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India on track to become global consumption capital, reveals new report

India is on the path to becoming the world’s leading consumption economy, as household growth, tax reforms, and a booming Gen Z population fuel discretionary spending.

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India is on the path to becoming the world's leading consumption economy, as household growth, tax reforms, and a booming Gen Z population fuel discretionary spending.

India is projected to emerge as the consumption capital of the world, driven by strong economic trends, rising per capita income, and a booming Gen Z population, according to a recent report by a media citing analysis from Angel One and Iconic Asset.

Household growth outpaces population rise

The report highlights that household formation in India is accelerating due to the increasing trend of nuclear families. This surge is outpacing overall population growth, emerging as a pivotal factor fueling higher consumption across sectors.

Currently, consumption constitutes 56% of India’s GDP, making it the most rapidly growing segment of the economy. Projections indicate that India’s consumption is expected to double by 2034, placing the country ahead of major global economies.

Future savings to unlock consumption potential

India’s economic landscape is set for a dramatic transformation with its total savings over the next 25 years projected at USD 103 trillion—a tenfold increase from USD 12 trillion between FY1997 and 2023. These savings are anticipated to unleash massive potential for incremental consumption.

Moreover, recent tax reductions in the Union Budget are expected to unlock ₹1 lakh crore, leading to an additional consumption boost of ₹3.3 lakh crore. This move alone could potentially add 1% to the national GDP, the report states.

A trajectory similar to the US and China

The report draws parallels with historical patterns seen in the US and China, where periods of rising per capita income triggered significant increases in discretionary spending. India is expected to follow a similar trajectory, with notable growth in categories such as consumer electronics, apparel, jewellery, and the experience economy.

Gen Z and modern retail: the next frontier

With 92% of retail trade still dominated by Kirana stores, the report underlines the untapped potential for modern retail to expand and gain market share. Furthermore, India’s Gen Z population already surpasses the total population of the US, and by 2035, every second rupee spent will come from a Gen Zer, adding a demographic edge to India’s consumption story.

India News

Prashant Kishor calls Nitish Kumar mentally unfit, urges JDU leader’s resignation ahead of Bihar polls

Jan Suraaj’s Prashant Kishor has urged Bihar CM Nitish Kumar to resign, citing poor health. RJD’s Tejashwi Yadav also raised concerns over Kumar’s public conduct.

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Prashant Kishor, Nitish Kumar, Bihar politics, Jan Suraaj, Tejashwi Yadav, RJD, JD(U), Bihar Assembly Elections, BPSC protest, national anthem controversy

Amid rising political heat in Bihar, Jan Suraaj founder Prashant Kishor has called on Chief Minister Nitish Kumar to resign, citing his alleged deteriorating mental health condition. The Jansuraj leader claimed that Kumar is no longer in a position to lead the state effectively and accused both JD(U) and BJP leadership of ignoring visible signs of his health issues.

At a press conference, Kishor said, “Nitish Kumar is physically tired and mentally unfit. If anyone has doubts, ask him to name the ministers in his council. He should resign.” He further alleged that the BJP, despite being aware, has continued to support Kumar’s leadership. “It’s hard to believe that the Prime Minister or Home Minister are unaware of his condition,” he said.

Kishor pointed out that concerns about the Chief Minister’s health were initially raised by his own ally, Sushil Kumar Modi. “During the recent BPSC protests, I realised his condition had worsened to a level where he is unaware of the situation in the state,” Kishor added.

In a parallel development, a poster targeting the Chief Minister was seen outside the residence of former CM Rabri Devi in Patna. The satirical message read: “The non-serious Chief Minister, Jan Jan Man Adhinayak Jay Hai, Nahi Kursi Kursi Kursi Jay Hai,” mocking Nitish Kumar’s grip on power.

Adding to the criticism, RJD leader Tejashwi Yadav shared a video on social media platform X, alleging that Nitish Kumar disrespected the national anthem at a recent event by gesturing and talking during its play. “At least do not insult the national anthem,” Yadav posted. “You are not mentally and physically stable even for a few seconds, and your being in this position is a matter of serious concern,” he added in his tweet.

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Sushant Singh Rajput death case was pure suicide, says Rhea Chakraborty’s lawyer after CBI closure report

After the CBI filed its closure report in the Sushant Singh Rajput death case, Rhea Chakraborty’s lawyer stated the case was a “pure suicide” and reaffirmed her lack of involvement.

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Rhea Chakraborty

Following the submission of a closure report by the Central Bureau of Investigation (CBI) in the death case of actor Sushant Singh Rajput, Rhea Chakraborty’s lawyer, Satish Maneshinde, has firmly reiterated that the actor’s death was a “pure case of suicide” and that Rhea had no role in it.

Speaking to the media, Maneshinde said, “I have been saying from the first day that Rhea Chakraborty had nothing to do with Sushant Singh Rajput’s death. Still, on July 27, 2020, someone filed a complaint against her and that is why the investigation started.” He highlighted that Sushant’s death on June 14, 2020, was initially registered as a suicide by the Maharashtra Police and was being investigated accordingly.

According to Maneshinde, the Deputy Commissioner of Police of Mumbai’s Bandra zone had thoroughly examined the case and found no links between Rhea and Sushant’s death. Her statement had also been recorded during the state police probe.

Rhea had no contact with Sushant post-June 8, says lawyer

The lawyer also revealed that Rhea left Sushant’s residence on June 8, 2020, due to growing tensions between the two over his drug usage and medication patterns. After this point, there was reportedly no contact between the two.

He added that at the time of Sushant’s death, the actor was living with two to three staff members and flatmates, yet Rhea was accused by the family of misappropriating ₹15 crore from his accounts, which led to a case being filed in Patna.

“Despite all this, Sushant’s family dragged Rhea Chakraborty into this case… and because of their allegations, the Supreme Court transferred the case to the CBI,” Maneshinde stated. He pointed out that the CBI had interrogated Rhea and her family members extensively over the years and has now, nearly five years later, filed a closure report.

CBI files closure report nearly five years after actor’s death

On Saturday, sources confirmed that the CBI submitted its closure report to a Mumbai court. Sushant Singh Rajput was found dead in his Bandra flat on June 14, 2020, triggering a national debate and widespread media attention. His postmortem, conducted at Mumbai’s Cooper Hospital, cited asphyxia as the cause of death.

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Parliament budget session disrupted over minority reservation row in Rajya Sabha

Budget Session proceedings in Parliament were disrupted as protests erupted in Rajya Sabha over a statement on Muslim reservation, prompting adjournments in both Houses.

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Rajya Sabha disrupted over Muslim reservation debate

Chaos erupted in Parliament on Monday during the ongoing Budget Session as both Lok Sabha and Rajya Sabha were adjourned within minutes of commencing proceedings. The disruption was sparked by a heated row in the Rajya Sabha over the issue of minority reservations, with opposition and ruling party members clashing over remarks concerning potential constitutional changes.

As the Rajya Sabha began its session, BJP MPs raised loud objections, demanding Leader of Opposition Mallikarjun Kharge clarify the Congress party’s position on reservations for Muslims. The uproar was triggered by a recent remark allegedly made by a senior Congress leader regarding constitutional amendments to extend reservation benefits to the Muslim community.

BJP MP Kiren Rijiju highlighted the issue, stating, “A senior Congress leader holding a constitutional post has made a statement that they (Congress) are going to change the Constitution of India to provide reservation to the Muslim community. We cannot take this statement lightly.”

Backing Rijiju, Leader of the House JP Nadda reiterated that the Constitution clearly mentions that reservation cannot be granted on the basis of religion. The statement added fuel to the fire, further intensifying the protests.

As tensions rose, the Rajya Sabha was adjourned until 2 pm. Meanwhile, the Lok Sabha was adjourned till 12 noon due to similar disruptions.

Amid the uproar, important legislative business remains pending. In the Lok Sabha, Union Finance Minister Nirmala Sitharaman is scheduled to move The Finance Bill, 2025 for consideration and passing. In the Rajya Sabha, she will also seek the passage of The Banking Laws (Amendment) Bill, 2024.

The Parliament is expected to reconvene later in the day, with the government aiming to push forward with legislative agendas amid the political turbulence.

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