Retail Investor Distribution across States

• India has 23.17 crore investors registered till August 2025, reflecting the deepening penetration of financial markets across the country. The distribution shows a clear concentration in a few large states, but also interesting growth trends in smaller regions.

• Maharashtra (4.0 crore investors) leads by a huge margin, accounting for nearly 17% of all Indian investors. This reflects the state’s financial hub status (Mumbai, Pune) and higher financial literacy. Uttar Pradesh (2.56 crore investors) and Rajasthan (1.33 crore investors) show that investor participation is rising even in non-metro, traditionally agrarian economies. West Bengal (1.34 crore), Madhya Pradesh (1.18 crore), Tamil Nadu (1.18 crore), and Karnataka (1.23 crore) also show strong numbers, collectively representing the backbone of India’s retail investor base.

• Financial inclusion is widening: Even states traditionally seen as less urbanized (Bihar 99 lakh, UP 2.56 crore) are catching up with metros. Maharashtra’s dominance shows how urban, high-income states continue to lead adoption.

• Regional disparity remains: While large states cross the 1 crore investor mark, several Northeastern and UT regions struggle below 1 lakh. Future growth will likely come from Tier-2/3 cities in Uttar Pradesh, Bihar, Rajasthan, and Odisha, alongside efforts in the Northeast.

• India’s retail investor base is broadening, but participation is still uneven — heavily skewed towards a few large states. The next wave of growth will depend on digital outreach, literacy drives, and regional financial infrastructure.