India is home to 1.4 billion people, but about a billion lacks money for spending on any commodities or estimated services, a New report Estimates.

The country’s consuming category, which is the potential market for the country or business owners, only reaches the size of Mexico, 130-140 million people, according to the Blume Ventures report, an investment capital company.

300 million people are “young” consumers or “ambitious”, but they are hesitants who have just started opening their wallet chains, as digital payments clicking on the fatwas make it easy to handle.

Moreover, the class consumed in the third largest economy in Asia is not “wide” as it is “deepening”, according to the report. This means mainly that the wealthy population in India is not really growing in numbers, although those wealthy people have already become richer.

All of this constitutes the country’s market in the country in distinct ways, especially accelerating the direction of “discrimination” as brands push growth by doubling the expensive and well -known products that meet the needs of the wealthy, rather than focusing on collective market offers.

This is evident in enlarging the superior housing sales and distinct phones, even with the difficulty of low variables. The affordable houses are now only 18 % of the total market in India compared to 40 % five years ago. Brand goods also pick up a greater share of the market. And “economic experience” is prosperous, with expensive tickets for international concerts of international artists such as Coldplay and Ed Sheeran sell like hot cakes.

Sajith Bay, one of the reporters of the report, told the BBC that the companies that adapted to these transformations flourished. “Those who focus very on the comprehensive end or have a mixture of products that are not exposed to the excellent end lost their share in the market.”

The results of the report strengthened the long opinion that the subsequent post-birth recovery in India was in the form of K-where the wealthy became richer, while the poor lost purchasing power.

In fact, this was a long -term structural trend that started even before the epidemic. India has become increasingly more uneven, with the 10 % of the 10 % of Indians now holds 57.7 % of national income compared to 34 % in 1990. The lower half of their share of national income from 22.2 % to 15 %.

However, the last recession deepened consumption amid destruction in purchasing power, but also stolen Low financial savings And the high debt between the masses.

The Central Bank of the country has also registered the easy -to -guaranteed lending that pushed the demand after the roaming epidemic.

Pay says that a lot of consumer spending for the “emerging” or “ambitious” category is led by such borrowing and “stopping this tap will definitely have some effect on consumption.”

In the short term, two things are expected to help enhance spending-picking in rural demand against a standard harvest and give $ 12 billion tax in the recently concluded budget. It will not be “dramatic” but it may enhance the gross domestic product of India – largely driven by consumption – by more than half a percent, says Pay.

But the main opposite winds are still in the long run.

The middle layer in India – which was a major driver to demand the consumer – is pressed with wages remaining largely flat, according to the data collected by Marcelus Investment managers.

“50 % of India’s population, which pays taxes, has witnessed that its income is stagnant in absolute terms over the past decade. This means that the half of income is in real terms [adjusted for inflation]He says a reportPublished in January.

“This financial hammer has been destroyed by middle -class savings – RBI [Reserve Bank of India] He has repeatedly highlighted that net financial savings of Indian families are close to the lowest level in 50 years. This shelling indicates that the products and services associated with homey -class spending are likely to face a difficult time in the coming years, “he adds.

The Marcellus report also indicates that white -collars urban functions have become difficult to obtain as artificial intelligence is automated by routine and secretarial routines and others. “The number of supervisors working in manufacturing units [as a percentage of all employed] In India, it has decreased dramatically, “he added.

The last government Economic survey He has marked these concerns as well.

She says that the displacement of employment as a result of these technological developments is a special concern for the economy mainly by services such as India, as a large share of the workforce in information technology is used in the low -value services sectors that are more vulnerable to turmoil.

“India is also an economy based on consumption, and therefore the decrease in consumption that can be caused by the displacement of its workforce, must have the effects of the macroeconomic economy. If the worst expectations of cases are achieved, this may have the ability to determine the economic growth of the country. Outside the track.

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