December unemployment rate India Hits four months high of 7.9%, said think-tank

Indian unemployment rate reached a four-month peak in December 2021, data from the Indian Economic Monitoring Center (CMIE) showed January 3.

The unemployment rate rose to 7.9 percent in December from 7.0 percent in November, the highest since 8.3 percent in August, Reuters reported.

Economic activities and consumer sentiment have been hit in South Asian countries after rising in cases of omicron coronavirus variants and social distance restrictions in many countries.

Urban unemployment rates rose to 9.3 percent in December from 8.2 percent in the previous month while rural unemployment rates rose 7.3 percent from 6.4 percent, data showed.

Many economists worry that Omicron variants can reverse the economic recovery seen in the previous quarter.

Mumbai-based CMIE data on unemployment is watched closely by economists and policy makers because the government does not release a monthly figure.