Consumption Expenditure Growth in Sikkim and Meghalaya
Rural and urban regions of the northeastern states of India, particularly Sikkim and Meghalaya, have witnessed a notable increase in the Monthly Per Capita Consumption Expenditure (MPCE) during August 2023-July 2024.
Key Growth Statistics
- Rural Sikkim:
- MPCE grew by 21.3% to reach Rs 9,377.
- Rural Tripura:
- Growth of 20.2%.
- Rural Nagaland:
- Growth of 17.4%.
- Rural Mizoram:
- Growth of 14.2%.
- Urban Meghalaya:
- MPCE increased by 21.9% to Rs 7,839.
- Urban Manipur:
- Growth of 21.8%.
- Urban Sikkim:
- Growth of 15.1%.
Consumption Inequality Reduction
The Gini coefficient, an indicator of income and consumption inequality, has shown a reduction:
- Rural Areas: Dropped from 0.266 in 2022-23 to 0.237 in 2023-24.
- Urban Areas: Reduced from 0.314 in 2022-23 to 0.284 in 2023-24.
Additional Insights
- Concerns have been raised by the RBI regarding the negative impact of crypto assets on financial stability.
- Stress in the microfinance sector has notably doubled from April to September, according to the RBI.
- The RBI Governor expressed high confidence in the economy's outlook.
- There is a flagged risk of secured loans due to slippages in smaller personal loans by the RBI.
- External debt has risen to $711.8 billion, marking a 4.3% increase from June, as reported by the Finance Ministry.
