jidestar:
This is why Nigeria can never progress, we are now held captive by Dangote and Northern President.

If a return to the old ways and principles that got us where we are today is wat APC means by change, then am sorry for Nigeria.


My question to Nigerians is this.


Is Dangote not rich enough?

DanjaNinja:
The current CBN governor should get the award of being the dumbest CBN governor of all time! What policy has this man implemented to better the life of the average Nigerian? Seriously,name one.

First, he introduced the N65 charge on ATM withdrawals. Followed by a reduction in the daily spending limit of Nigerian debit cards from $1200 to $300 causing untold hardship for Nigerians living abroad. Now this - restriction of Forex to importers.

While this new policy may seem wise at first, on close examination it becomes obvious that its a very dumb move. Usually, before imposing restriction to discourage import, a sane government provides an enabling environment to support local production. Subsidies. Tax breaks. Production infrastructure. Power. You name it. A sane government provides it all. Not so in Nigeria. We believe in the opposite - lock up the doors, throw away the keys and expect the economy to magically improve by itself. Forgetting that importers would always seek ways to beat the system. In this case buying from black market at a much higher cost which would inevitably lead to a rise in prices - causing untold suffering to the average Nigerian. How Dumb! How Dumb!! And where is Buhari when you need him

ocee31:
So Nigeria imports PLYWOOD BOARDS ...

pipz:

The list of 40 items include cement,
margarine, palm kernel, vegetable oil,
poultry products (chicken, eggs and
turkey), Indian incense, tinned fish in
sauce (Geisha, Sardines), cold rolled steel
sheets, galvanized steel, roofing sheets,
wheelbarrows, head pans, metal boxes
and containers, and enamelware.
Others are steel drum, steel pipes, wire
mesh, steel nails, wire rods, security
wire, wood particle and board, wood
fibre boards and panel, plywood board
and panel, wooden doors, toothpicks,
glass and glassware, kitchen utensils,
tableware, tiles and wooden fabrics,
plastic and rubber products, and soap
and cosmetics.

http://www.punchng.com/news/cbn-stops-forex-sales-to-rice-private-jet-importers/

jamex93:



una dey impose dis kind policy for where black market dey open 24/7

i smell millions going into the black market

Onegai:


I'm not a political fan of anyone. But let us sit down and analyse this LOGICALLY.

So, they've banned rice and poultry and some other goods. The importers turn to black market and smuggling to bring in those goods. For a while, I cry, but then eventually LOGIC tells me to look for cheaper alternatives. People here have mentioned Nigerian rice and I have always bought live poultry (it's even better for my health than anything frozen with an expiry date some clever Nigerian has obscured and sells to me). I begin to buy this rice, and if others join me in demand for local rice, the local growers cannot keep up with demand and expand their business. AND HIRE WORKERS (leading to a reduction in Unemployment and an increase in spending power of Nigerians).

And because these local industries need power to expand (and won't sit on their ars.es hopefully waiting for government), they will look for other sources of power, including Waste, Solar, Wind, Hydro. And if our Engineers and Technicians are smart, they should hopefully be dusting up their skills in private power distribution (I'm staying with some engineers who are currently planning this for Nigeria. They don't live in Nigeria, meanwhile those in Nigeria are fighting for bank jobs So more SKILLED JOBS WILL BE CREATED.

Those same local industries will hopefully have smart people with vision in them who will think like Dangote and start their companies with people who have contacts in government, so the tax breaks come. Because that is how life works IN ANY COUNTRY and that is why Lobbyists exist. I would not start any company and expect it to grow without having as one of my partners someone well-versed and well-connected in my industry (that person will also have networks in government). Even if I have to go back to my state of origin to do so.

And any sensible company will say "Oh, Standards Organization of Nigeria doesn't do a great job, why not incorporate our own testing and standards company, open some labs and give honest, unbiased reviews of products on the market? If we do our jobs right, Nigerians will come to trust our label/certificate of Authenticity and Quality on any product and companies will pay us to review their products". And these guys will need to hire chemists, biologists, science people, PR officers, consultants, accountants, all sorts. AND MORE JOBS WILL BE CREATED.

And then watch your economy grow realistically...
People have realised if you speak to Nigerians in tenderness, they will not listen but brute force makes them sit up. All the begging in the world would not have made one Nigerian driver wear a seatbelt but the fear of LASTMA became the beginning of seatbelt wisdom. We are in desperate times, that calls for desperate actions, the time for FG to leisurely implement policies has passed and State Govts have to start functioning (almost all of them are comatose).

The reason I can think about this LOGICALLY is that I realise no-one, absolutely no-one is forcing me to buy any imported goods. There are and will always be alternatives to everything imported. I haven't bought commercial body cream in 2 years and my skin is fantastic, I'm using organic stuff and best, my baby can use everything I use without me worrying about allergies or issues developing. I've avoided frozen chicken and my health isn't bad. I can actually buy furniture made in Nigeria (more stressful but can be done), my Nichem Wax ankara of 5 years is in better condition than anything else I bought that was imported from China (not one day of fading). So yeah, I survived without using certain imported goods. I found alternatives.

But I guess the next meal is more important than any meaningful change in 4 years' time, bah? Let's all sit back and enjoy that cheap imported rice.



The reason I think like this is that for a whole year, I have been saying that Importation must die and been studying up Business in Nigeria (and consulted for a medium-scale enterprise and worked in LASG and saw some projects up close and have some business proposals), so I can see the big picture. I wish everyone would.

Atlantian:
I really do not understand. Why would this man keep mute about getting Ministers and just sit alone in Aso Rock approving so many policies that are silly. We all know that its better to ban importation than allow importers to source for currency via black market, but in this case, the banks will inflate the forex rate against the dollars to make profit and this will lead to lost of value of the Naira. I am not saying that selling forex to businesses will not affect the pricing of these legal tenders but the point is, if there is heightened marginal fluctuation difference in the forex market, the salient thing to do is ban certain imports like cements and may be rice for 6 months and see the effects instead of pushing importers to the mercy of the capitalists bankers.

This Daura President needs more than the knowledge of cattle rearing and goat herding.

Onegai:


I'm not a political fan of anyone. But let us sit down and analyse this LOGICALLY.

So, they've banned rice and poultry and some other goods. The importers turn to black market and smuggling to bring in those goods. For a while, I cry, but then eventually LOGIC tells me to look for cheaper alternatives. People here have mentioned Nigerian rice and I have always bought live poultry (it's even better for my health than anything frozen with an expiry date some clever Nigerian has obscured and sells to me). I begin to buy this rice, and if others join me in demand for local rice, the local growers cannot keep up with demand and expand their business. AND HIRE WORKERS (leading to a reduction in Unemployment and an increase in spending power of Nigerians).

And because these local industries need power to expand (and won't sit on their ars.es hopefully waiting for government), they will look for other sources of power, including Waste, Solar, Wind, Hydro. And if our Engineers and Technicians are smart, they should hopefully be dusting up their skills in private power distribution (I'm staying with some engineers who are currently planning this for Nigeria. They don't live in Nigeria, meanwhile those in Nigeria are fighting for bank jobs So more SKILLED JOBS WILL BE CREATED.

Those same local industries will hopefully have smart people with vision in them who will think like Dangote and start their companies with people who have contacts in government, so the tax breaks come. Because that is how life works IN ANY COUNTRY and that is why Lobbyists exist. I would not start any company and expect it to grow without having as one of my partners someone well-versed and well-connected in my industry (that person will also have networks in government). Even if I have to go back to my state of origin to do so.

And any sensible company will say "Oh, Standards Organization of Nigeria doesn't do a great job, why not incorporate our own testing and standards company, open some labs and give honest, unbiased reviews of products on the market? If we do our jobs right, Nigerians will come to trust our label/certificate of Authenticity and Quality on any product and companies will pay us to review their products". And these guys will need to hire chemists, biologists, science people, PR officers, consultants, accountants, all sorts. AND MORE JOBS WILL BE CREATED.

And then watch your economy grow realistically...
People have realised if you speak to Nigerians in tenderness, they will not listen but brute force makes them sit up. All the begging in the world would not have made one Nigerian driver wear a seatbelt but the fear of LASTMA became the beginning of seatbelt wisdom. We are in desperate times, that calls for desperate actions, the time for FG to leisurely implement policies has passed and State Govts have to start functioning (almost all of them are comatose).

The reason I can think about this LOGICALLY is that I realise no-one, absolutely no-one is forcing me to buy any imported goods. There are and will always be alternatives to everything imported. I haven't bought commercial body cream in 2 years and my skin is fantastic, I'm using organic stuff and best, my baby can use everything I use without me worrying about allergies or issues developing. I've avoided frozen chicken and my health isn't bad. I can actually buy furniture made in Nigeria (more stressful but can be done), my Nichem Wax ankara of 5 years is in better condition than anything else I bought that was imported from China (not one day of fading). So yeah, I survived without using certain imported goods. I found alternatives.

But I guess the next meal is more important than any meaningful change in 4 years' time, bah? Let's all sit back and enjoy that cheap imported rice.



The reason I think like this is that for a whole year, I have been saying that Importation must die and been studying up Business in Nigeria (and consulted for a medium-scale enterprise and worked in LASG and saw some projects up close and have some business proposals), so I can see the big picture. I wish everyone would.

Onegai:


I'm not a political fan of anyone. But let us sit down and analyse this LOGICALLY.

So, they've banned rice and poultry and some other goods. The importers turn to black market and smuggling to bring in those goods. For a while, I cry, but then eventually LOGIC tells me to look for cheaper alternatives. People here have mentioned Nigerian rice and I have always bought live poultry (it's even better for my health than anything frozen with an expiry date some clever Nigerian has obscured and sells to me). I begin to buy this rice, and if others join me in demand for local rice, the local growers cannot keep up with demand and expand their business. AND HIRE WORKERS (leading to a reduction in Unemployment and an increase in spending power of Nigerians).

And because these local industries need power to expand (and won't sit on their ars.es hopefully waiting for government), they will look for other sources of power, including Waste, Solar, Wind, Hydro. And if our Engineers and Technicians are smart, they should hopefully be dusting up their skills in private power distribution (I'm staying with some engineers who are currently planning this for Nigeria. They don't live in Nigeria, meanwhile those in Nigeria are fighting for bank jobs So more SKILLED JOBS WILL BE CREATED.

Those same local industries will hopefully have smart people with vision in them who will think like Dangote and start their companies with people who have contacts in government, so the tax breaks come. Because that is how life works IN ANY COUNTRY and that is why Lobbyists exist. I would not start any company and expect it to grow without having as one of my partners someone well-versed and well-connected in my industry (that person will also have networks in government). Even if I have to go back to my state of origin to do so.

And any sensible company will say "Oh, Standards Organization of Nigeria doesn't do a great job, why not incorporate our own testing and standards company, open some labs and give honest, unbiased reviews of products on the market? If we do our jobs right, Nigerians will come to trust our label/certificate of Authenticity and Quality on any product and companies will pay us to review their products". And these guys will need to hire chemists, biologists, science people, PR officers, consultants, accountants, all sorts. AND MORE JOBS WILL BE CREATED.

And then watch your economy grow realistically...
People have realised if you speak to Nigerians in tenderness, they will not listen but brute force makes them sit up. All the begging in the world would not have made one Nigerian driver wear a seatbelt but the fear of LASTMA became the beginning of seatbelt wisdom. We are in desperate times, that calls for desperate actions, the time for FG to leisurely implement policies has passed and State Govts have to start functioning (almost all of them are comatose).

The reason I can think about this LOGICALLY is that I realise no-one, absolutely no-one is forcing me to buy any imported goods. There are and will always be alternatives to everything imported. I haven't bought commercial body cream in 2 years and my skin is fantastic, I'm using organic stuff and best, my baby can use everything I use without me worrying about allergies or issues developing. I've avoided frozen chicken and my health isn't bad. I can actually buy furniture made in Nigeria (more stressful but can be done), my Nichem Wax ankara of 5 years is in better condition than anything else I bought that was imported from China (not one day of fading). So yeah, I survived without using certain imported goods. I found alternatives.

But I guess the next meal is more important than any meaningful change in 4 years' time, bah? Let's all sit back and enjoy that cheap imported rice.



The reason I think like this is that for a whole year, I have been saying that Importation must die and been studying up Business in Nigeria (and consulted for a medium-scale enterprise and worked in LASG and saw some projects up close and have some business proposals), so I can see the big picture. I wish everyone would.

pipz:
The CBN released a circular yesterday (23 June) that excludes importers of some goods and services from accessing foreign exchange at the Nigerian FX market. These goods and services include rice, cement, meat, vegetables, poultry and specific building materials (see full list on pg 2 of attached circular).

The last time we saw similar action from the CBN was on November 6, when it excluded some transactions from the official FX (RDAS) window. The difference between this policy decision and the one from November 6, is that then FX demand was diverted to the interbank window – hence the depreciation of the naira on the interbank market at the time, that we saw as a tacit devaluation. This time around the CBN is diverting demand away from the interbank window.

We see this policy move as
1. Confirmation that FX supply remains extremely tight.
2. But more worryingly, it suggests that the central bank remains reluctant to devalue the naira. The central bank is delaying what we think is an inevitable devaluation, that is coming following a $2.3bn drop in FX reserves since the February devaluation, whereafter the naira was essentially pegged.

Implications: The CBN says part of the motivation behind this policy is to encourage local production of the excluded items. But we know part of the reason the excluded items are imported is because of insufficient domestic supply. In this instance, the central bank suggests that importers use their own FX funds to import these goods.

1. The reality is most importers do not have their own FX funds. We thus expect this policy to result in importers of the excluded goods and services turning to the black market for FX. We think this will result in a significant depreciation of the naira on the black market, which means the spread between the interbank and black market exchange rate will widen significantly. (The black market exchange rate is presently c. NGN220/$1 vs interbank rate of NGN199/$1.)

2. As much as the CBN says the excluded items have not been banned, we think the central bank has effectively done so because there is not enough FX liquidity in the black market to support the demand for these imports.

3. Substituting the excluded imports with domestic production will take a while, and in the meantime we expect a shortage of some of these excluded items to develop. As the cost of importing the excluded items will rise and the supply of some these items will fall, we expect their prices to increase sharply. This implies an acceleration of Nigeria’s inflation rate. (Inflation rose to 9.0% YoY in May, from 8.7% YoY in April.) Higher inflation implies tight monetary policy that is already constricting bank lending will be with us for longer.

4. Positive for cement: This policy measure may be positive for cement companies, as it would weed out importers that were importing cement in bulk and repackaging under their own brand.

We think the expectation that the new administration will recover some misappropriated funds that will help shore up FX reserves, may be why the central bank is holding off on a devaluation. We believe this recovery process may be a lot more convoluted and lengthy than is hoped, and the naira may not hold up for that long. Moreover, a widening spread between the interbank and black market rate is likely to increase the amount by which the market expects the naira to devalue (from 10-15% today).


Renaissance Capital

Onegai:


I'm not a political fan of anyone. But let us sit down and analyse this LOGICALLY.

So, they've banned rice and poultry and some other goods. The importers turn to black market and smuggling to bring in those goods. For a while, I cry, but then eventually LOGIC tells me to look for cheaper alternatives. People here have mentioned Nigerian rice and I have always bought live poultry (it's even better for my health than anything frozen with an expiry date some clever Nigerian has obscured and sells to me). I begin to buy this rice, and if others join me in demand for local rice, the local growers cannot keep up with demand and expand their business. AND HIRE WORKERS (leading to a reduction in Unemployment and an increase in spending power of Nigerians).

And because these local industries need power to expand (and won't sit on their ars.es hopefully waiting for government), they will look for other sources of power, including Waste, Solar, Wind, Hydro. And if our Engineers and Technicians are smart, they should hopefully be dusting up their skills in private power distribution (I'm staying with some engineers who are currently planning this for Nigeria. They don't live in Nigeria, meanwhile those in Nigeria are fighting for bank jobs So more SKILLED JOBS WILL BE CREATED.

Those same local industries will hopefully have smart people with vision in them who will think like Dangote and start their companies with people who have contacts in government, so the tax breaks come. Because that is how life works IN ANY COUNTRY and that is why Lobbyists exist. I would not start any company and expect it to grow without having as one of my partners someone well-versed and well-connected in my industry (that person will also have networks in government). Even if I have to go back to my state of origin to do so.

And any sensible company will say "Oh, Standards Organization of Nigeria doesn't do a great job, why not incorporate our own testing and standards company, open some labs and give honest, unbiased reviews of products on the market? If we do our jobs right, Nigerians will come to trust our label/certificate of Authenticity and Quality on any product and companies will pay us to review their products". And these guys will need to hire chemists, biologists, science people, PR officers, consultants, accountants, all sorts. AND MORE JOBS WILL BE CREATED.

And then watch your economy grow realistically...
People have realised if you speak to Nigerians in tenderness, they will not listen but brute force makes them sit up. All the begging in the world would not have made one Nigerian driver wear a seatbelt but the fear of LASTMA became the beginning of seatbelt wisdom. We are in desperate times, that calls for desperate actions, the time for FG to leisurely implement policies has passed and State Govts have to start functioning (almost all of them are comatose).

The reason I can think about this LOGICALLY is that I realise no-one, absolutely no-one is forcing me to buy any imported goods. There are and will always be alternatives to everything imported. I haven't bought commercial body cream in 2 years and my skin is fantastic, I'm using organic stuff and best, my baby can use everything I use without me worrying about allergies or issues developing. I've avoided frozen chicken and my health isn't bad. I can actually buy furniture made in Nigeria (more stressful but can be done), my Nichem Wax ankara of 5 years is in better condition than anything else I bought that was imported from China (not one day of fading). So yeah, I survived without using certain imported goods. I found alternatives.

But I guess the next meal is more important than any meaningful change in 4 years' time, bah? Let's all sit back and enjoy that cheap imported rice.



The reason I think like this is that for a whole year, I have been saying that Importation must die and been studying up Business in Nigeria (and consulted for a medium-scale enterprise and worked in LASG and saw some projects up close and have some business proposals), so I can see the big picture. I wish everyone would.

atlwireles:


Almajiri, Keep your advise for your Daura President