By Andrew BurtonPublished May 07, 2018 10:55:49India’s government is preparing to make some changes to the way it calculates unemployment in a country where job growth is slowing down.
While unemployment in India is expected to be slightly above 8 percent this year, the government plans to cut it down to 3.5 percent.
The announcement was made by finance minister Arun Jaitley during a speech to the World Economic Forum in Davos, Switzerland.
It comes just weeks after India’s unemployment rate dipped below 8 percent.
India’s unemployment level has been dropping steadily in recent years, but it has seen a sharp increase in recent months.
This has prompted the government to reduce its estimates of the true unemployment rate, which it calls the “economic reality.”
India’s economy contracted for the third straight quarter in March, and is now expected to contract by 3.3 percent in the next three months.