Southern states lead in household debt charts: Mospi
Business Standard
|October 24, 2025
Delhi least indebted; relative prosperity allows southern households to take bigger loans and service them
People in South India are comparatively more indebted than those in the rest of the country, according to a study published in the latest issue of the statistics ministry's biannual journal Sarvekshana. Experts say this reflects the region’s greater prosperity, which allows households to take on higher debt and service it effectively.
Data showed that more than two out of five people in Andhra Pradesh are indebted (43.7 per cent), followed by Telangana (37.2 per cent), Kerala (29.9 per cent), Tamil Nadu (29.4 per cent), Puducherry (28.3 per cent), and Karnataka (23.2 per cent).
At the national level, the share of India’s adult population with outstanding debt stood at nearly 15 per cent in 2021.
The study used unit-level data from the National Statistics Office (NSO) 78th round (2020-21) Multiple Indicator Survey (MIS).
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