Recently, the National Agriculture and Rural Development Bank (NABARD) conducted a survey in September 2025, in which it was revealed that more than 73% of rural families are expecting an increase in their income in the next one year. A year ago, more than 70% of rural families were expected to increase their income. It is clear that the economic situation of rural areas is gradually improving and trust is maintained in the people.
Income stability and decline rate low
The survey also said that the number of families whose income has declined, has reduced in the last one year. In September 2025, only 18% of the families stated their income decrease, while the number was about 24% a year ago. This means that the problem of fall in income in rural areas is gradually decreasing. Also, the income of about 44.5% of the families remains stable, which is the highest compared to previous years.
Increase in consumption
According to the survey, more than 76% of rural families have stated an increase in the expenditure of their daily needs. This means that people are using their income more, which is a positive sign for the rural economy. However, the speed of the increase of consumption has slowed down slightly, due to recent floods and landslides can also be natural disasters.
Meanwhile, the number of saving families has also increased, which shows that villagers are spending their income wisely and also saving for the future. The number of borrowers has decreased, which further increases the expectation of improvement in the economic condition of the villagers.
Source and interest rate of loan
The survey also revealed that now most of the rural families (about 55%) are taking loans only from banks or other formal institutions, while 22% of families still borrow from informal sources such as friends or landlords. The interest rate on informal loans is about 17–18%, which is very high and can become a burden for poor families.
Better rural infrastructure and government help
More than three-fourths of rural families believe that the infrastructure of villages has improved in the last one year. This is a sign of improvement of roads, electricity, water and other facilities, due to which rural life is becoming easier.
Apart from this, the central and state governments are running several schemes to help rural people, including benefits like food items, water, electricity, gas, education materials and pension at free or low cost. This government help helps to balance both the income and expenses of the rural families.