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The survey showed that 30% had reduced discretionary spending like leisure, travel, eating out, shopping, etc while another 8% said they will soon be reducing their expenses.
Illustration by Mir Suhail/News18.com
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A five-poll survey conducted by Local Circles asked citizens how much they planned to spend as a household till November.
The survey revealed that 44% of the respondents said they plan to spend up to Rs 10,000 towards festive basics while 30% said they plan to spend between Rs 10,000 and Rs 50,000 during the festive period.
Out of the total 38,000 surveyed, approximately 37% were women while 63% were men. 45% of the participants were from Metro/Tier 1 cities, 34% from Tier 2 cities and 21% were from Tier 3 and rural locations.
The survey showed that 30% had reduced discretionary spending like leisure, travel, eating out, shopping, etc while another 8% said they will soon be reducing their expenses.
Since September 1, petrol prices have gone up by over Rs 3.78 a litre, while diesel rates have been hiked by Rs 3.57 a litre. All-time high prices of fuel coupled with the falling value of Rupee – which fell to an all-time low of Rs 72.91 against the US Dollar on September 12 – have dented personal budgets. This has dealt a blow to the Centre’s image, with the Opposition taking to streets to protest against the government’s inability to contain the prices of fuel.
The survey also asked respondents how their household condition has been in the last 12 months with respect to earnings and expenses. 22% said earnings have risen less than the expenses while 38% said that earnings have been flat, but expenses have risen significantly. Only 16% said earnings have risen significantly more than the expenses, and 24% said earnings have risen slightly more than the expenses.
61% of the respondents said that they do not plan to make any major purchases while 13% said they plan to buy electronics or appliances worth Rs. 50,000 or more.
18% said they plan to buy real estate, upgrade their house or jewellery in the next 12 months while 8% plan to buy an automobile.
Notably, about 38% think that their annual expenses will stay the same over the next year and 20% expect it to decrease. Only a mere 12% see it increasing over 15% and about 30% see it going up by up to 15% .
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Source: News18