Unemployment fell back below the 1000 barrier last month, dropping to 970.
Last month's figure was a 13-year high, but February saw a year-on-year decrease for the first time since August 2008.
It means 2.3% of the economically active population is unemployed.
Treasury Minister Allan Bell says the figure is encouraging.
Residents invited to share views in 2025 Social Attitudes Survey
Survey to gather public views to help shape future government policy
Treasury rejects link between surgery cuts memo and proposed healthcare tax
Announcement on proposed levy to be outlined in October
All aboard the 8S service
The first bus leaves Peel at 8.05am
Douglas RNLI to welcome new fast-response lifeboat
New 25-knot vessel expected to boost RNLI’s emergency response around Douglas and surrounding coastline