India's 7 percent growth fails to reduce unemployment


(MENAFN) India's economy extended by 7 percent in the last quarter, making it one of the world's fastest-growing, but violent protests over jobs last week are a sign many are still not feeling the benefits.

Current protests are threatening to spread to other caste groups in India, economist as the lack of employment prospects for young people appeared to be driving social unrest.

Almost three years after taking power, Prime minister's credibility as an economic manager is on the line, with economic growth faltering and social tensions erupting in his home state of Gujarat.

"The government might rightly say that it's boosted the GDP number, or built roads, or provided power 24/7, but the bottom line is, can your model produce enough jobs? If not, protests will happen," said an economist.


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