The unemployment rate in India rose sharply in February 2022 to a 6-month high of 8.1%, as per the latest data released by CMIE.
The 8% level was last reached in Aug 2021 when the unemployment levels touched 8.3%. The sharp rise can be partially attributed to the deficit in the MNREGA budget in several states and limited employment generation in the non-farm sector in the rural areas.
Unemployment levels rose more sharply in rural India than in urban areas. The unemployment levels in rural India touched an 8-month high of 8.4% as against 5.8% in January 2022. In comparison, urban unemployment dropped marginally from 8.2% in January 2022 to 7.6% in February 2022.
Rajasthan recorded the highest level of unemployment at 32.3% across rural and urban India, followed by Haryana at 31% and Jharkhand at 15%. Odisha recorded the lowest level of unemployment across India in February at 1%, followed by Meghalaya at 1.4% and Chhattisgarh at 1.7%.
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