ilugunboy:


Which one is CBN reserve? We are talking about our external reserves. Please read up Soludo's article.

I thought you have an understanding (informed one) of what our EXTERNAL (or FOREIGN) RESERVES is.

This reserve is composed of two major components - CBN's RESERVE and EXCESS SAVINGS. A third the Sovereign Wealth Fund. So which of these are/were you referring to?

VolvoS60:


^^^
Its also interesting that you bring up the matter of fuel subsidy. i have argued on several threads here that Nigerians have not been told the truth about fuel subsidy. Just a few days ago, I saw for the first time, youtube clips of Messrs Tam David West and Muhammadu Buhari (recorded 3 years ago) in which they stated unequivocally that fuel subsidy is nothing but a scam. I would like nothing more than to see this matter settled once and for all.

I have always asked this question: what is the cost of producing a litre of refined PMS, AGO or DPK here in Nigeria, using Nigerian crude and Nigerian refineries? That is a question that I have never been able to get a clear answer to. Each time I try to get an answer to this, I am told the PPRA template can't be uploaded, or the website hosting it is down, etc. We need to know what that local production cost is. Is it more than, less than or equal to the pump price of 87 Naira?

Let's leave that for now. You talk about knowing what's right but not having the political capital to achieve a solution. Then why aspire to lead? Nigerian leaders have to choose this day whom they will serve: a minority of powerful vested interests or a powerless (for now) majority that is truly, really ignorant (again, for now) of its own strength.

The current administration does not want to take on unproductive, corrupt civil servants. Correct me if I am wrong, but it does not want to advance legislative reform on key areas such as the Land Use Act or the PIB despite a clear party majority in parliament. It has not sponsored a bill for a constitutional amendment to reduce the sinecures that define public officialdom in the Federal republic of Nigeria. It does not want to do these things because they are 'too hard'. So why aspire to leadership?

I would like to know if the Ribadu Report, the KPMG Report, the PwC Report, the Ralph Oronsaye Report and the NNPC Audit Report have all been completed and formally released to the public. If they haven't been, then why?

You talk about Mrs. Okonjo Iweala's attempts to alter the skewed nature of our budgets. I will like to see how successful those efforts will be in a captive state (which is what we are, make no mistake about it).

It's a good thing you didn't get into the fuel subsidy issue. I'm ideologically opposed to the subsidy and government control of the energy sector.

I wasn't talking about hard here when discussing "political capital". Realistically, can you imagine the social and political fallout of firing about 50% of the Federal work force? I think a gradualist approach is more prudent especially when you realize that government spending (and revenue) as a percentage of our GDP is one of the lowest in the world. Increasing this take while keeping personnel costs almost constant will correct the imbalance in the long run. This will take a longer time to achieve but is a less disruptive alternative.

I don't honestly understand your question about legislative reform but I believe that GEJ attempted a wholesale review of the 1999 fraud constitution. However, it's actually the Legislature not the GEJ that's responsible for laws in this country. Sorry, that's the law of the land. Unfortunately, our inheritted Yankee constitution is not designed for radical, unilateral action by the President. We need to deal with that.

Regarding the reports you mentioned, I believe actions were taken on most of them. For example, some people are currently undergoing trials because of the "fuel subsidy" report.

Seun:
It's hard for government to save in times of plenty in a democracy. The opposition will accuse you of not doing anything to help the people.

Was that also why they were borrowing uncontrollably?

maasoap:
You knew nothing about economy, apparently. So you know that USA has the largest gold reserve in the world? You can't even understand what I'm saying, why troubling myself?

Oops sorry...maybe I don't understand what you're saying. But I am sure you should also know that Nigeria has one of the largest deposits of petroleum (crude and Natural gas)? You should really trouble yourself bro.

kaboninc:


Yes he is telling us to shine our eyes...that he is the dangerous one!

Is that right? Soludo is no saint and his contribution to the banking crisis is by no means negligible. We however, need to stop throwing away the babe with the bath water.

Nigeria is our collective commonwealth and no region or person(s) is bigger than her, we need stop looking beyond out personal affiliations and or preferences where our nation is concerned. I am no economist but I understand English language, NOI simply threw a grenade because she felt Soludo fired the first shot.

3kay945:



I lost interest after reading the first and second paragraph. It cant be objective since the starting clearly shows attack on Soludo.
The last time i checked, SOludo is not member of APC so its Peedeepee problem.
Sai Buhari.

why can't you just read it and find out for yourself what she would say. No wonder some people said, if you want to hide something from a b**** man put it inside a book.

agabusta:
It is getting more interesting.

I am surprised NOI can be praising Sanusi. After they have stampeded Sanusi out of office they can now acknowledge his contributions. yeye people. Well, lets keep watching, Aunty Ngozi may finally commend him in his effort of reporting the $20B stolen money after they are kicked out in February and GMB is sworn in in May 29th. grin grin

The hallmark of this administration still shows in the response. Before they address issues, they first attack the person that tables the issues. Anybody that talks against this administration will be attacked personally even before addressing the issues raised.

exactly if only she had left out the first part of the article it would have been ok.

i dont beleive in buhari but i couldnt continue reading this article when it started with a character assassination.

maasoap:
Was that also why they were borrowing uncontrollably?

What does borrowing uncontrollably mean? I didn't know they were doing that. Fashola in Lagos State also borrowed. Why did he do that?

kaboninc:


I thought you have an understanding (informed one) of what our EXTERNAL (or FOREIGN) RESERVES is.

This reserve is composed of two major components - CBN's RESERVE and EXCESS SAVINGS. A third the Sovereign Wealth Fund. So which of these are/were you referring to?

If you have any idea contrary to the excess crude oil reserve that I'm referring to..split it. When we discuss the external reserves...it's generally taken to be the excess crude oil reserves.

So speak your opinion..

Seun:
It's hard for government to save in times of plenty in a democracy. The opposition will accuse you of not doing anything to help the people.

Ah ha...thank you.

We should also remember that the State Governments were very vocal in clamoring for the gradual sharing of fund in the ECA. Though they have a right to it as it is a revenue that accrues to the federation. So we should also ask them to give account of what they did with the money and not entertaining their blame games.

But don't you think it would be easier for the government to save 'more' in a Military regime?

The only thing I remember Soludo for na those useless #20 and #50 naira notes wey de tear tear anyhow. Even cello tape no de fit holla am. Grave mistake. I still de miss the old notes.

ilugunboy:


If you have any idea contrary to the excess crude oil reserve that I'm referring to..split it. When we discuss the external reserves...it's generally taken to be the excess crude oil reserves.

So speak your opinion..

No they are not the same thing. External reserves are CBN funds not Government funds. In Short those external reserves are the flip side of every naira in circulation . Technically the external reserves belongs to every person who holds Naira. The Naira afterall is just a promise of value by the CBN. You can think of Naira notes as CBN checks.Holders may seek to cash their checks from time to time
If people believe it is an empty promise they exit the Naira and the CBN have to put up by selling dollars to defend their . It does not have to be dollars strictly speaking after all the dollar is just another promise too

ECA are Government funds owned by all tiers of government. Again for government to access those funds the CBN has to monetize it by issuing naira to the different tiers of government

atlwireles:
Soludo was a visionary man, he was able to see and help construct the big picture for the Nigerian banking sector. Soludo treated the markets and banks like Greenspan. Believing bank executives would never do anything to undermine their shareholders and institutions. That was his mistake. I will and cannot put SLS above Soludo, that would be a crime against humanity. Sanusi caused more damage with his approach, shouting fire in a market place and totally destroying the confidence of the average Nigerian in the financial sector. We are still living with many of SLS collateral damages.

That being said, Soludo messed up big time, with his article. When you challenge people's credibility, make sure the facts are on your side. Numbers like the poverty percentage from 2010, was just too easy to expose as fraud. Nevertheless, he has added to the public debate and some Nigerians have learnt something new about their country.

GEJ till 2019.

God bless you. However, I disagree that SLS did more damage. If Banks CEOs were not selfish, there will be no need for a rigorous risk management system implemented by SLS. There will also be no need for Bank's going under and likewise no need for massive job loss.

Soludo envisaged a system that will not be corrupt and greedy. It is a good policy to ensure that Banks can properly finance projects and not engage in round-tripping to make profit (because that was what Banks were doing then). Sanusi came up with a robust risk management system. Both CBN governors are very intelligent and well grounded professionals and as you can see both are critical about the way our economy is going. However, our darling Havard trained Minister of Finance, rather than take positive criticism goes on an image laundry scheme and white wash projects that people cannot see.

It is only Jonathan's administration that one can neither see what the government is doing but the government is screaming that it is doing something. I just wonder.

Kola4uniadgog:


I believe Nigerians are very educated though the quality of the education leaves much to be desired. The issue of unemployment is a monster that can't be addressed in a short time. Policy inconsistencies over the years has brought us to our current state as a country. We know govt can't employ people that much as the civil service is over-staffed. It is the private sector that can bail us out. And an enabling environment where every youth with a good business idea can get grants and loans to achieve their dreams. That's what we need to do as a country. It is a people that makes a country great not vice versa. And I want to believe the policies of the current gvt is doing just that tho much more could be done.

Bro, believe me when I tell you that a vast majority of Nigerian youths are useless upstairs. This country has very little hope with the caliber of youths we presently have.

I've had the opportunity of interviewing graduates seeking employment in my organization and I'll honestly state that over 90 percent are dull upstairs. When people say 70 percent of Nigerian graduates are unemployable, some people think its a joke.

Just think about it, they say the youth consist about 60-65 percent of the Nigerian population - that's huge. If only half of the 65 percent are sensible, this country will be a better place.

I always tell my friends that a country is as good as the attitudes and behaviors of the majority of people living in it. Nigeria is a useless country because the majority of the people living in it are dumb, ignorant and near useless.

obailala:

Only not-too-smart people will ignore a message which they can verify with a click of a button, simply because they dont trust the messenger. To give you a more appropriate analogy to the one you gave, assuming you are in a restaurant and a renown armed robber walks in and tells you some street boys are attempting to break into your car which you parked outside, what would you do?... Would you totally ignore the message because you know the messenger is a thief?... Would you throw the baby away with the bath water simply because 'you dont think' it is clean?

Does it cost you anything but a click away to verify?

So have you(being a very smart guy) with a Click which is just away according to you verified all your highly revered soludo published before taking this your position?

ilugunboy:


If you have any idea contrary to the excess crude oil reserve that I'm referring to..split it. When we discuss the external reserves...it's generally taken to be the excess crude oil reserves.

So speak your opinion..

When we discuss the external reserves...it's generally taken to be the excess crude oil reserves.

NO bro. Because if so, you could imagine what it means when President Obasanjo said that he left about $67 Billion in the 'foreign (external)' reserves.

Like I said, when you say 'Foreign Reserve', you mean two major components - the Foreign Exchange Reserve which is being held and managed by the Central Bank to offset payments in foreign currencies (like the USD) and the Excess Crude Savings - ECS (which takes the differentials of crude oil price between the budgeted benchmark and the international sales price). Mind you they are both reserves. The CBN's reserves caters for imports for a certain period of time and the ECS is like your everyday savings in the local bank.


Again, which of the reserves?

Boss13:


God bless you. However, I disagree that SLS did more damage. If Banks CEOs were not selfish, there will be no need for a rigorous risk management system implemented by SLS. There will also be no need for Bank's going under and likewise no need for massive job loss.

Soludo envisaged a system that will not be corrupt and greedy. It is a good policy to ensure that Banks can properly finance projects and not engage in round-tripping to make profit (because that was what Banks were doing then). Sanusi came up with a robust risk management system. Both CBN governors are very intelligent and well grounded professionals and as you can see both are critical about the way our economy is going. However, our darling Havard trained Minister of Finance, rather than take positive criticism goes on an image laundry scheme and white wash projects that people cannot see.

It is only Jonathan's administration that one can neither see what the government is doing but the government is screaming that it is doing something. I just wonder.

My dear

Sanusi was a disaster

Soludo did well even though he failed to thoroughly supervise the banks because he thought they will do the right things without supervision

Okonjo is trying even though her efforts are not felt due to the large scale of the problem.

omonnakoda:
No they are not the same thing. External reserves are CBN funds not Government funds. In Short those external reserves are the flip side of every naira in circulation . Technically the external reserves belongs to every person who holds Naira. The Naira afterall is just a promise of value by the CBN. You can think of Naira notes as CBN checks.Holders may seek to cash their checks from time to time
If people believe it is an empty promise they exit the Naira and the CBN have to put up by selling dollars to defend their . It does not have to be dollars strictly speaking after all the dollar is just another promise too

ECA are Government funds owned by all tiers of government. Again for government to access those funds the CBN has to monetize it by issuing naira to the different tiers of government

Thank you.

BlackTechnology:



My dear

Sanusi was a disaster

Soludo did well even though he failed to thoroughly supervise the banks because he thought they will do the right things without supervision

Okonjo is trying even though her efforts are not felt due to the large scale of the problem.

How was Sanusi a disaster?

EmoBoy:


Bro, believe me when I tell you that a vast majority of Nigerian youths are useless upstairs. This country has very little hope with the caliber of youths we presently have.

I've had the opportunity of interviewing graduates seeking employment in my organization and I'll honestly state that over 90 percent are dull upstairs. When people say 70 percent of Nigerian graduates are unemployable, some people think its a joke.

Just think about it, they say the youth consist about 60-65 percent of the Nigerian population - that's huge. If only half of the 65 percent are sensible, this country will be a better place.

I always tell my friends that a country is as good as the attitudes and behaviors of the majority of people living in it. Nigeria is a useless country because the majority of the people living in it are dumb, ignorant and near useless.

Nairaland is an example.

callmenow:


Freedom of speech stop where malicious lies rears it's ugly head. Try out this experiment. Go to the nearest market (preferably in Kano or Sokoto )and shout that you are a suicide bomber. Come back to this forum and tell us what the market traders made of your freedom of speech. It is right that the freedom of speech entitles you to offend other Nigerians, but your speech must not be pernicious or hateful. Conceptually, we must respect others, if we expect similar courteous response.

Excuse me sanusi exposure about the missing money is not a malicious lie as you call it, he carried his duty to make sure nothing is been done recklessly and in doing that he found out that some money is missing and he blew the whistle thus stepping on toes but he didn't care as he was doing his duty that is what every honest public servant would do and going to the market say u are a suicide bomber is suicide and also fooliness and nobody who's on this planet would do that except a mentally challenge individual.

EmoBoy:


Bro, believe me when I tell you that a vast majority of Nigerian youths are useless upstairs. This country has very little hope with the caliber of youths we presently have.

I've had the opportunity of interviewing graduates seeking employment in my organization and I'll honestly state that over 90 percent are dull upstairs. When people say 70 percent of Nigerian graduates are unemployable, some people think its a joke.

Just think about it, they say the youth consist about 60-65 percent of the Nigerian population - that's huge. If only half of the 65 percent are sensible, this country will be a better place.

I always tell my friends that a country is as good as the attitudes and behaviors of the majority of people living in it. Nigeria is a useless country because the majority of the people living in it are dumb, ignorant and near useless.

You have a point


What do you think is the way out.?

Boss13:


God bless you. However, I disagree that SLS did more damage. If Banks CEOs were not selfish, there will be no need for a rigorous risk management system implemented by SLS. There will also be no need for Bank's going under and likewise no need for massive job loss.

Soludo envisaged a system that will not be corrupt and greedy. It is a good policy to ensure that Banks can properly finance projects and not engage in round-tripping to make profit (because that was what Banks were doing then). Sanusi came up with a robust risk management system. Both CBN governors are very intelligent and well grounded professionals and as you can see both are critical about the way our economy is going. However, our darling Havard trained Minister of Finance, rather than take positive criticism goes on an image laundry scheme and white wash projects that people cannot see.

It is only Jonathan's administration that one can neither see what the government is doing but the government is screaming that it is doing something. I just wonder.

The criticism against this Administration (not just the Minister) was a destructive one. It shouldn't have come from a Professor who is very much informed than the ordinary Nigerian.

BlackTechnology:



My dear

Sanusi was a disaster

Soludo did well even though he failed to thoroughly supervise the banks because he thought they will do the right things without supervision

Okonjo is trying even though her efforts are not felt due to the large scale of the problem.

I disagree with you. Sanusi came up with a robust risk management system and good corporate governance. He introduced 10 years tenure for all MD's so that MD's have a succession plan and without Key Man Risk issues. What benefit will the recapitalisation programme bring when Bank CEO's are eating shareholders funds and even depositors funds. Both were exceptional governors. Now lets see what Emefiele will do with foreign exchange issues we are currently faced with.

ilugunboy:


The question is why is the Naira losing it value at such dizzying free fall rate?

It's simple....no adequate reserve to defend the Naira, many investors and financial players are aware of our depleted foreign reserves and they were the first set to take positions against the Naira. When big financial players starts taking anti-Naira position....it sends a clear signals to small time speculators like me to take such stand against the Naira.

While we acknowledge the effects of falling crude oil prices....the major blame lies with those that have mismanaged and squandered our foreign reserve which is meant to defend the Naira at period like this.

i can remember vivdly reading an article where SLS was defending his policy of defending the Naira with Nigerians foriegn reserve. Meaning they've been doing this but with the price of oil falling below the nations bench-mark, it was totally not sustainable. Look at other major oil producing countries like Russia, Venezuela, Nigeria must start to reduce her dependency on oil.

lozairio:
Excuse me sanusi exposure about the missing money is not a malicious lie as you call it, he carried his duty to make sure nothing is been done recklessly and in doing that he found out that some money is missing and he blew the whistle thus stepping on toes but he didn't care as he was doing his duty that is what every honest public servant would do and going to the market say u are a suicide bomber is suicide and also fooliness and nobody who's on this planet would do that except a mentally challenge individual.

The problem isn't about the missing money per-se. But which of them is actually missing - $50 billion, $20 billion, $12 billion or $10 billion. As a high ranking public official who is well versed with the figures and in fact is an authority on government's actual expenditures and income, you do not go around making careless statement. There's not manager (or employer) who know his salts will tolerate such behaviour including Sanusi himself.

kaboninc:


How was Sanusi a disaster?

Boss13:


I disagree with you. Sanusi came up with a robust risk management system and good corporate governance. He introduced 10 years tenure for all MD's so that MD's have a succession plan and without Key Man Risk issues. What benefit will the recapitalisation programme bring when Bank CEO's are eating shareholders funds and even depositors funds. Both were exceptional governors. Now lets see what Emefiele will do with foreign exchange issues we are currently faced with.

One major role of CBN is run policies that will encourage economic development/ growth resulting to more jobs , wealth, etc

In soludo days, we saw massive job creation in the banking sector

But


Sanusi era was full of EFCC kind of operations that left the lay man asking if there is difference between CBN and EFCC.

At the end of the day, his policies lead to massive job cut in an economy full of unemployed people.

kaboninc:


The criticism against this Administration (not just the Minister) was a destructive one. It shouldn't have come from a Professor who is very much informed than the ordinary Nigerian.

What will the ordinary Nigerian say? I believe the criticism is just and equitable given the present situation of the economy. Our finance minister cannot tell us all is well and we look around, nothing is actually well. What has she done about unemployment since she was appointed. Is it not a shame. I told her on twitter that she should have ignore Soludo.

Soludo asked basic questions drawing references from publicly available statistics. She went ahead to criticise his person, comparing him to a failure. Is she not also a failure? Has she delivered on the economic promises the administration promised. It is also very funny that they were once colleagues and probably PDP members. Sanusi also criticised and he was also insulted.

We definitely tolerate rubbish Nigerians, we tolerate rubbish

cooljude:
i can remember vivdly reading an article where SLS was defending his policy of defending the Naira with Nigerians foriegn reserve. Meaning they've been doing this but with the price of oil falling below the nations bench-mark, it was totally not sustainable. Look at other major oil producing countries like Russia, Venezuela, Nigeria must start to reduce her dependency on oil.

Nigeria is not the only country experiencing this currency devaluation.

Boss13:


What will the ordinary Nigerian say? I believe the criticism is just and equitable given the present situation of the economy. Our finance minister cannot tell us all is well and we look around, nothing is actually well. What has she done about unemployment since she was appointed. Is it not a shame. I told her on twitter that she should have ignore Soludo.

Soludo asked basic questions drawing references from publicly available statistics. She went ahead to criticise his person, comparing him to a failure. Is she not also a failure? Has she delivered on the economic promises the administration promised. It is also very funny that they were once colleagues and probably PDP members. Sanusi also criticised and he was also insulted.

We definitely tolerate rubbish Nigerians, we tolerate rubbish

Let us tell ourselves the truth.

Unemployment is an issue all our economists have no good blueprint on how to solve.

I am yet to see a Nigerian economists who has written a comprehensive approach to addressing unemployment issue.


My question to you


Please list 5 innovative way you can address unemployment if she invites you to help her out.

EmoBoy:


Bro, believe me when I tell you that a vast majority of Nigerian youths are useless upstairs. This country has very little hope with the caliber of youths we presently have.

I've had the opportunity of interviewing graduates seeking employment in my organization and I'll honestly state that over 90 percent are dull upstairs. When people say 70 percent of Nigerian graduates are unemployable, some people think its a joke.

Just think about it, they say the youth consist about 60-65 percent of the Nigerian population - that's huge. If only half of the 65 percent are sensible, this country will be a better place.

I always tell my friends that a country is as good as the attitudes and behaviors of the majority of people living in it. Nigeria is a useless country because the majority of the people living in it are dumb, ignorant and near useless.

I can't agree with u more though ur choice of words r harsh. Am a corps member passing out in a couple of weeks and I must say I have come across very dumb so called graduates. When you interact wit them. Their level of ignorance would make one puke. Little wonder many are perpetually unemployed or underemployed. These crop of youths cannot be the leaders of 2mao.
In other news bro, I dey find work oooo
Shee make I send my cv?

Perfect reply.
Soludo should go and sit his sorry ass in a dump-site