What is this terrible, how is this possible in India with 6.60% unemployment on one side and 6.30% economic growth on the other side.
Central Govt. Accounts Payable
The unemployment rate in urban India has come down from 7.60% in the April-June period of 2022 to 6.60% in the April-June period of 2023, a decrease of 1 percentage point. This is a positive development, and it is likely due to a number of factors, including the economic recovery from the COVID-19 pandemic, the government's focus on job creation, and the increasing enrollment of youth in higher education.
It is important to note that the unemployment rate in rural India remains higher than in urban India, at 7.44%. However, the unemployment rate in rural India has also declined in recent months, and it is likely to continue to decline as the economy continues to recover.
India towards economic growth
India's economic growth is likely to increase by 6.30% in the current fiscal year (2023-24), according to the Economic Survey 2022-23. The survey also projected a growth range of 6-6.8%, depending on the trajectory of economic and political developments globally.
There are a number of factors that are likely to support India's economic growth in the coming year, including:
- strong domestic demand, driven by rising incomes and increasing urbanization.
- favorable investment climate, with the government taking steps to improve infrastructure and streamline regulations.
- growing export sector, as global demand for Indian goods and services picks up.
However, there are also some challenges that could weigh on India's economic growth, including:
High inflation, which could erode consumer purchasing power and dampen investment activity.
Rising interest rates, which could make it more expensive for businesses to borrow money and expand.
The ongoing war in Ukraine, which could disrupt global supply chains and lead to higher energy and food prices.
Overall, the outlook for India's economic growth is positive. The country has a number of strengths that are likely to support growth in the coming year. However, it is important to monitor the challenges mentioned above and take steps to mitigate them.
Conclusion
India's economic growth is likely to increase by 6.30% in the current fiscal year (2023-24), according to the Economic Survey 2022-23. However, it is important to monitor the challenges of high inflation, rising interest rates, and the ongoing war in Ukraine.
Overall, the combination of 6.60% unemployment and 6.30% economic growth is a mixed bag. The economy is growing, but unemployment is still high. It is important to continuously monitor the situation and take measures to create more employment opportunities and reduce unemployment.