Economy

The Centre for the Promotion of Private Enterprise (CPPE) has warned that increasing salaries alone will not improve the welfare of Nigerian workers, urging the government to focus on reducing the cost of living and fixing basic services. In a policy brief issued Thursday, CPPE Chief Executive Officer, Dr Muda Yusuf, said the current focus on wage increases is too narrow and fails to address the real problems facing households. He noted that in an economy marked by high inflation and weak public services, “nominal wage increases are frequently eroded within a short period,” leaving workers no better off. Rising Costs Eating up Incomes The group said rising prices of food, transport, energy and housing are the biggest threats to workers’ welfare, stressing that real incomes—not just salaries—should be the focus of policy. According to Yusuf, most Nigerian households spend a large share of their income on food and transport, while high energy costs and poor access to healthcare continue to strain finances. CPPE called for practical solutions such as improved mass transit to reduce commuting costs, policies to boost food production, and better housing systems to ease rent pressures. READ ALSO: Nigeria’s Headline Inflation Rises to15.38% in March – NBS Nigeria’s Economic Stability Improves in Q1, but Rising Costs Threaten Outlook — CPPE How FG Can Ease the Burden of Rising Petrol Prices on Businesses – Centre Shareholders Applaud GTCO’s Historic ₦12.76 Dividend Payout It also urged expansion of health insurance coverage to reduce out-of-pocket medical expenses, which it …