India’s Household Consumption Spending Rises

• Average household consumption spends in India rose by 3.5% from August 2023 to July 2024, according to the Household Consumption Expenditure Survey (HCES).

• The increase signals a decrease in consumption inequality and a narrowing gap between urban and rural spends.

• The survey, conducted by the Union Statistics Ministry, assesses economic well-being trends, estimates poverty levels, and updates the Consumer Price Index (CPI).

• The average rural Monthly Per Capita Expenditure rose 3.53% over 2022-23 levels to ₹2,079, while urban households grew at a slower pace of 3.48% to ₹6,996.

• Non-food items remain the major contributors to household’s average monthly expenditure in 2023-24.