Household savings in India are estimated using a straightforward formula: gross financial savings minus financial liabilities plus physical savings. Gross financial savings encompass various investments including deposits and securities, while physical savings refer to tangible assets like real estate and gold. Financial liabilities indicate household debt. These savings are crucial for businesses seeking expansion and for government borrowing for development projects. As of FY2023, gross household savings have surged from Rs.23 lakh crore in FY2012 to Rs.65 lakh crore, reflecting an annual growth rate of 9.72%. However, physical assets account for over 70% of household savings, and net financial savings have notably decreased by 40% from FY2021 to FY2023.