RBI's June 2026 Financial Stability Report (FSR) is an unusually transparent piece of central-bank writing - one that discloses its assumptions, names risks, and resists temptation of mistaking a rising market for a healthy one.
Household debt: It has risen to 45.5% of GDP, up four percentage points in a year, and the report takes comfort in the fact that borrowers are better rated than before. That is true and worth noting, but it answers only who is borrowing, not why.
