In his Labor Day address yesterday, Nicaraguan President Daniel Ortega proposed a 15% increase in the country's minimum wage.

“We can't stick with the 10% raise” initially proposed, Ortega said. “We have to advance toward the 25% workers have asked for.”

Ortega said he has asked Finance Minister Alberto Guevara to come up with the money to pay for this raise from tax payments owed by four banks that went bankrupt from 2000-2001, adding that his government hopes to “restructure” this debt, estimated to be more than $500 million, by shifting to longer-term payments with lower interest rates.

Ortega asked Guevara to meet with all sectors, starting with the military, teachers, police and health workers, to adjust their minimum salaries. Minimum wage in Nicaragua is about $77 per month.

In Ortega's speech, given at a square in the center of Managua before thousands of people, he also announced plans to reform the country's tax system and praised Cuba, which recently sent 40 doctors to Nicaragua to perform surgeries for those with little resources.

Additionally, he spoke of his plans to “free” Nicaragua of the International Monetary Fund (IMF) and eradicate hunger and poverty while keeping education and health services free.