NABARD Rural Sentiment Survey Sept 2025: Income Optimism Slips
Why in the news
NABARD’s seventh bi-monthly rural sentiment survey in September 2025 found falling confidence, linked mainly to steep US tariffs.
| Indicator | July 2025 | September 2025 |
|---|---|---|
| Expect higher income in a year | Nearly 75% | 72.8% |
| Expect better income next quarter | 56.4% | 51.6% |
Key facts
- A 50% US tariff touches about 55% of India’s US shipments; seafood exports were hit directly.
- 54.5% borrow only from formal sources; 20% only informal, mostly friends and relatives.
- Informal loan rates: average 17-18%, median 12%; a third pay over 20%, about 30% pay nothing.
- Households with higher income saw earnings up 12.8%.
- Perceived inflation averaged 4.09%, down ~150 bps since November 2024; median 3%.
Development priorities
- Roads led at 45.3% of households, then education (12%) and electricity (8.7%).