Salaried individuals across India allocate more than 33% of their monthly income toward paying loan EMIs, underlining the growing burden of credit-driven consumption, revealed a survey. Participants of the study ranged from tier-III cities to metropolitans, with income levels ranging from Rs 20,000 to Rs 1,00,000 per month.

The report, based on a comprehensive study of over 30 lakh tech-savvy consumers, revealed that 39% of consumers’ total spending goes toward obligatory expenditures, followed by 32% on necessities and 29% on discretionary spending.

The report—How India Spends—says the share of individuals paying loan EMIs (equated monthly instalments) is highest among upper-mid-level earners and lowest among entry-level earners. Further, those in lower salary brackets are more likely to take loans from informal sources such as friends, family, or local shadow lenders.