A slump in household economy, due to lower household savings and capital expenditure, doesn’t augur well for a speedy revival of overall investment in the Indian economy. Graphic: MintThe household sector is the largest segment of the Indian economy. The health of the household sector, therefore, is the key to the health of the economy. Between 2011-12 and 2015-16, the gross capital formation of the household sector went down from 15.9% of GDP to 10.9%. As is well known, the proportion of financial savings in total household savings has moved up in recent years.

Source: Mint November 13, 2017 19:52 UTC