Investment is said to be the driving force of an economy. The level of investment determines the net capital formation
of a country and eventually it robust long term growth of the economy. The level of investment is determined by the level of
savings, particularly, the household savings. In fact, it is the level of household savings and investment which is the key factor
of growth. With middle income groups dominating the household sector, the savings from this group determines the level of
investment and capital formation. According to the reports of Ministry of Statistics and Programme Implementation, the
household sector accounts for 81.80 per cent of the gross domestic savings of the country.
