India’s 2023 Expenditure: Analysis of Spending Habits Shows Interesting Insights

Razorpay, a prominent financial solutions company, has recently published its annual payments report, providing insights into Indians’ spending patterns in 2023. The report analyzed more than a billion transactions conducted on its platform from April 1, 2023, to March 31, 2024, shedding light on where Indian consumers allocated their finances.

One notable trend highlighted in the report is the significant increase in mutual fund investments, which surged by 86% compared to the previous financial year. Additionally, there was a 62% rise in trading value, indicating a growing interest in trading among Indian consumers.

Moreover, insurance payments also saw a 56% uptick. The leisure sector experienced a notable boost as well, with multiplex transactions witnessing a substantial 42% growth, attributed in part to the success of blockbuster movies like “Jawan,” “Barbie,” and “Oppenheimer.”

Travel-related expenses also surged, with a 2.4 times increase in air travel payments and a 29% rise in travel accommodations spending in FY24. Notably, health and wellness expenditures saw a substantial increase, with a 125% rise in spending on dieticians in 2023.

Furthermore, the report outlined heightened spending on festivities and celebrations, particularly during Dhanteras and Diwali, where gold purchases peaked at over 9 times the daily average. Additionally, the report identified interesting spending trends on specific days, such as noteworthy activity at bookstores on April Fools’ Day, surpassing the daily average by over 3 times through in-store transactions.

In another intriguing observation, the report revealed a 28% drop in cab payments between 2 and 10 pm on November 19, coinciding with India vs Australia’s World Cup match, as millions opted to watch the game at home. These insights provide valuable information on consumer behavior and spending patterns in India for the specified period.