The monthly household expenses of Indians have doubled. Here is the data released by the National Statistics Office!

In India, Sikkim has the highest per capita monthly expenditure of ₹12,105!

The Ministry of Statistics and Programme Implementation has conducted a monthly household expenditure survey named “Household Consumption Expenditure Survey 2022-23” from August 2022 to July 2023. The survey results were released on February 24 by the National Sample Survey Office (NSSO) under the Union Ministry of Statistics and Programme Implementation.

The survey, which is conducted every five years by the Ministry of Statistics and Programme Implementation, has now been released after about 11 years of not being published. The study collected data from 2,61,746 households (1,55,014 rural households, 1,06,732 urban households) across all states and union territories of India, except a few inaccessible villages in the Andaman and Nicobar Islands.

Key Features of Survey:

Indians Spend Less on Food:

According to this data, the average monthly per capita expenditure of Indians in 2022-23 is Rs 3,773 in rural areas and Rs 6,459 in urban areas. And based on the data given, we can confirm that Indians are spending less on food. Urban Indians spent 39% of their income on food in 2022–2023 and 61% of their income on non-food expenses. Comparably, in rural areas, 46% of expenditures went for food and 54% towards non-food items.

Monthly Household Expenditure of Indians Doubled:

The average monthly per capita expenditure of Indians in rural areas has increased to ₹3,773 in 2022-23 from ₹1,430 in 2011-12. In a similar vein, the average monthly per capita expenditure of Indians in urban areas has increased to ₹6,459 in 2022-23 from ₹2,630 in urban areas. With this, it is clear that the average monthly expenditure in India has doubled.

Indians spend more on transport than education:

The report shows that rural and urban households currently spend more on transport and fuel than on education and health.

In 1999-2000 rural areas spent almost 22% on expenditure on cereals alone. However, it is currently only 4.91%. Comparably, it has also dropped to 3.64% in urban areas. Similarly, when it comes to food items, Indians spend the most (8.3% in rural areas and 7.22% in urban areas) on milk and milk-related products.

Prevailing social inequalities:

The average monthly per capita expenditure of the bottom 5% of rural residents (those at the bottom by caste status) is ₹1,373, whereas the top group spends ₹10,501 per month on average. In urban areas, it is ₹2,001 for the bottom 5% as well. On the other hand, the average monthly expenditure per person in the upper class is ₹20,824.

Caste-based MPCE calculations have also been made. As a result, as the table below shows the average monthly per capita expenditure (MPCE) of SC and ST is less than that of other social classes. Through this, we can understand the economic disparities and inequality in India.

State-wise MPCE :

Sikkim has the highest monthly per capita expenditure when broken down by state. The average monthly expenditure per capita consumption in rural areas is ₹7,731, while in urban areas, it is ₹12,105. In the meantime, Chhattisgarh has the lowest MPCE (rural ₹2,466, urban ₹4,483) of any state. The average monthly expenditure per person in Tamil Nadu is ₹5,310 in rural areas and ₹7,630 in urban areas.

Estimates of MPCE with imputation:

Estimates of MPCE with imputation and average monthly per capita expenditure have been developed in this survey, along with the value figures of the items received free of charge by the households through various social welfare schemes including the Pradhan Mantri Garib Kalyan Yojana. Accordingly, the average monthly per capita expenditure of Indians in 2022-23, including the value of free goods, is Rs 3,860 in rural areas and Rs 6,521 in urban areas.

LINKS:

Household Consumption Expenditure Survey 2022-23 Report

https://pib.gov.in/PressReleaseIframePage.aspx?PRID=2008737

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Indu Meenakshi

Indu Meenakshi is a former Microbiologist-turned-journalist, works as a Sub-Editor at YouTurn. She additionally holds Master’s in Management and English Literature. As a fact-checker, her job entails actively dispelling false information found online, exposing fake news, and raising public awareness.
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