CMIE chief Vyas says unemployment rate has increased in both urban and rural areas
CMIE chief Vyas says unemployment rate has increased in both urban and rural areas
India’s unemployment rate hit a one-year high of 8.3 per cent in August, as employment fell by 2 million sequentially to 394.6 million, according to data from the Center for Monitoring Indian Economy (CMIE).
During July, the unemployment rate stood at 6.8% and employment stood at 397 million, CMIE data showed.
CMIE Managing Director “The urban unemployment rate is generally about 8% higher than the rural unemployment rate, which is usually around 7%. In August the urban unemployment rate rose to 9.6% and the rural unemployment rate also increased to 7.7%.” Mahesh Vyas told PTI.
Mr. Vyas further said that erratic rainfall has affected sowing activities and this was one of the reasons for the increase in unemployment in rural India.
More importantly, the employment rate fell from 37.6% to 37.3%.
“Going forward, the rural unemployment rate may come down as a delay in monsoon will lead to an increase in agricultural activity towards the end of the monsoon season. However, it is not clear how the urban unemployment rate will play out in the coming months. Currently, That’s high enough,” said Mr. Vyas.
According to the data, during August, Haryana had the highest unemployment at 37.3 per cent, followed by Jammu and Kashmir at 32.8 per cent, Rajasthan at 31.4 per cent, Jharkhand at 17.3 per cent and Tripura at 16.3 per cent.
The data shows that unemployment was lowest in Chhattisgarh at 0.4%, followed by Meghalaya at 2%, Maharashtra at 2.2% and Gujarat and Odisha at 2.6%.