Key Facts: Eritrea vs Panama Wages
- Eritrea Minimum Wage
- Nfk600/mo ($40 USD)
- Panama Minimum Wage
- B/.1.69/hr ($1.69 USD)
- Eritrea Avg. Gross Monthly Salary
- Nfk6,000 /mo ($400 USD)
- Panama Avg. Gross Monthly Salary
- B/.1,100 /mo ($1,100 USD)
- Data Sources
- ILO ILOSTAT / World Bank / OHCHR Eritrea reports (2026-02-25), Ministerio de Trabajo y Desarrollo Laboral (MITRADEL) (2026-02-24)
Eritrea 
Panama
Updated 2026-02-25
The minimum wage in Eritrea is roughly 24 times higher than in Panama in USD terms, reflecting the gap between a low-income and a upper-middle-income economy. Average gross salaries diverge further: $400/mo in Eritrea versus $1,100/mo in Panama, a 2.8:1 ratio. Eritrea has the tighter labor market, with unemployment at 6.0% compared to 8.4%.
Eritrea's unemployment rate is 6.0% compared to Panama's 8.4%.
Detailed Comparison
| Metric | Eritrea | Panama |
|---|---|---|
| Minimum wage /hr | — | B/.1.69 $1.69 |
| Minimum wage /mo | Nfk600 $40 | B/.326 $326 |
| Minimum wage /yr | — | B/.4,238 $4,238 |
| Avg. gross salary /mo | Nfk6,000 /mo $400 | B/.1,100 /mo $1,100 |
| Avg. net salary /mo | Nfk5,400 /mo $360 | B/.990 /mo $990 |
| Median individual income /yr | N/A/yr | B/.7,800 /yr $7,800 |
Percentage differences are based on USD equivalent values. Positive means Eritrea is higher.
Work Week
- Eritrea
-
44 hrs/wk standard
Labour Law sets 44 hours/week for civilian workers (8 hours/day, 5.5 days). However, the national service program operates under military regulations outside normal labour law. No reliable enforcement or monitoring data is available.
- Panama
-
48 hrs/wk standard
Max 48 hrs/wk
Overtime : 1.25x pay
Labour Code sets maximum ordinary workday at 8 hours (daytime), 7 hours (mixed shift), and 6 hours (nighttime). Weekly maximum 48 hours for day work. Overtime: 25% surcharge for first 3 hours, 50% thereafter on regular days; 50% on holidays; and 75% on rest days (Sundays). Night work (6pm-6am) earns a 50% surcharge.
What This Means for Workers
A minimum wage worker moving from Panama to Eritrea would see a 2267% increase in USD-equivalent hourly earnings. Standard work weeks differ: Eritrea mandates 44 hours while Panama mandates 48 hours. A minimum wage worker's weekly earnings in Eritrea are $1,760 vs $81 in Panama.
See this comparison from Panama's perspective: Panama vs Eritrea
Compare Eritrea with...
Eritrea vs United States $ 7.25 /hr 
Eritrea vs China ¥ 25 /hr 
Eritrea vs Germany € 13.9 /hr 
Eritrea vs United Kingdom £ 12.71 /hr 
Eritrea vs India ₹ 4,576 /mo 
Eritrea vs Japan ¥ 1,121 /hr 
Eritrea vs France € 12.02 /hr 
Eritrea vs South Korea ₩ 10,320 /hr 
Eritrea vs Canada C$ 18.1 /hr 
Eritrea vs Australia A$ 24.95 /hr 
Eritrea vs Brazil R$ 7.37 /hr 
Eritrea vs Russia ₽ 156.31 /hr 
Eritrea vs Mexico MX$ 9,583.52 /mo 
Eritrea vs Indonesia Rp 33,058 /hr 
Eritrea vs Netherlands € 14.71 /hr 
Eritrea vs Saudi Arabia ﷼ 23.08 /hr 
Eritrea vs Turkey ₺ 164.94 /hr 
Eritrea vs Taiwan NT$ 190 /hr 
Eritrea vs Switzerland 
Eritrea vs Poland zł 31.4 /hr 
Eritrea vs Thailand ฿ 10,400 /mo 
Eritrea vs Sweden 
Eritrea vs Argentina ARS 1,762 /hr 
Eritrea vs Singapore Frequently Asked Questions
Is the minimum wage higher in Eritrea or Panama?
In Eritrea, the minimum wage is Nfk600/mo ($40 USD). In Panama, it is B/.1.69/hr ($1.69 USD). Eritrea has the higher rate by 2267% in USD terms. That nominal gap does not account for local prices; see the purchasing power comparison below for a cost-of-living-adjusted view. Workers in Panama may retain a larger share of their earnings if prices there are lower.
How much less does the average worker earn in Eritrea compared to Panama?
The average gross salary in Eritrea is Nfk6,000/mo ($400 USD), compared to B/.1,100/mo ($1,100 USD) in Panama. In USD terms, workers in Eritrea earn approximately 175% less. Average salaries reflect the full labor market, not just the minimum wage floor. The gap between Eritrea and Panama is shaped by differences in industry composition, labor productivity, and the overall cost of living in each country. Workers in Panama earn more in nominal terms, though how far that income stretches depends on local prices in Eritrea.
How do work hours compare between Eritrea and Panama?
Panama has a longer standard work week at 48 hours, compared to 44 hours in Eritrea. Workers in Eritrea work 44 hours per week by law. Longer mandatory hours can offset a nominally higher wage; a worker in Eritrea working fewer hours may have comparable or better effective hourly earnings depending on the wage levels of each country. Total annual compensation depends on both the wage rate and the number of hours required.