The revised Q3 2018 labour force statistics released by National Bureau of Statistics (NBS) showed that Nigeria’s labour force stood at 90.47 million in Q3 2018 (6.32% up from 85.09 million in Q3 2017).
Further breakdown of the data showed that despite the increase in labour force to 90.47 million, unemployment rate rose to 23.1% in Q3 2018 from 18.8% in Q3 2017 as the classification of those working less than 20 hours a week and those who did nothing together increased the number of unemployed persons to 20.93 million (from 15.99 million in Q3 2017).
Also, 18.21 million persons were underemployed, as they worked less than 40 hours, in Q3 2018 (0.99% up from 18.03 million in Q3 2017). This brought the total unemployed plus underemployed persons to 39.14 million in Q3 2018 from 34.03 million in Q3 2017.
Amongst the 37 states (inclusive of the Federal Capital Territory), five states with the highest unemployment rates – when underemployed and unemployed numbers were combined in the quarter – include; Jigawa State recorded 64.6%, Yobe (58.9%), Rivers (58.1%), Kano (57.8%) and Kaduna (57.8%) in Q3 2018. Comparatively, Jigawa State recorded 62.9%, Yobe (58.1%), Rivers (60.1%), Kano (51.9%) and Kaduna (57.7%) in Q3 2017.
However, the fully employed, 56.73% of the labour force, rose to 51.33 million in Q3 2018 (from 51.06 million in Q3 2017).
We expect a faster rise in demand and production level, given the Presidential assent to the new minimum wage bill and the recently passed 2019 Appropriation Bill by the National Assembly, which is expected to boost spending going forward. High unemployment is likely to persist amid slow economic growth, especially in the northern part of the country due to the incessant insecurity challenges.
Cowry Asset Nigeria
