Looking to buy your first car or upgrade to a reliable, fuel-efficient model without burning a hole in your pocket? The Indian car market in 2025 offers a host of budget-friendly options that combine modern features, good mileage, and safety — perfect for city driving or occasional family road trips.
Whether you’re a first-time buyer or looking for a low-maintenance second car, here are the Top 5 budget cars in India this year that should be on your shortlist:
1. Maruti Suzuki Alto K10
One of India’s most trusted and affordable hatchbacks, the Maruti Alto K10 remains a top choice for budget-conscious buyers:
Price: Starts at ₹4 lakh (ex-showroom)
Mileage: Up to 24 kmpl
Engine: 1.0L petrol
Safety: Dual airbags, ABS
Features: Touchscreen infotainment, compact and lightweight for easy city driving
Ideal for first-time buyers or small families, the Alto K10 offers unbeatable value and low maintenance.
2. Tata Tiago
Known for its 4-star GNCAP safety rating, the Tata Tiago is one of the safest hatchbacks in the budget category:
Price: Starts at ₹5.6 lakh
Mileage: 20 kmpl (petrol), 26 km/kg (CNG)
Engine: 1.2L petrol & CNG options
Features: 8-inch touchscreen, Android Auto, Apple CarPlay, spacious cabin, reverse camera
For those prioritizing safety, style, and fuel efficiency, the Tiago is a standout choice.
3. Hyundai Grand i10 Nios
Offering a premium feel and loaded features, the Hyundai Grand i10 Nios gives you more than you’d expect at this price:
Price: Starts at ₹5.9 lakh
Mileage: Over 21 kmpl
Engine: 1.2L petrol
Features: 8-inch touchscreen, rear AC vents, wireless charging, stylish interiors
It’s a great city companion and also handles highway drives with ease.
4. Renault Kwid
The Renault Kwid stands out for its SUV-inspired design and high ground clearance — perfect for Indian roads:
Price: Starts at ₹4.7 lakh
Mileage: 22-23 kmpl
Engine: 0.8L or 1.0L petrol
Features: Touchscreen infotainment, digital instrument cluster, good ride height
Ideal for city users wanting a stylish, small car with great mileage.
5. Maruti Suzuki Celerio
If mileage is your top priority, look no further than the Maruti Celerio:
Price: Starts at ₹5.4 lakh
Mileage: 26 kmpl (petrol)
Engine: 1.0L petrol
Features: AMT gearbox, push-button start, modern infotainment system
It offers superb fuel economy with the convenience of automatic transmission — great for urban traffic.
Final Word
Whether you’re looking for maximum mileage, strong safety features, or modern tech, these 5 budget cars in India for 2025 deliver impressive value at an affordable price point. With rising fuel costs and busy urban roads, picking a car with good efficiency, safety, and easy handling makes all the difference.
Author Profile

- My name is Kuldeep Singh Chundawat. I am an experienced content writer with several years of expertise in the field. Currently, I contribute to Daily Kiran, creating engaging and informative content across a variety of categories including technology, health, travel, education, and automobiles. My goal is to deliver accurate, insightful, and captivating information through my words to help readers stay informed and empowered.
Latest entries
AUTOMOBILEJuly 10, 2025Buy Mahindra Bolero Now for Just ₹2.20 Lakh! Here’s Everything You Need to Know
AUTOMOBILEJuly 10, 2025Best Scooters in 2025 with Spacious Under-Seat Storage – Top 5 Practical Options for Daily Use
AUTOMOBILEJuly 10, 2025Top 3 Maruti Cars Under ₹6 Lakh in 2025 – Best Fuel-Efficient Picks for Budget Buyers
AUTOMOBILEJuly 10, 2025Top Royal Enfield Motorcycles for Comfortable Long Rides in 2025 – Power Meets Endurance