According to government data, India's unemployment rate in August was 5%, the lowest figure in the last six months.
Previously, Reuters projected that the unemployment rate would reach 5.2%, while it stood at 5.1% in July. In February, this indicator was at 4.9%.
Data breakdown shows that rural unemployment decreased to 4.1% compared to 4.5% in July, reaching its lowest level since January. Meanwhile, urban unemployment slightly increased to 6.8% from 6.7%, as indicated by National Statistical Office data.
By gender, the unemployment rate among men fell to 4.9% in August compared to 5.0% in July, and among women it decreased to 5.1% from 5.4%.
There was also an increase in labor force participation, which measures the share of people aged 15 and over who are employed or seeking work, rising to 55.6% in August from 55.4% in the previous month. The worker-to-population ratio, reflecting the share of the employed population, increased to 52.8% in August from 52.5% in July.
Female labor force participation also strengthened: the overall rate rose to 34.8% from 34.4% in July. Rural female labor participation grew to 39.4% from 38.8%, while urban participation remained relatively stable at 25.4%.
These figures are based on the current weekly status measurement within the Periodic Labour Force Survey of India, which covered 370,160 people across the country, including 211,353 in rural areas and 158,807 in urban areas.