INDIA MARKET LENS
Economy & Policy▲ PositiveMonetary Policy

Salary hikes at 9.1%, inflation still bites: Are employees actually getting richer in 2027?

Indian markets moved higher in a monetary policy development.

· Business Today Mkts

India Inc’s average salary hike is projected to rise marginally to 9.1% in 2027 from 9% in 2026, according to Aon. But with inflation, taxes and rising household expenses eating into increments, how much more purchasing power will employees actually gain?

Rate decisions ripple straight into banks, NBFCs and every rate-sensitive sector — from real estate to autos.

Because the driver here is macro rather than company-specific, the read-through is to index-level positioning rather than to any single name — correlations tend to rise when the whole market faces the same signal.

  • A market-wide development: it reaches beyond any single stock.
  • Sectors in the story: Power.

Power

1M -6.9% · 3M -13.2%

Sector moves are the average of the stocks we track in each sector.

Power