India Unemployment Rate Rises More than Expected

2026-06-15 10:42 By Andre Joaquim 1 min. read

The unemployment rate in India rose to 5.5% in May of 2026 from 5.2% in the previous month, the highest in nearly one year, and ahead of expectations of 5.3%.

The deterioration in the labor market was aligned with macroeconomic headwinds in India in recent weeks.

The surge in energy prices due to the halt of commercial vessel flows in the Persian Gulf weakened the rupee and dampened the purchasing power for household and businesses.

The unemployment rate rose to a one-year high of 5.1% for the rural population, 0.5 percentage points higher than the previous month.

Conversely, the urban unemployment rate fell to 6.4% from 6.6% in April, the lowest in over one year.

The unemployment rate remained unchanged from the corresponding period of the previous year.



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India Unemployment Rate Rises More than Expected
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