The government of the United States has said that currency devaluation in Nigeria has reduced the value of the N70,000 minimum wage, making it lower in value and insufficient to lift citizens out of poverty.

According to the 2024 country reports on human rights practice, the new minimum wage at N70,000 is equivalent to $47.90 per month, and rarely effectively enforced by the Nigerian government.

Also, some states, according to the report are declining to implement the minimum wage law, citing financial constraints, adding that the number of labor inspectors was insufficient to enforce compliance.

In its Country Reports on the U.S. department of state website dated August 12 on Human Rights Practices for 2024, released by the U.S. Department of State, Bureau of Democracy, Human Rights, and Labour, the report noted that the new wage, pegged at about $47.90 per month, had lost its value due to the naira trading at over N1,500 to the dollar. It added that firms with fewer than 25 workers did not benefit from the wage increase.

According to the report, between 70 and 80 per cent of Nigeria’s working population operates in the informal economy, where authorities fail to enforce wage, hour, and Occupational Safety and Health laws.

Meanwhile, the Nigeria Governors’ Forum (NGF) has unveiled NGF Investopedia — an investment platform aimed at unlocking capital flows into bankable projects across all 36 states. NGF said the investment platform was created in an effort to address Nigeria’s annual infrastructure financing deficit estimated at $100 billion.

The launch event, held in Abuja on Tuesday, brought together governors, development partners, and global investors committed to transforming Nigeria’s infrastructure financing landscape.

Speaking at the launch, Abdulrahman AbdulRazaq, NGF chairman and governor of Kwara state, highlighted the pressing challenges and untapped opportunities within Nigeria’s subnational economies.

“Here is Africa’s largest economy, endowed with abundant human and natural resources,” he said.