source: RBI

Despite being amongst the biggest savers in the world, Indians do not rank very high when it comes to holding financial assets. This is primarily due to low financial inclusion. As a result the proportion of financial assets to GDP has increased only marginally over the past few years. But with better availability of bank credit, financial liabilities have seen a steadier rise. As today's chart shows, the proportion of Indian households' financial liabilities to GDP has risen from 3.8% in FY06 to 7% in FY10. Having said that the ratio still remains one of the lowest amongst developing markets and leaves a comfortable gap between assets and liabilities