The jobless rate for August was 5.3 per cent, up on the rate of 2.7 per cent recorded in July and 4.5 per cent recorded in June.

An unemployment figure of 7.4 per cent was posted for March, which was the highest number recorded for the region since a 7.8 per cent rate was recorded in August 2014.

The ratio of employment opportunities to population size followed a similar trend, with the figure dropping from 60.8 per cent from this July to 59.1 per cent in August.

Treasurer Tim Pallas said the unemployment rate across regional Victoria had dropped from 5.9 per cent to 5.6 per cent over the past year.

He said 23,600 extra people had been gainfully employed across regional parts of the state during that period, with 9600 of those jobs being full-time.

“These figures confirm once again that Victoria is the jobs creating capital of the nation – and that there are jobs being created throughout the state,” Mr Pallas said.

“Our investment in our infrastructure and the skills and health of our people means the Victorian economy is going from strength to strength, with more than 176,000 new jobs since we were elected.”

Figures released by the ABS earlier in the week showed job vacancies across the state were up on the same time last year, with an increase of more than 16 per cent during the period.

Data showed that nationally there had been an increase of 8.8 per cent in job vacancies in both the private and the public sector.

Last month it was revealed Portland’s aluminium smelter would shed up to 20 jobs to save money, and more than 40 jobs would be created in Warrnambool when the Cotton On Group opens new stores later this year.

Earlier this month, South West Coast MP Roma Britnell said unemployment was increasing and called on the state government to do more to support businesses so they could employ more people.