The COVID-19 pandemic has adversely affected all segments of the Indian economy. While confidence about the present situation has taken a hit, Indian consumers remain optimistic about the future. As per a Reserve Bank of India staff paper, released on January 17, consumers' expectations have recovered "relatively faster than perceptions". The RBI's Future Expectations Index has been above 100 – the level which separates optimism from pessimism – since May 2021. While the Future Expectations Index remains well below pre-pandemic levels, the RBI staff paper said expectations for the year ahead showed faith in the economic recovery once the pandemic subsides.