Gold and silver follow at 45 per cent, insurance and savings plans at 39 per cent and equities at 36 per cent.
Within fixed income, nobody is breaking this FD early. FDs and RDs make 56 per cent of top-three lists, against 20 per cent for PPF, 19 per cent for government bonds and 7 per cent for corporate bonds.
Goals split by age. Some 26 per cent of Gen Z name buying a home as their main goal, while retirement ranks fourth for them, behind a home, an emergency fund and travel. Among millennials, child’s education leads at 25 per cent. Among Gen X, 35 per cent are saving for retirement.
Then there are bonds, which everybody wants to meet and few are ready to marry. Some 41 per cent already invest in them and 45 per cent are interested, while 14 per cent are still getting to know them. Tier-2 cities match the metros: 46 per cent of Tier-2 respondents invest in bonds, against 45 per cent in Tier-1. Tier-3 trails at 34 per cent, with 19 per cent unsure what bonds are. Interest is high, but preference is lagging: government bonds appear in 19 per cent of top-three lists and corporate bonds in 7 per cent. Just 2 per cent name corporate bonds first, though that rests on a small base of 70.
“I read that gap as one of familiarity rather than appetite,” said co-founder Harish Reddy.
His fellow co-founder Saurabh Jain was more direct. “The passbook has become an app, and the saver using it starts early and is in charge,” he said.
Stable Money, founded in 2022, says it has over 60 lakh customers and has facilitated more than Rs 7,000 crore in investments.
The survey records stated attitudes, not actual behaviour. Whether young India saves as well as it says is a question for the next round. Until then, it gets the benefit of the doubt, and the interest.
