India’s Unemployment Rate Decreased From 7% In 2022 To 3.1% In 2023: Report

India’s unemployment rate decreased to 3.1 per cent in 2023, down from 7 per cent in 2022 amid robust government policies, a report showed on Thursday.

The country’s national savings as a percentage of GDP increased to 33.4 per cent in 2023 compared to 29.9 per cent in 2022.

Meanwhile, the number of high net-worth individuals (HNWI) in the country increased by 12.2 per cent in 2023 as compared to the previous year, bringing the figure at 3.589 million, according to The Capgemini Research Institute’s ‘World Wealth Report 2024’.

The wealth of HNWI in the country increased by 12.4 per cent to $1,445.7 billion in 2023, from $1,286.7 billion in 2022.

In the APAC region, India and Australia were the best performers, which recorded HNWI wealth growth of 12.4 per cent and 7.9 per cent, and HNWI population growth of 12.2 per cent and 7.8 per cent, respectively.

Wealth growth in both of these countries was driven by a resilient economy and robust performance of the equity markets, the findings showed.

“India’s economy expanded at its swiftest rate in the last six quarters, propelled by robust private consumption as well as positive trends in manufacturing and construction activities,” the report mentioned.

The country’s market capitalisation increased by 29 per cent last year, after an increase of 6 per cent in 2022.

Factors like renewed capital expenditure, a strong banking system, credit growth, increased demand for automobiles and power, and digitalisation-driven productivity boosts are further amplifying this trend.

Foreign portfolio investment (FPI) flows have seen a significant turnaround in 2023-24 with net FPI inflows of $24.9 billion (up to December 6) as against net outflows in the preceding two years, said the report.