Nomura India Business Resumption Index soars to record 99.4, nears pre-pandemic level: Report
The business resumption index rose partly due to the daily COVID-19 case count, which “remained flat at 40,000 per day”.
August 09, 2021 / 05:39 PM IST
As COVID-19 cases remained largely under control allowing higher mobility of people, the Nomura India Business Resumption Index (NIBRI) rose to a record high of 99.4 for the week ending August 8 as against 94.0 for the previous week.
NIBRI, which collates high-frequency data from multiple trackers like Apple driving index and Google, is nearing the pre-pandemic level of 100, the Hindustan Times quoted research analyst Sonal Varma as saying on August 9.
She said: “This index is near the pre-pandemic level of 100 and surpassing the pre-second-wave peak (of 99.3 in mid-February).”
The Nomura India Business Resumption Index had plateaued briefly before mobility picked up with Apple driving index, Google workplace, and retail and recreation rose by 6.7, 7.4, and 5.3 percentage points, respectively.
Also, electricity consumption, which is one of the key indicators of the pace of economic activity, rose by 5.3 percent week on week, according to the Nomura Index.
At the same time, the labour participation rate also increased from 39.8 percent to 41.5 percent, meaning more people are job hunting at the moment. This, in turn, has pushed the unemployment rate up to 8.1 percent.
As per securities firm Nomura, the business resumption index also soared partly due to the daily COVID-19 case count, which “remained flat at 40,000 per day”.