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New Minimum wage may push states into bankruptcy — NGF report
As the nation awaits the new minimum wage promised to be sent to the National Assembly by President Bola Tinubu, the burden of implementing the minimum wage may make many states bankrupt.
The Federal Executive Council, at its meeting last Tuesday, stepped down a memorandum on the report of the tripartite committee on the new minimum wage, to allow for more consultations among the federal and state governments on one part, the private sector and the labour unions on the other part.
Last Thursday, Tinubu met with the governors at the National Economic Council meeting chaired by Vice President Kashim Shettima. The meeting, which was expected to deliberate on the national minimum wage, was, however, silent on whether or not it considered the issue.
Also last Thursday, the Southern Governors’ Forum released the communiqué of its meeting held in Abeokuta, Ogun State, with the governors asking that each state should negotiate minimum wage with its workforce.
The labour unions have, however, reacted to the stance of the Ni¬geria Governors’ Forum over their overbearing influence on the minimum wage negotia¬tions.
In a document, titled, “Analysis of State FAAC inflows and state expenditure profile,” of the Nigeria Governors’ Forum Secretariat, the NGF report warned that implementing the new minimum wage could push states into bankruptcy due to increased recurrent expenditure.
According to the report, the burden of recurrent expenditure already left Abia, Ekiti, Gombe, Imo, Katsina, Kogi, Oyo, Plateau, Sokoto, Yobe, and Zamfara in deficit in 2022.
The report predicted that if the recurrent expenditure increased by 50 per cent, 13 states would fall into deficit, with only 10 remaining financially stable.
The tripartite committee’s recommendation of a N62,000 minimum wage would necessitate over a 100 per cent increase from the current N30,000, potentially leaving only a few states like Anambra, Bayelsa, Borno, Ebonyi, Gombe, Imo, Jigawa, Kaduna, Lagos, and Rivers with positive net revenues, based on the 2022 fiscal data.
A net revenue is the deduction of recurrent expenditure from the total revenue of the state. When it is positive, it means a surplus, but when negative, there is a deficit.
Also, the total revenue of states is calculated from the monthly revenue from the Federal Account Allocation Committee, internally generated revenue, aids and grants and constituency development funds.
According to the documents, sighted by The PUNCH, Abia, with an employment size of about 58,631 workers, pays N5,837,899,980.40 as wage monthly. Anambra has a 20,541 employment size and pays N1,824,851,308.96 monthly as wages, apart from N894,480,399.62 as pension obligation and N579,694,680.33 for debt servicing.
Bayelsa boasts of 48,213 workforce, paying N5,802,435,178.58 monthly, with N1,194,528,784.40 as pension obligation and N3,535,787,992.48 as debt servicing, totalling N10,532,751,955.46 as total recurrent expenditure monthly.
Benue has about 13,366 workers in its workforce and pays N2,040,184,471.85 as monthly wage, N76,838,634.62 for pension, and N64,685,126,826.08 for debt servicing, totalling N66,802,149,932.56 monthly.
Delta has about 50,871 workers, offering N8,973,081,853.50 as wages, N1,499,886,303.39 as pension, and N72,417,433,139.00 as debt servicing, accumulating to N82,890,401,295.89 in a month.
Jigawa has about 44,831 workers in its employ and pays N2,795,662,113.02 as wages, and N345,987,843.12 as a pension, totalling N3,141,649,956.14 monthly on recurrent expenditure.
Katsina, Kwara and Niger have 19,062, 36,048 and 22,225 workers, with accumulated N139,294,944,565.27, N4,457,268,675.54 and N2,653,614,213.35 monthly recurrent expenditure respectively.
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According to the document, Abia has a total recurrent expenditure of N111,983,979,958.62, against a total revenue of N147,637,730,867.73.
For Adamawa, the recurrent expenditure stands at N70,369,399,885.57, against a total revenue of N109,722,949,684.65, while Akwa Ibom boasts of a high revenue of N444,288,683,000, with recurrent expenditure of N235,144,539,000.
Of the states, Lagos has the highest total revenue, amassing N1,243,778,878,170 in 2022, with a recurrent expenditure of N621,043,036,000, followed by Delta, with N702,020,717,460.08 and a recurrent expenditure of N377,905,100,451.83.
Rivers amassed N525,588,159,714.88 in 2022, with recurrent expenditure of N186,974,715,774.87; Kaduna had a total revenue of N222,349,875,000 and expenditure of N95,987,999,472.10; Ogun, N297,249,009,626.83, recurrent expenditure of N178,519,010,628.42 and Oyo, with total revenue of N247,156,776,739.70 and recurrent expenditure of N152,077,804,384.65.
Kebbi State had the lowest total revenue in 2022, raking in N92,132,444,588.16 and spent N57,601,464,374.96 on recurrent expenditure, followed by Taraba, with a total revenue of N101,177,283,069.87 and recurrent expenditure of N75,055,201,412.62.
Aside from FAAC allocation, some states recorded poor IGR in the 2022 data compiled by the NGF Secretariat.
Zamfara State generated N6,513,960,477.20; followed by Kebbi, with N8,630,767,122.96; Taraba, N9,744,331,840.01 and Yobe State, with N9,940,554,642.00.
The IGR of Katsina (N12,821,119,042.64), Adamawa (N13,175,774,969.53), Niger (N14,427,373,136.00), Benue (N15,021,223,729.38), Plateau (N15,927,001,739.90) and Imo (N16,711,346,111.18) also showed a poor revenue standing.
The PUNCH reported on October 19, 2023, that 15 states have yet to implement the N30,000 minimum wage for their workers since it was signed into law in 2019.
According to BudgiT, though the 15 states were yet to implement the minimum wage of N30,000, the 36 states of the federation grew their cumulative personnel cost by 13.44 per cent to N1.75tn in 2022 from N1.54tn in 2021.
The civil society organization, in a release, ‘The States of States Report 2023,’ highlighted that the 36 states of the federation grew their revenue by 28.95 per cent from N5.12tn in 2021 to N6.6tn in 2022.
“Put together, the IGR of the 36 states appreciated by 12.98 per cent from N1.61tn in 2021 to N1.82tn in 2022, denoting a strengthened domestic revenue mobilisation capability.
“Nonetheless, the IGR to GDP ratio remained very low at 1.01 per cent. The increase in IGR did not reflect across the board as 17 states experienced a decline in their IGR from the previous year, while 19 states recorded positive growth,” BudgIT said.
The Assistant General Secretary of the NLC, Chris Onyeka, in an interview with the News Agency of Nigeria on minimum wage and its implementation, claimed that many state governors were flouting the Minimum Wage Act and listed the states of Abia, Enugu, Bayelsa, Delta, Nasarawa, Gombe, Adamawa, Niger, Sokoto, Imo, Anambra, Taraba, Benue, and Zamfara as defaulting.
Reacting, the Enugu State chairman of TUC, Ben Asogwa, said the state commenced payment of N30,000 minimum wage and its consequential adjustment in February 2020 for state government workers, while local government workers and primary school teachers were paid 25 per cent consequential adjustment.
He, however, said Governor Peter Mbah, on assumption of office, approved the full implementation of the N30,000 minimum wage for both the LG workers and primary school teachers in the state.
The PUNCH reports that the Zamfara State Governor, Dauda Lawal, announced during a meeting with the leadership of the labour unions that the state would begin payment of N30,000 minimum wage effective June 2024.
News
Nigerian Visa Applicants Now Required to Submit Applications Directly at Embassy, Consulates
The Nigeria Immigration Service (NIS) has announced that travellers in the United States seeking Nigerian visas must now submit their applications directly at Nigerian diplomatic missions following the termination of its contract with a third-party visa processing company.
The new directive, which takes immediate effect, ends the role previously played by Online Integrated Solutions (OIS Services), which had been responsible for receiving and processing Nigerian visa applications through its centres across the United States.
In a statement issued on Thursday, the NIS Public Relations Officer, Akinsola Akinlabi, said visa applicants are now required to submit their documents directly at the Embassy of Nigeria in Washington, D.C., or at the Nigerian Consulates in New York and Atlanta until further notice.
The immigration service did not state the reason for ending its partnership with OIS Services.
However, Akinlabi assured applicants that adequate measures have been put in place at the embassy and consulates to ensure a smooth transition. He added that visa submission, processing and approval would continue without disruption.
He also urged prospective travellers to monitor the official communication channels of the Nigeria Immigration Service and Nigerian diplomatic missions in the United States for updates on visa application procedures.
News
Don urges S/African Govt. to take active responsibility of protecting foreigners
A Professor of Economics and Governance, Prof. Chiwuike Uba, has called on South African Government to take active responsibility of protecting foreigner and desist from ‘compromising inaction’.
Uba, Chairman of the ACUF Initiative for Policy and Governance, made the call on Thursday in Enugu in a statement he titled: “South Africa Is Playing with Fire, and Its Elites Are Holding the Match”.
He said that the lack of intentional action against the individuals and groups perpetrate the xenophobic attacks, who are non-state actors, raises serious questions under international law.
The don noted that “protection of non-nationals is a clear obligation, not a discretionary act.”
According to him, persistent failure to uphold this responsibility undermines both legal commitments and diplomatic credibility.
Uba said that the implications of the development extend far beyond South Africa, adding that it would have economically, politically and diplomatically consequences both to the country and Africa in general.
He noted that economically, the country is not just another market.
“It is a continental anchor. Its financial systems, industrial base, and regional linkages make it central to African growth.
“Prolonged instability would ripple outward, constraining trade, deterring investment, and weakening regional integration,” he said.
On the Political aspect, he said that South Africa had long been seen as a model of democratic transition and constitutionalism.
“If that model begins to fracture, it sends a powerful signal across the continent.
“It emboldens those who argue that institutional democracy cannot deliver, and it weakens reformist voices elsewhere,” he said.
Uba said that diplomatically, xenophobic violence is not a domestic issue when it targets foreign nationals.
He said, “It is an international concern that tests regional solidarity and diplomatic patience.
“Each episode forces other African governments to respond, balancing domestic outrage with the need to preserve bilateral relations.”
The don noted that over time, the balance in the country would becomes harder to maintain as non-state actors would be emboldened to perpetrate other unlawful acts as they view the government as weak or inactive.
News
OYC Warns ICPC Chairman Against Alleged Bias in Uche Nnaji Case

The Apex sociocultural youth organization of the Igbo race worldwide, Ohanaeze Youth Council (OYC), has described the current arrest made by the Independent Corrupt Practice and Other Related Offence (ICPC) against former Minister of Science and Technology and the 2027 People Democratic Party (PDP) governorship candidate for Enugu State, Hon. Uche Nnaji, regarding his certificate, as a deliberate political witch-hunt orchestrated by the Governor of Enugu State, His Excellency Gov. Peter Mbah.
In a press address in Enugu on Wednesday, 8th July 2026, Comrade Igboayaka O. Igboayaka, National President of Ohanaeze Youth Council (OYC), called on Dr. Musa Adamu Aliyu (SAN), Chairman of the Independent Corrupt Practices and Other Related Offences Commission (ICPC), to maintain the commission’s ethical standards, threatening to seek his removal if evidence confirms the alleged bias of ICPC in favor of Governor Peter Mbah against Hon. Uche Nnaji regarding the 2027 Guber election.
*The Ohanaeze Youth Council (OYC) revealed that the fight against Hon. Uche Nnaji is a battle for the Enugu Governorship and the “Lions Building Seat” in 2027, and dismissed the certificate forgery allegations against Uche Nnaji as a political distraction and blackmail.*
The surreptitious entry into the court by the Independent Corrupt Practices and Other Related Offences Commission to obtain a court order detaining Hon Uche Nnaji is a teleguided executive overreach attributed to Gov Peter Mbah apparently aimed at silencing Hon Uche Nnaji, which is highly censurable.
The Council stated that “A court of competent jurisdiction is presently handling the unsubstantiated certificate forgery case, and the University of Nigeria Nsukka and Hon Uche Nnaji have opted for an out-of-court settlement, following recent findings of misinformation.
Therefore, Dr. Musa Adamu Aliyu (SAN), Chairman of the Independent Corrupt Practices and Other Related Offences Commission (ICPC), should maintain a neutral stance regarding the Enugu State Governorship battle to preserve his reputation built through his legal career and public service, and avoid being perceived as succumbing to Governor Peter Mbah’s alleged attempts to utilize executive power to blackmail and witch-hunt Hon. Uche Nnaji.
The Ohanaeze Youth Council(OYC) warned Governor Peter Mbah to concentrate on fulfilling his unfulfilled campaign promises to Enugu State rather than chasing Hon Uche Nnaji through the Independent Corrupt Practices and Other Related Offences Commission (ICPC)
News
Governor Mbah’s Compassionate Gesture Brings Relief to Enugu Fire Victims
Families displaced by the recent fire outbreak in the Asata area of Enugu have received immediate relief from the Enugu State Government following the intervention of Governor Peter Mbah, who directed that palliative support be provided to ease their suffering.
Chairman of the Enugu State Emergency Management Agency (ESEMA), Chinasa Mbah, disclosed that the agency promptly delivered the relief materials in compliance with the governor’s directive.
“We have given them some palliative as directed by His Excellency. Our report has equally gone in, and we await further instructions,” Mbah said.
She explained that ESEMA has completed its assessment of the incident and submitted its recommendations to the state government, adding that additional assistance for the affected families will depend on the governor’s approval of the agency’s report.
The swift response underscores Governor Mbah’s commitment to standing with citizens in times of distress. The victims, whose homes and belongings were destroyed in the fire that gutted two flats in a two-storey building on Church Road, Asata, are expected to receive further support as the government considers ESEMA’s recommendations.
News
Questions Persist As Almajiri Commissions Attempts to Defend Projects Outside Its Mandate
The National Commission for Almajiri and Out-of-School Children’s Education (NCAOOSCE) has defended the inclusion of projects outside its statutory mandate in the 2026 budget, insisting they are National Assembly constituency projects assigned to the commission for implementation.
However, the explanation has done little to quell public scrutiny, with critics questioning why a commission established to tackle the Almajiri system and out-of-school children—challenges largely concentrated in Northern Nigeria—is overseeing projects reportedly located in parts of the South-West.
The controversy has also been fuelled by concerns over the scale of the allocations, as the value of the disputed constituency projects is said to far exceed the funds earmarked for the commission’s core education programmes.
Responding to the criticism in a statement issued on Monday, the commission’s Special Assistant on Media and Communications, Nura Muhammad, said the projects were included in the 2026 Appropriation Act under the long-standing practice of assigning constituency projects to Ministries, Departments and Agencies (MDAs) for execution.
According to the commission, once such projects are approved in the federal budget and allocated to an agency, they become part of its implementation responsibilities.
“As part of a duly enacted federal budget, every project assigned to the commission forms part of its implementation responsibilities and will be executed in strict compliance with extant laws, financial regulations and due procurement processes,” the statement said.
NCAOOSCE maintained that the inclusion of the projects does not alter its statutory mandate, stressing that it remains focused on addressing the Almajiri system and reducing the number of out-of-school children across Nigeria.
The commission cited its achievements, including the profiling of more than 700,000 out-of-school children, the establishment of 119 learning centres, ward-to-ward advocacy campaigns, and the implementation of the National Policy on Almajiri Education, as evidence of its commitment to its core responsibilities.
This version attributes the concerns to critics and public scrutiny rather than stating them as established facts.
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