RECSS May 2025: Rural Income Optimism at Record High
Why in the news
The fifth round of NABARD’s bi-monthly Rural Economic Conditions and Sentiments Survey (RECSS), begun in September 2024, showed rural households more upbeat on income than ever, helped by job hopes, firm spending and a good monsoon forecast.
Income expectations for next year
| Expectation | Sep 2024 | Nov 2024 | Jan 2025 | Mar 2025 | May 2025 |
|---|---|---|---|---|---|
| Income to rise | 70.2% | 71.3% | 71.2% | 72.2% | 73.6% |
| Income to fall | 7.3% | 7.8% | 7.4% | 7.5% | 6.7% |
| No change | 22.5% | 20.9% | 21.4% | 20.3% | 19.7% |
Other readings (May 2025)
- Last year’s income: 37.4% up, 21.4% down, 41.3% unchanged.
- Jobs: 53.5% expect improvement in July-September; net +45.4%.
- Spending: 79.1% spent more; net +74.6%.
- Savings: 18.8% saved more, 28.7% less; net -9.9%.
Real wages (India Ratings)
- FY26 growth seen at 6.5% versus 7% in FY25; monsoon and trade risks remain.