TL;DR: A recent report reveals that nearly 100 crore Indians, or 90% of the population, can't spend on non-essential items. Only about 13-14 crore people have extra money for such expenses. This shows a big gap between the rich and the rest in India.
Hey folks! Did you know? A recent study by Blume Ventures has uncovered that a whopping 100 crore Indians, that's 90% of our population, don't have enough money to spend on things beyond basic needs. This means only about 13-14 crore people, roughly the size of Mexico's population, have some extra cash for non-essential items.
The "Consuming Class"
This small group of 13-14 crore people is called the "consuming class." They have money left after covering their basic needs and are the main buyers for many businesses and startups. But with such a tiny group driving most of the spending, it's clear that wealth in India is concentrated among a few.
The "Aspirant" Group
There's another group of about 30 crore people known as "emerging" or "aspirant" consumers. They're starting to spend a bit more, especially with the ease of digital payments like UPI. However, they're still careful with their money and don't splurge on non-essentials.
Premium Products on the Rise
Interestingly, companies are now focusing more on premium, high-end products for the wealthy, rather than affordable options for the masses. This trend, called "premiumisation," is evident with luxury homes and expensive smartphones selling well, while budget-friendly options struggle.
The K-Shaped Recovery
After the pandemic, India's economy is recovering in a "K-shaped" manner. This means the rich are getting richer, while the poor are finding it harder to make ends meet. Data shows that the top 10% of Indians now hold 57.7% of the country's income, up from 34% in 1990. Meanwhile, the bottom half's share has dropped from 22.2% to 15%.
MediaFx Opinion
This growing divide is alarming. It's high time we address income inequality and work towards a fairer distribution of wealth. Policies should focus on uplifting the working class, ensuring everyone has access to opportunities and resources. Let's strive for a society where prosperity is shared, and no one is left behind.
Join the Conversation!
What are your thoughts on this issue? How can we bridge this economic gap? Share your ideas and let's discuss ways to create a more equitable society. Drop your comments below! 👇
