Yoruba socio-political organisation Afenifere has criticised President Bola Tinubu's claim that his economic reforms have enabled more states to pay workers and pensioners.
The group argued that while states now have increased revenues following the removal of fuel subsidy, inflation and naira devaluation have significantly eroded the real value of workers' wages.
Afenifere made the position known in a statement signed by its National Publicity Secretary, Justice Faloye, following Tinubu's recent meeting with Osun State Governor Ademola Adeleke.
Tinubu had said his economic policies had helped 27 states overcome difficulties in paying workers' and pensioners' salaries.
The President also described calls for the restoration of fuel subsidy as evidence of what he called serious ignorance of governance and the economy.
Afenifere rejected that argument, saying the increased ability of states to pay salaries should not be presented as an unqualified economic success.
The group argued that subsidy removal and naira devaluation had reduced Nigerians' purchasing power, meaning that higher nominal salaries could still represent lower real income.
It claimed that wages, pensions and property values had lost significant value in real terms because salary increases had not kept pace with inflation and the decline in the naira's purchasing power.
Afenifere also criticised Tinubu's recent comments on hunger and poverty, arguing that the economic hardship facing Nigerians should be assessed in relation to living costs and household purchasing power.
The group further accused the administration of relying on economic policies that had placed a disproportionate burden on ordinary Nigerians.
Beyond the debate over wages, the statement also raised questions about the Federal Government's reported ₦20.4 trillion in incremental resources since the reforms began.
The Alliance for Economic Research and Ethics, through its chairman Dele Oye, argued that the figure should not be viewed simply as internally generated or freely available government revenue.
According to the report, the ₦20.4 trillion comprises estimated subsidy savings, additional revenue and ₦11.85 trillion in incremental borrowing, meaning borrowing accounts for a substantial portion of the reported resources.
Oye also questioned the transparency surrounding the Federal Government's $5 billion financing arrangement with First Abu Dhabi Bank.
He called for disclosure of key details, including the facility's drawdown schedule, purpose, collateral arrangements, fees and utilisation reports.
The concerns followed Finance Minister Taiwo Oyedele's presentation of the government's economic reform scorecard on August 19.
The report also highlighted the effect of inflation on the purchasing power of Nigerians, noting that currency in circulation increased significantly in nominal terms between 2021 and 2025 while its real purchasing power declined.
The debate therefore extends beyond the ability of states to pay salaries to broader questions about whether Nigeria's economic reforms are translating into improved living standards.
While the Federal Government has highlighted increased revenues and improved fiscal capacity, critics argue that Nigerians are still struggling with higher prices and reduced purchasing power.
The conflicting positions are likely to remain central to debates over the sustainability and social impact of Tinubu's economic reforms.