Buying a car in India has always been about striking the perfect balance between price and fuel efficiency. With recent GST cuts and revised pricing, several budget hatchbacks and compact models now fall under the ₹5 lakh mark, making them ideal choices for first-time buyers and daily commuters. These cars not only promise affordability but also deliver impressive mileage, ensuring long-term savings. From Maruti Suzuki to Tata and Citroen, here are five cars under ₹5 lakh that stand out for their high fuel efficiency and low ownership costs.
5 affordable cars with high fuel efficiency
| Model | Claimed fuel efficiency | Starting ex-showroom price |
|---|---|---|
| Maruti Suzuki Alto K10 | Upto 24.90 kmpl | ₹3.70 lakh |
| Maruti Suzuki S-Presso | Upto 32.73 km/kg on CNG | ₹3.50 lakh |
| Tata Tiago | Upto 19.01 kmpl | ₹4.57 lakh |
| Citroen C3X | Upto 19.3 kmpl | ₹4.80 lakh |
| Maruti Suzuki Celerio | Upto 34.43 km/kg on CNG | ₹4.70 lakh |
1. Maruti Suzuki Alto K10

One of India’s most trusted entry-level hatchbacks, the Alto K10 remains unbeatable in the value-for-money segment. Priced from around ₹3.70 lakh (ex-showroom), it is powered by a 1.0-litre K-Series petrol engine producing 66 bhp and 89 Nm. The car’s light weight and efficient powertrain help it deliver an ARAI-certified mileage of up to 24.90 km/l for the AMT version and 24.39 km/l for the manual. The Alto K10 is ideal for city driving, offering peppy performance with minimal fuel consumption.
2. Maruti Suzuki S-Presso

The S-Presso combines SUV-inspired styling with hatchback practicality. Post the GST reduction, prices start from approximately ₹3.50 lakh (ex-showroom). It shares its 1.0-litre petrol engine with the Alto K10, offering 24.12 km/l on petrol and an even higher 32.73 km/kg on the CNG version. Compact dimensions, high seating, and excellent mileage make it a great pick for city dwellers seeking an affordable yet efficient car.

The Tata Tiago has earned its reputation for being one of the safest small cars in India, with strong build quality and a good feature list. Starting around ₹4.57 lakh (ex-showroom), it uses a 1.2-litre Revotron petrol engine that returns a claimed fuel economy of 19.01 km/l. While slightly less frugal than the Maruti models, it offers better space, comfort, and durability, making it an ideal all-rounder for families on a budget.
4. Citroen C3X

Citroen’s most affordable model, the C3X, brings a European touch to the entry-level car market. The base variant, priced near ₹4.80 lakh (ex-showroom), is powered by a 1.2-litre naturally aspirated petrol engine producing 82 bhp and offering 19.3 km/l of claimed mileage. The C3X feels more robust and refined compared to rivals, with excellent ride comfort and suspension — a standout trait in this segment.
5. Maruti Suzuki Celerio

The Celerio continues to impress with its blend of practicality and efficiency. Priced from ₹4.70 lakh (ex-showroom), it’s powered by a 1.0-litre DualJet engine that delivers a claimed figure of up to 26 kmpl for AMT and 25.24 kmpl for the manual gearbox. The CNG version’s claimed fuel efficiency is even higher at 34.43 km/kg. It’s currently one of the most fuel-efficient petrol cars in India, and with optional CNG variants offering even lower running costs, the Celerio is perfect for daily commuting.
Conclusion
If mileage is your top priority, the Celerio and Alto K10 lead the pack with class-leading efficiency above 24 km/l. The S-Presso offers SUV styling and excellent CNG economy, while the Tata Tiago and Citroen C3 bring better build quality and comfort without sacrificing too much on mileage. With all five cars priced under ₹5 lakh, Indian buyers now have more choices than ever to enjoy efficient, affordable motoring.
