Key Facts: Somalia vs Iraq Wages
- Somalia Minimum Wage
- No statutory minimum wage
- Iraq Minimum Wage
- ع.د1,823/hr ($1.40 USD)
- Somalia Avg. Gross Monthly Salary
- Sh150,000 /mo ($262.70 USD)
- Iraq Avg. Gross Monthly Salary
- ع.د700,000 /mo ($536.40 USD)
- Data Sources
- ILO ILOSTAT / World Bank / UN OCHA Somalia (2026-02-25), Iraqi Ministry of Labour and Social Affairs / ILO (2026-02-25)
Somalia
Iraq
Updated 2026-02-25
Somalia has no statutory minimum wage, while Iraq sets a floor of $1/hr. Average gross salaries diverge further: $263/mo in Somalia versus $536/mo in Iraq, a 2.0:1 ratio. GDP per capita (PPP) in Iraq is 9.0x that of Somalia, underscoring the structural economic divide.
Somalia has lower GDP per capita ($1,602 vs $14,464). Somalia's unemployment rate is 18.9% compared to Iraq's 15.5%.
Detailed Comparison
| Metric | Somalia | Iraq |
|---|---|---|
| Minimum wage /hr | None | ع.د1,823 $1.40 |
| Minimum wage /day | None | ع.د14,583 $11.17 |
| Minimum wage /mo | None | ع.د350,000 $268.20 |
| Minimum wage /yr | None | ع.د4,200,000 $3,218.39 |
| Avg. gross salary /mo | Sh150,000 /mo $262.70 | ع.د700,000 /mo $536.40 |
| Avg. net salary /mo | Sh140,000 /mo $245.18 | N/A/mo |
| Median individual income /yr | N/A/yr | ع.د3,360,000 /yr $2,574.71 |
Percentage differences are based on USD equivalent values. Positive means Somalia is higher.
Work Week
- Somalia
-
48 hrs/wk standard
No reliable standardised workweek provisions are enforced. Friday is the weekly rest day. Labour conditions vary widely between sectors — from formal NGO employment with international standards to highly exploitative informal arrangements. Somaliland and Puntland have some locally administered labour rules.
- Iraq
-
48 hrs/wk standard
Max 48 hrs/wk
Overtime : 1.5x pay
Labour Law No. 37 of 2015 sets maximum ordinary working hours at 8 per day / 48 per week. Friday is the weekly rest day. Overtime is compensated at 150% of normal hourly rate. Work on official holidays is paid at 200%. Ramadan working hours are reduced. Public sector employees typically work ~40 hours/week in practice.
See this comparison from Iraq's perspective: Iraq vs Somalia
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Frequently Asked Questions
Is the minimum wage higher in Somalia or Iraq?
In Somalia, the minimum wage is no statutory minimum wage. In Iraq, it is ع.د1,823/hr ($1.40 USD).
How much less does the average worker earn in Somalia compared to Iraq?
The average gross salary in Somalia is Sh150,000/mo ($262.70 USD), compared to ع.د700,000/mo ($536.40 USD) in Iraq. In USD terms, workers in Somalia earn approximately 104% less. Average salaries reflect the full labor market, not just the minimum wage floor. The gap between Somalia and Iraq is shaped by differences in industry composition, labor productivity, and the overall cost of living in each country. Workers in Iraq earn more in nominal terms, though how far that income stretches depends on local prices in Somalia.
How do work hours compare between Somalia and Iraq?
Both Somalia and Iraq mandate a similar standard work week of 48 hours. When work hours are equal, the country with the higher minimum wage delivers proportionally higher weekly earnings. Standard work week rules set the baseline; actual hours worked often differ based on industry norms and individual employment contracts.
What is the cost of living difference between Somalia and Iraq?
While direct cost of living data varies by source, GDP per capita (PPP) gives a useful proxy for overall economic level. Iraq has the higher GDP per capita at $14,464, which is 9.0x that of Somalia at $1,602. From Somalia's perspective, this means goods and services are priced at a lower economic level. A higher GDP per capita generally correlates with higher wages, higher consumer prices, and greater availability of goods and services. Workers moving between these two countries should expect significant differences in rent, food, and transportation costs.