news

Group Links Governors’ 100,000 Naira Minimum Wage Proposal to Improved State Finances

ABUJA — The Tinubu Media Support Group (TMSG) has stated that the proposal by Nigerian governors to increase the national minimum wage to 100,000 Naira demonstrates the positive impact of federal economic reforms on state government finances.

In a joint statement by Emeka Nwankpa and Dapo Okubanjo, the group observed that the proposal—presented by Nigerian Governors’ Forum chairman AbdulRahman AbdulRazaq during a visit to the president—marks a radical departure from past trends where state executives routinely resisted upward wage adjustments.

The TMSG noted that following the introduction of the 70,000 Naira minimum wage two years ago, increased allocations from the Federation Account have enabled sub-national governments to independently enhance civil service pay. The group cited Lagos, Rivers, and Imo states as examples of sub-nationals that have already raised their minimum benchmarks to 104,000 naira.

Supported by data from the Debt Management Office (DMO) showing a decline in domestic borrowing for recurrent expenditure, the group maintained that the independent proposal from the governors confirms that states are now in a more liquid position to address cost-of-living challenges independently.

About the author

Africa

Add Comment

Click here to post a comment