How Did India's Household Wealth Surge 14.5% in 2024?
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Synopsis
India's wealth market is on fire, with household financial assets soaring by 14.5% in 2024. This growth, the fastest in eight years, underscores the rising influence of the middle class and positions India as a key player in the global wealth landscape. Uncover the factors behind this impressive surge!
Key Takeaways
- 14.5% increase in Indian household financial assets in 2024.
- Wealth growth is the strongest in eight years.
- Significant growth in securities, insurance, and pensions.
- Household debt remains at 41% of GDP.
- Top 10% hold 65% of household wealth in India.
New Delhi, Sep 28 (NationPress) India has positioned itself as one of the world's rapidly expanding wealth markets, with a remarkable 14.5% increase in household financial assets in 2024 compared to the previous year, as reported by a recent study.
The Allianz Global Wealth Report 2025 underscores that the wealth of Indian households has reached its peak growth in eight years, showcasing the rising significance of the nation’s middle class.
Over the past two decades, India's real per capita financial assets have increased fivefold, placing it among the most notable wealth growth stories of emerging economies. Last year, securities led the charge with a striking 28.7% growth, while insurance and pensions saw a boost of 19.7%.
Bank deposits, which account for 54% of household portfolios, saw an increase of 8.7%. When adjusted for inflation, financial assets rose by 9.4%, enhancing purchasing power to 40% above pre-pandemic levels.
In comparison, Western Europe's purchasing power has dipped 2.4% since 2019. In 2024, the net financial assets per Indian climbed to $2,818, reflecting a 15.6% rise from the previous year.
The report notes that liabilities have increased by a modest 12.1%, keeping household debt at 41% of GDP.
Furthermore, it highlights a stagnation in global progress on inequality over the last two decades, with the wealthiest 10% still commanding approximately 60% of household wealth. In India, the top 10% held 65% of household wealth in 2024, up from 58% in 2004.
In the last decade, US households have been responsible for 47% of global wealth growth, while China contributed 20% and Western Europe 12%.
Globally, wealth in securities rose by nearly 12% in 2024, outpacing the growth of bank deposits and insurance/pension assets. North Americans invest 59% of their portfolios in securities, compared to 35% in Western Europe and merely 13% in India.
Point of View
The significant increase in household wealth reflects not only the resilience of the Indian economy but also the increasing importance of the middle class. This growth is critical for shaping future policies and ensuring equitable distribution of wealth across the nation.
NationPress
28/09/2025
Frequently Asked Questions
What contributed to the 14.5% growth in India's household wealth?
The growth was primarily driven by significant increases in securities, insurance, and pensions, along with a rise in bank deposits.
How does India's household wealth compare globally?
India's household wealth growth is among the fastest in the world, with a substantial portion controlled by the top 10% of the population.
What does the future hold for India's wealth distribution?
Despite the growth, challenges remain in addressing inequality, as the wealthiest still control a large share of household assets.
