Business
…As Reactions Trail N56,000 Proposal
In commemoration of this
year’s Workers’ Day, the labour movements in Nigeria, made a N56,000 minimum wage demand on the government.
This demand, which should by all means please Nigerian workers, has however raised mixed reactions from the same workers who would supposedly benefit from it.
An assistant director with the state ministry of Agriculture, Mr. Jonah Isikima, sarcastically applauded the move by labour and asked, “where have these labour leaders been. Is it that they are hard of hearing or have not been in this country?
“Much as I would benefit if implemented, but lets be realistic. The monthly federal allocation to this state for example is N2 billion short of salary bill of the state as we are told, so where does labour expect the government to get the money to meet this their incredulous demand,” he continued.
Isikima pointed out that many states for the past one year have not been able to regularly pay the current N18,000 minimum wage “And now they ask government to pay N56,000, well my take is that they want the usually settlement for themselves not for the workers they represent.
“We know that the present day Nigerian labour leaders are completedly compromised”, was the response of Mr Sunny Dede, a staff of Nigeria Ports Authority.
Dede noted that, “gone are the days when labour unions truly represented Nigerian workers and worked for their wellbeing . now, what they do is make unnecessary noise and give altimatums so that their palms would be greased otherwise, how do you explain this demand? Oil , our economic mainstay has taken a nose dive for the past one year and we hear that it would remain so for a while and now this demand for a new minimum wage of N56,000. This is not realistic at all.
Another respondent, Mrs Ibifubara Inetimi, a Rivers -born teacher in Bayelsa State, stated, “what labour should think of doing in the present situation is to make government devise ways of increasing the purchasing power of our Naira and seek her welfare packages like improved healthcare system, power supply, make petrol available to workers than this unattainable demand. Some of us in Bayelsa have not been paid for about eight months, where would the money come to pay arrears before paying new minimum wage, we will enjoy it, but it is not a demand for now.
“Labour is obviously disconnected from the reality on ground. You and I know that many states are yet to pay the current minimum wage, this simply means that the demand, will not fly with the government, given the current economic situation unless labour is prepared to prune the work force generally to 30 per cent across the country, then the new minimum wage could be paid, says Mr Romanus Chinedu, a businessman.
Chinedu lamented that, “it is unfortunate that labour has deviated from course of fighting for the good of Nigerian workers, now a days, they fight for their good only.
For Mrs. Kano Kpandei, a local government staff, it is a good move that should be accepted and implemented by the federal government, saying, ” after all, the politician who has never worked in his life is receiving much more than that, so whig shouldn’t the workers who break their backs everyday to ensure that the country is run smoothy not have just a little bit of their labour.
Tonye Nria-Dppa
The Central Bank of Nigeria (CBN) yesterday said 33 banks have met new minimum capital requirements under its recapitalisation programme, raising a combined N4.65 trillion to strengthen the financial system.
The apex bank disclosed this in a statement marking the end of the exercise, which commenced in March 2024 and drew participation from domestic and foreign investors.
The statement was jointly signed by the Director of Banking Supervision, Olubukola Akinwunmi, and the Acting Director of Corporate Communications, Hakama Sidi-Ali.
The statement said “Over the 24-month period, Nigerian banks raised a total of N4.65tn in new capital, strengthening the resilience of the financial system and enhancing its capacity to support the economy.”
The regulator said local investors accounted for 72.55 per cent of the funds, while international investors contributed 27.45 per cent, reflecting continued confidence in the sector.
Commenting on the outcome, the CBN Governor, Olayemi Cardoso, said in the statement, “The recapitalisation programme has strengthened the capital base of Nigerian banks, reinforcing the resilience of the financial system and ensuring it is well-positioned to support economic growth and withstand domestic and external shocks.”
It added that while 33 banks have complied with the new thresholds, a few others are still undergoing regulatory and legal processes.
The statement noted, “The CBN confirms that 33 banks have met the revised minimum capital requirements established under the programme.
“A limited number of institutions remain subject to ongoing regulatory and judicial processes, which are being addressed through established supervisory and legal frameworks.
“All banks remain fully operational, ensuring continued access to banking services for customers.”
The apex bank stressed that the exercise was executed without disrupting banking operations, ensuring uninterrupted access to services nationwide.
It further stated that key prudential indicators have improved, particularly capital adequacy ratios, which remain above global Basel benchmarks.
The minimum ratios were set at 10 per cent for regional and national banks and 15 per cent for banks with international licences.
The bank also said the recapitalisation coincided with a gradual exit from regulatory forbearance, a move it said improved asset quality, strengthened balance sheet transparency, and enhanced overall stability.
To preserve these gains, the CBN said it has reinforced its risk-based supervision framework, mandating periodic stress tests and adequate capital buffers for banks.
It added that supervisory and prudential guidelines would be reviewed regularly to strengthen governance, risk management, and resilience across the sector.
“The successful completion of the programme establishes a stronger and more resilient banking system, better positioned to support lending, mobilise savings, and withstand domestic and global shocks,” the statement said.
The Tide learnt that foreign capital inflows into Nigeria’s banking sector rose by 93.25 per cent year-on-year to $13.53bn in 2025, up from $7.00bn recorded in 2024, amid the ongoing recapitalisation drive by the Central Bank of Nigeria.
Data from the National Bureau of Statistics capital importation report showed that the banking sector remained the dominant destination for foreign capital, accounting for $13.53bn of the total $23.22bn recorded in 2025, representing 58.26 per cent of total inflows, up from 56.81 per cent in 2024.
The surge reflects heightened investor interest in Nigerian banks as they raised fresh capital to meet new regulatory thresholds introduced by the apex bank, with industry-wide recapitalisation activities driving large-scale inflows across all quarters of the year.
However, the Centre for the Promotion of Private Enterprise (CPPE) recently raised concerns over weak credit flows to small businesses despite recent banking sector reforms.
The CPPE, led by a renowned economist, Dr Muda Yusuf, acknowledged that the ongoing bank recapitalisation exercise by the CBN has strengthened the financial system, but warned that the benefits have yet to translate into meaningful support for the real economy.
The facility will be disbursed through participating Microfinance Institutions (MFIs), which will in turn extend the loans to their customers, particularly SMEs, as they directly interface with businesses at the grassroots level.
The Executive Director of COMCIN, Mr. Micheal Ogbaa who represented the Chairman, Dr. Iredele Oyedele (FCA, FCCA), said the initiative is designed to strengthen micro-lending institutions and expand access to finance for grassroots entrepreneurs, particularly women and youths in the informal sector.
Ogbaa explained that COMCIN does not lend directly to individuals but works through its network of microfinance and cooperative institutions, which in turn provide loans to end users.
“We came together to advocate for the microfinance ecosystem. Commercial banks often exclude people at the grassroots, but our members are positioned to reach them. This facility will empower them to do more,” he said.
He noted that the loan scheme offers low interest rates and flexible repayment plans, making it more accessible to small business owners.
According to him, about 90 percent of beneficiaries are expected to be women, who play a key role in sustaining families and driving economic activities at the local level.
“Our focus is on traders, service providers, and players in the informal sector. These are the real movers of the economy. By supporting them, we are strengthening families and contributing to national development,” he added.
Ogbaa disclosed that eligible SMEs with proven integrity and business track records could access up to N5 million each through participating micro-lending institutions. The rollout has commenced in Lagos and will extend to Abuja, Enugu, and other regions, including the South-West, South-East, and North-East.
He said 12 micro-lending institutions have already benefited from the scheme, while 85 applications are currently being processed under the pilot phase.
“Our target is to reach at least 100,000 SMEs nationwide. We are building a platform that connects funding partners with credible micro-lending institutions, creating a reliable channel for financial inclusion,” Ogbaa said.
He added that COMCIN is also working to attract larger funding pools from development finance institutions and private investors, noting that successful implementation of the pilot phase would boost confidence and unlock more capital for SMEs.
“We have seen encouraging testimonies from early beneficiaries. As we demonstrate transparency and efficiency, more institutions will be willing to channel funds through us,” he said.
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