Unemployment rate in India falls to 6.57%, lowest since March 2021: CMIE

As the country is gradually recovering from Omicron, the unemployment rate in India has witnessed a steady decrease to 6.67% in January, which is the lowest since March 2021.

February 3, 2022

In urban areas the unemployment rate currently stands at 8.16%.

In December, the unemployment rate stood at 7.91%.

Almost 23% i.e. 8 million women are currently unemployed.

The unemployment rate in rural and urban areas is 7.19% and 9.30% respectively.

The unemployment rate in India has fallen  to 6.67% in January, which is the lowest since March 2021 with the country recovering from easing of restrictions and seeing a decline in Omicron cases, according to the Centre for Monitoring Indian Economy (CMIE). 

In urban areas, the unemployment rate stands at 8.16% as of January 2022, as opposed to rural areas where  it was at 5.84% according to the think-tank. In December, the unemployment rate stood at 7.91% with the urban rate being at 9.30% and the rural rate being at 7.28%. 

In Telangana, the lowest unemployment rate has been reported at 0.7% during the month of January, followed by Gujarat at 1.2%, Meghalaya at 1.5% and Odisha at 1.8%. However, Haryana has the highest rate of unemployment at 23.4% followed by Rajasthan at 18.9%. 

According to CMIE, the unemployment rate in India as of December 2021 stands at 53 million, which mostly involves women. Almost 23% i.e. 8 million women are currently unemployed. It is an important challenge to provide employment to the additional 17 million unemployed men, although they are not actively looking for work opportunities, said Vyas, CMIE MD and CEO. 

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