47% Indians not saving for retirement: HSBC

Mumbai: Even as financial security after retirement is valued more, a report revealed that 47 percent of working people in India have not started saving for their future or have stopped or faced difficulties while saving.

"A large number (47 percent) of working people in India have either not started saving for their retirement or have stopped or faced difficulties while saving for their future. This is higher than the global average (46 percent)," according to the report by HSBC.

The survey, which was conducted online by Ipsos MORI in September and October 2015, is 13th in the series and represents the views of 18,207 people in 17 countries and territories worldwide, including Argentina, Australia, Brazil, Canada, China, Egypt, France, Hong Kong, India, Indonesia, Malaysia, Mexico, Singapore, Taiwan, United Arab Emirates, United Kingdom and United States.

According to the report, an alarming 44 percent of working people in India, who had started saving for their retirement have stopped or faced difficulties.

Further, the report also found that more than one-fifth (21 percent) of the working population surveyed have not even started saving for retirement, while 22 percent of people aged 60 and over and 14 percent in their 50s have not begun to save for retirement.

One in 10 of working people have never received professional advice or information about retirement, it revealed.

Interestingly, friends and family were the most common sources of retirement advice or information, the report said.

While almost 80 percent of pre-retirees sought advice from friends and family, 82 percent of retirees have received advice from them.

On the flip side, it said only 40 percent of pre-retirees and 53 percent of retirees have received retirement advice and information from professionals, including financial advisors, government agencies, insurance brokers, bank advisors, among others.