RBI Annual Report 2024-25: Household savings in shares, deposits, provident and pension funds surge

The Reserve Bank of India released its Annual Report 2024-25 on Thursday (May 29, 2025). The report shows an increase in household savings as a percent of the Gross National Disposable Income (GNDI) in 2023-24 compared to the previous year.

Total household savings in assets like shares and debentures, bank deposits, provident and pension funds as a percent of GNDI increased in 2023-24. However, households' financial liabilities also increased from 5.8% of GNDI in 2022-23 to 6.1% in 2023-24.

Gross financial savings in shares and debentures increased from 0.8% of GNDI in 2022-23 to 0.9% in 2023-24.

The share of bank deposits in household financial savings increased from 4.1% of GNDI in 2022-23 to 4.5% in 2023-24. The rise in deposits may have been influenced by higher bank deposit rates during 2023-24.

Similarly, the share of provident and pension funds also increased from 2.3% in 2022-23 to 2.4% in 2023-24.

However, there was a decline in the share of cash (currency), claims on government and insurance funds, according to the report.

Source: RBI Annual Report 2024-25

Credit card outstanding decline

Even as financial liabilities of households increased, the report shows a decline in credit card outstanding and various other personal loans. Credit card outstanding declined from 9.6% in 2022-23 to 8.6% in 2023-24, while housing loans declined from 15.6% to 15.3%. Personal loans for consumer durables declined from 2.2% to -1.3%, while vehicle loans also declined from 9.6% to 8.6%.

The report further said that double-digit growth in bank deposits and credit was sustained during 2024-25. "Although deposit growth trailed credit growth, the gap narrowed during the year."

"Bank credit expansion was largely broad-based, led by retail, services and agriculture sectors. Currency demand growth remained moderate with increasing public preference for digital modes of payments," RBI said.