Datanomics: Challenges galore for new Manipur CM Yumnam Khemchand Singh

As Manipur returns to elected rule under Yumnam Khemchand Singh, data on inflation, fiscal stress and unemployment show a fragile and uneven recovery

Yumnam Khemchand Singh took oath as chief minister of Manipur on February 4. With this, the President’s rule was lifted in the state that was affected by ethnic violence since 2023. A look at the state’s finances, employment and inflation data show the task is cut out for the new CM. 

 

Inflation volatility a concern

 

Retail inflation surged from 1.67 per cent in January 2023 to a peak of 12.86 per cent in December 2023— far above the national average. Price pressures stayed high through much of 2024 before easing sharply in 2025, turning into deflation between September and December 2025. January 2026 shows marginal inflation at 0.12 per cent, indicating stabilisation but subdued demand 

 

Fiscal dependence on Centre

 

The share of Manipur’s own tax revenue in total revenue fell to 8.39 per cent in FY24 from 11.82 per cent a year earlier. Meanwhile, the share of central grants rose by over 10 percentage points to 54.92 per cent during this period, underscoring higher dependence on Union transfers during the ethnic violence. Grants are projected to come down in FY25 before rising again in FY26, but those are estimates 

 

Unemployment above national average

 

Unemployment climbed to 6.1 per cent in Manipur (2023-24), almost double of the all-India rate, reflecting continued labour market stress