New Delhi, August 19, 2025
India’s Unemployment Rate Drops to 5.2% in July 2025: CMIE Data
India’s unemployment rate declined to 5.2% in July 2025, according to the latest report by the Centre for Monitoring Indian Economy (CMIE). This marks a positive trend in the labor market, reflecting gradual recovery across urban and rural regions.
Key Highlights
- National Unemployment Rate: 5.2% (July 2025), down from 5.7% in June 2025.
- Urban Unemployment: 6.1%, a slight decrease from 6.4% in June.
- Rural Unemployment: 4.7%, compared to 5.2% in June.
- Job Growth Sectors: Agriculture, construction, services, and IT.
Reasons for Improvement
- Seasonal Hiring in Agriculture – Kharif sowing season boosted rural employment.
- Government Infrastructure Push – New road, rail, and housing projects supported jobs.
- IT & Services Expansion – Technology-driven jobs continue to grow.
- Tourism Recovery – Increased domestic travel added temporary employment.
Expert Insights
Economists believe this improvement indicates a gradual but uneven recovery.
“The dip in unemployment is encouraging, but India still faces challenges in creating sustainable and high-quality jobs,” said a senior CMIE analyst.
Regional Trends
- Lowest Unemployment: Rajasthan (2.9%)
- Highest Unemployment: Haryana (10.4%)
- Other States: Maharashtra (4.5%), Uttar Pradesh (5.1%), Tamil Nadu (5.3%).
Future Outlook
Experts suggest that continued investment in manufacturing, green energy, and digital economy could further reduce unemployment in the coming months. However, inflation and global economic uncertainty remain key risks.
Source
You can visit CMIE
