The National Bureau of Statistics (NBS) has reported that Nigeria’s unemployment rate dropped to 4.3% in the second quarter of 2024. This marks a significant decrease compared to earlier estimates and reflects a new approach to measuring employment and productivity in the country. The revised framework considers hours worked and informal sector contributions, offering a broader perspective on labor force participation.
In its latest labor force report, the NBS highlighted that the decline is partly attributed to improved economic activities in sectors such as agriculture, construction, and technology. Additionally, government initiatives aimed at boosting entrepreneurship and vocational training programs have contributed to increased job opportunities, particularly for youth and women.
However, labor unions and economic analysts have expressed skepticism about the new unemployment figures. Critics argue that the revised methodology underestimates the challenges of underemployment and job quality, particularly in informal sectors. They emphasize that a significant portion of Nigerians work in low-wage or precarious conditions, which may not reflect true economic stability.
The NBS defended its methodology, explaining that it aligns with global labor market standards set by the International Labour Organization (ILO). The bureau stated that the new system focuses on individuals engaged in at least one hour of work per week, broadening the definition of employment to encompass diverse forms of labor, including self-employment and part-time work.
Despite the positive outlook, experts warn that structural issues in Nigeria’s economy—such as high inflation, limited access to credit, and inadequate infrastructure—still pose significant barriers to sustained employment growth. Addressing these challenges is critical to ensuring that the recent gains are not reversed.
The government has reaffirmed its commitment to economic reforms aimed at creating more sustainable jobs. Key initiatives include expanding access to finance for small businesses, strengthening industrial policies, and increasing investment in critical sectors such as energy and transportation. Stakeholders believe that continuous collaboration between the public and private sectors will be essential in achieving long-term employment goals.
