Virendra Pandit
New Delhi: Contrary to the Opposition’s claims of rising unemployment, India’s joblessness rate dropped to a one-year low in September as unemployment in rural areas fell despite weak monsoon rains this year, the media reported on Monday.
The overall joblessness rate slid to 7.09 percent in September, from 8.10 percent in August, data from the prestigious research firm Centre for Monitoring Indian Economy (CMIE) revealed.
This is the lowest rate since September 2022. Rural unemployment dropped to 6.20 percent in September compared to 7.11 percent in August, while urban unemployment rate fell to 8.94 percent from 10.09 percent in the same period.
This year, India recorded the weakest monsoon rains in five years, with the June-September rainfall being about 6 percent less than the long-term average. Still, it did not much impact the agricultural activity in the country, the report said.
Urban unemployment also saw a dip ahead of the key festival season in India beginning this month. Employers usually gear up on hiring — especially in the gig and contract employment segment — ahead of Diwali, the Festival of Lights in November.
Creating enough jobs for India’s 1.4 billion people remains a key task for Prime Minister Narendra Modi’s government ahead of national elections due next summer. Last month, he distributed 51,000 appointment letters to new recruits as part of a special employment initiative.