Credit Score Monitoring and Financial Trends in India
The financial habits of Indian consumers, particularly among Gen Z and millennials, are evolving with a focus on credit score monitoring. Despite high salaries and strong CIBIL scores, some individuals still face challenges in acquiring premium credit cards.
- 183 million Indians actively monitor their credit scores, with Gen Z and millennials forming 77% of this group.
- Monitoring credit scores often leads to increased spending on consumption loans such as gold and two-wheeler loans.
- More than half of all first-time borrowers are under 35 years old.
- Indian households spend an average of Rs 1.43 lakh annually on consumer durables, often financed through EMIs or buy-now-pay-later schemes.
Employment Challenges for Indian Graduates
The job market for graduates in India presents significant challenges, with a large proportion of graduates unable to secure permanent employment.
- Less than 7% of male Indian graduates find a permanent salaried job within a year of graduation.
- 11 million out of 63 million graduates aged 20-29 were unemployed in 2023.
- 85% of engineering and 74% of business school 2026 graduates are unplaced, indicating a structural gap in the job market.
Shifting Hiring Trends
Post-pandemic, hiring trends have shifted towards skills-filtered recruitment, focusing on specialized and tech-enabled functions.
- Demand is rising for roles in cloud, AI, cybersecurity, and data engineering in the financial services sector.
- Salary disparities are increasing, with high-demand digital roles offering significantly higher pay than traditional IT roles.
Demographic Dividend and Future Challenges
India's youth demographic presents both opportunities and challenges, with a pressing need to create jobs and impart skills.
- India has around 400 million people in the 15-29 age group, crucial for economic growth.
- India's demographic advantage is time-sensitive, with an urgent need for policy measures to address employment challenges.
- As the population ages, the lack of employment will pose significant social and financial burdens.
