The average monthly income of rural households has grown by over 57 per cent from 2016-17 to 2021-22. According to the second All India Rural Financial Inclusion Survey by the National Bank for Agriculture and Rural Development (NABARD), the average monthly income increased from 8,059 rupees in 2016-17 to 12,698 rupees in 2021-22. The average monthly expenditure of households also increased from over 6,600 rupees to over 11,200 rupees.

The survey found that financial savings also rose, with average household savings increasing to over 13,200 rupees, from around 9,100 rupees during the period. Around 66 per cent of households reported saving in 2021-22, up from 50.6 per cent in 2016-17.

The findings also noted a remarkable increase in insurance coverage among rural households in India. According to the survey data, the proportion of households with at least one member insured surged from 25.5 per cent to over 80 per cent.

NABARD’s survey also highlighted the effectiveness of the Kisan Credit Card in expanding financial inclusion among rural farmers. It further found that pension coverage has improved, rising from nearly 19 per cent to 23.5 per cent of households.

Meanwhile, the proportion of households with outstanding debt increased from around 47 per cent in 2016-17 to 52 per cent in 2021-22.