India sees commercial LPG price hikes and rising credit demand

India is experiencing a mix of rising commercial costs and increased consumer credit demand as the festive season approaches. Petroleum companies have raised the prices of commercial LPG cylinders by up to 71 rupees. In Delhi, the new price for a commercial cylinder is 2,810 rupees, while Mumbai has seen prices reach 2,764 rupees. This hike is expected to impact the hospitality sector, potentially increasing the cost of restaurant meals and sweets. However, domestic LPG prices remain stable, with the price in Delhi holding at 942 rupees.

Simultaneously, the festive period is driving a surge in retail credit. Data from TransUnion CIBIL indicates higher demand for consumer durable, auto, and two-wheeler loans. Credit card spending has also accelerated, with RBI data showing a 15% year-on-year increase in average expenditure per card as of September 2025. Surveys indicate significant spending levels, with many consumers utilizing credit to manage large-ticket festive purchases.