Festive season, GST reforms lift consumer sentiment in October: LSEG-Ipsos survey

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India’s consumer sentiment rose in October 2025, buoyed by festive cheer and recent GST adjustments that eased household budgets and lifted confidence, according to the latest LSEG-Ipsos Primary Consumer Sentiment Index (PCSI).

The survey showed India’s National Index score increased by 1.4 percentage points this month, reflecting stronger optimism about personal finances, job prospects, and spending. The rise comes as festive shopping and government-led tax reforms helped boost economic confidence across urban and rural households.

“From late September through October, India has been in a celebratory mood, with a host of festivals creating a feel-good atmosphere,” said Suresh Ramalingam, CEO of Ipsos India. “The festive fervour, combined with the government’s recent GST reforms aimed at reducing the cost of living and enhancing household savings, appears to have provided a further boost to consumer sentiment.”

The report noted gains across all four sub-indices: confidence in current financial conditions rose 2.4 points, the jobs index climbed 2.2 points, expectations for the economy edged up 0.2 points, and investment sentiment improved by 1.2 points.

“Many companies distribute Diwali bonuses, and the accompanying holidays further create an upbeat mood driving positive sentiment,” Ramalingam added. “Hiring momentum remains strong across sectors such as e-commerce, logistics, retail, automotive, and EV infrastructure, with Tier 2 cities emerging as vibrant employment hubs.”

Globally, Indonesia saw the sharpest rise in consumer sentiment (+6.5 points), followed by Thailand (+3.6), South Korea (+2.6), Malaysia (+2.1), and India (+1.4). Meanwhile, Australia and Japan saw marginal declines.

Among 30 countries surveyed, Indonesia led with a National Index score of 58.8, closely followed by India at 58.4 — placing both among the world’s most optimistic consumer markets.

The LSEG-Ipsos PCSI is a monthly survey tracking confidence in the economy, jobs, personal finances, and investments across 30 countries. The October 2025 report was based on responses from over 21,000 adults, including 2,200 from India.