Lenders fuel higher consumer spending

Bullish outlook: People shop for decorative items ahead of Diwali in Mumbai. Businesses are expecting sales during the festival will pick up to levels seen before the pandemic struck early last year. — AFP

NEW DELHI: Some of India’s top lenders and shadow finance companies are helping fuel demand among consumers wanting to splurge on everything from clothes to two-wheelers and homes, offering hopes of a consumption-driven recovery in Asia’s third-largest economy.

Businesses are expecting sales during Diwali – the Hindu festival of lights – will pick up to levels seen before the pandemic struck early last year.