The president of Nigeria insists that despite difficulties, economic reforms would go forward

Nigeria’s President Bola Tinubu declared on Wednesday that despite growing difficulties that have stoked popular unrest, economic reforms would go forward and that an executive law establishing a new minimum wage will be sent to parliament shortly.

After devaluing the currency and eliminating a long-standing gasoline subsidy, Tinubu, who took office a year ago, caused inflation to skyrocket to 33.69% in April—the highest level in over three decades—while also reducing earnings.

Tinubu acknowledged the difficulties brought about by the reforms—which also include higher interest rates and the partial elimination of electricity subsidies—during a televised broadcast on Democracy Day, but he insisted that these measures will strengthen the groundwork for future expansion.

For many years, our economy has been in dire need of reform. Because it was founded on the faulty premise of an excessive reliance on oil exploitation earnings, it has been unbalanced, according to Tinubu.

“As we continue to reform the economy, I shall always listen to the people and will never turn my back on you.”

The labor unions in Nigeria this week called off a walkout intended to put pressure on the government to agree on a new monthly minimum wage. The country is currently experiencing its worst cost-of-living crisis in decades.

In response to labor demands of 250,000 naira per month, the government has proposed to double the minimum salary to 62,000 naira ($41.89) per month. Tinubu claimed his government had negotiated in good faith. In 2019, a new minimum wage was established.

“We shall soon send an executive bill to the National Assembly to enshrine what has been agreed upon as part of our law for the next five years or less,” Tinubu stated.

He did not specify if a new minimum wage or the government’s proposed minimum wage would be included in the measure.

Prior to making any decisions, labor union officials have stated that they would like to hear back from Tinubu.

$1 equals 1,480,0000 naira.