Mumbai, Jan. 14 -- Fiscal and monetary policies cushioned household purses and buoyed sentiment, contributing to stronger consumption during the 2025 festive stretch. But with celebrations behind and policy oxygen expected to thin out in 2026, economists say the baton will need to pass to jobs and wage growth if consumption is to hold its course.

The Centre for Monitoring Indian Economy's Consumer Pyramids Household Survey (CPHS) showed consumer confidence remained elevated between October through December. The Index of Consumer Sentiments (ICS) rose at an average of around 2% during this period, led by a sharp rural recovery, while urban confidence remains patchy.







The quality of sentiment improved as rural households reported bet...