Mumbai: Home Credit India, a leading consumer finance company, today unveiled the findings of the fourth edition of its annual report, The Great Indian Wallet 2026, themed ‘From Tax relief to tangible choices – how India’s wallets are being reshaped’. The GIW 4.0 study reveals a notable shift in consumer sentiment, driven by greater access to credit and the financial relief following GST reforms. Together, these factors have eased the burden of everyday household expenses, strengthened financial confidence, and reinforced prioritisation of homeownership as the foremost long-term financial goal.

“When we initiated ‘The Great Indian Wallet Study’ in 2023, we sought to understand the financial pulse of India. What we discovered was a purpose driven and financially prudent nation,” said Ashish Tiwari, Chief Marketing & People Officer, Home Credit India. “This year’s findings reveal something extraordinary. Despite economic headwinds, the tangible relief brought on by post-GST price revisions, paired with structured financial tools, is smoothing their path toward wealth creation and entrepreneurial expansion.”

Mumbai continues to reinforce its position as India’s aspiration and experience economy capital, according to the Home Credit India Great India Wallet Study 2026. Despite one of the country’s highest cost-of-living environments, the city demonstrates strong financial resilience, with consumers balancing essential expenses, discretionary spending and long-term financial aspirations. The study also highlights strong confidence in digital financial tools, while 54% of respondents say handling unexpected expenses has become easier, reflecting improving financial preparedness.

Respondents in Mumbai report an average monthly household income of ₹37,000 against monthly expenses of ₹23,000, while contributing 68% of household expenses. Although 49% of respondents are able to save after meeting monthly expenses, the city recorded a 10-point increase in savings and a 28-point increase in investments over the previous year, indicating continued focus on financial planning despite higher living costs.

Essential monthly expenses are led by groceries (25% wallet share), followed by rent (24%), commute (16%), children’s education (15%), medical expenses (8%), utility bills (6%), cooking gas (4%), and mobile bills (3%).

Mumbai continues to lead discretionary and lifestyle spending, with fashion purchases (34%) emerging as the top category, followed by outstation travel (27%), electronic devices (24%), home appliances (10%), and home décor (4%). Looking ahead, respondents identify buying a house (33%) and starting a business (29%) as their key financial aspirations, followed by saving for children’s education (15%), paying off existing loans (11%), and purchasing a car (9%).

To achieve these aspirations, respondents identify access to credit at attractive interest rates and flexible repayment tenures (23%) as the primary financial enabler, followed by fixed deposits (9%), life insurance (6%), gold investments (6%), mutual funds/SIPs (5%), and health insurance (5%).

While awareness of GST-related changes remains moderate, 73% of respondents believe GST-related changes have improved spending on family well-being. Consumers also report the highest perceived price savings in two-wheelers (33%), followed by smartphones (29%) and home appliances (28%). Following GST 2.0, 13% of respondents are spending more on better food quality and 4% on healthcare, reflecting continued prioritisation of quality-of-life spending.

The Great Indian Wallet 4.0 study was conducted with borrowers aged 18-55 years, across 17 major Indian cities and varied income groups and professions.