The Indian Opportunity is about domestic consumption. Mauryan is actively exploring several business areas in order for its shareholders and investors to benefit from the Indian Opportunity. Key drivers impacting the domestic market are listed below.

Large Population Moving Up the Income Curve
India has a population of approximately 1.14bn people or 214m households. Reported GDP at $1.2TRN places India among the top four world economies on a purchasing power parity basis. The economy is growing with GDP growth of 8.4% pa (last 5 years) and GNP per capita increasing at a rate of 10.6% per year in nominal terms (FY01-08).

High Savings Rate
In the absence of a government safety net, Indian households have a savings rate approaching 30% with almost 52% of Indian household savings in physical assets such as real estate.

Demographic Dividend
The percentage of the Indian population that is made up of the earning population (in the 20-59 age class) is expected to increase from 548mn, approximately 50% of the population in 2005 to 652mn, 52% in 2015. The average age of the home loan borrower was 43 years in 1999, 36 years in 2004 and is expected to fall to 33 years by 2010.

Rapid Urbanization
India's urban population has increased from 18% of the total population in 1961 to 286mn in 2001, which was 28% of the total population. This is primarily a function of the continuing transformation of the Indian economy from an agriculture-based to a services-based economy. A conservative estimate suggests that urbanization is expected to increase to 394mn by 2015 (31% of the total population). The top 20 cities have only 8% of the total population but generate 21% of total consumption expenditure, 31% of disposable income and 60% of urban national income. The top 5 cities (all with over 5mn populations) account for nearly 45% of urban expenditure.

Growing Mortgage Market
Mortgage penetration as a percentage of GDP is just 5% in India compared to the Asian average of around 20%.