India's Household Savings Drop Amid Growing Working-Age Population

India has a lot of young workers, but they are not saving much money.

The share of people who can work has gone up from about 58% to 65% over the last 25 years.

At the same time, the amount of money families keep in savings has dropped from about a third of their income to only a fifth.

This happens because many workers earn low wages, most jobs are informal, and people do not have good savings plans.

Instead of saving, families borrow money from credit cards and loans, which makes them owe more.

The Reserve Bank of India is trying to slow this borrowing by making banks hold more money for risky loans.

If this keeps happening, India will have less money to invest in things like roads and factories, and it may have to borrow from the government instead.