benpedro:
The foreign investors will just come, look at the fixed official rate and the parallel price of a dollar to naira and shake their head.what an unserious bunch of black asses.And please all these politicians here including the president himself should abstain from discussing the economy because most of them have little or no clue about basic economics.The VALUE of a currency DOES NOT depend on your emotions or your dreams of an industrialised nigeria but on the DEMAND of the naira in the money market!The true VALUE of the naira is what is obtainable in the parallel market and not the fixed CBN official rate.There are so many people especially those nigerians living in the diaspora who have lots of foreign currencies(of course their host countries must have devalued their own currency to the dollst)to send but sees the cbn official rate as funny and unserious,hence they will keep their money waiting until the naira is OFFICIALLY devalued which is BOUND to happen sooner or later!I am still waiting to see some of you here supporting this policy that are importers of anything including raw materials or cars who have gotten the dollars easily at the official rate.The price of everything has skyrocketed in the market and the president is saying he don't want to suffer the poor masses smh

Wallade:
Devaluation of currency can impact the economy positively in a case whereby the country is productive, this stimulates exports and improves the balance of payment in favor of Nigeria.
Nigeria is highly import driven, we manufacture few products which can't even meet local demand and international standards in most cases.

I have a teaser question for you all that are asking the government to devalue the currency: How does currency devaluation impact the economy positively and translate into positive BOP for Nigeria?
You guys are only advocating devaluation to meet a short term need for FOREX and capital inflow. Mind you, the bulk of the capital inflow you will get from foreign investors will be working capital inflow. If the foreign investors are so keen on the Nigerian market, they should invest in production and manufacturing plants, human capital development and skill acquisition to enable complete production of goods and services locally for the local and export to international market.

Imports restrictions and bans is one of the measures to compel Nigerians to produce local goods and services to meet local demand at least and perhaps export to international market. With time, local manufacturers will perfect the production and meet international standards to ensure acceptability of Nigerian made goods in international markets, especially highly standardized markets.

You may be surprised that I believe in these policies introduced by the government. The only problem I have is with the CBN governor going back and forth on some policies thus giving the impression that it isn't decisive, well informed and planned.

God help Nigeria.

igala1:
Monetary policies are designed by CBN while government channels fiscal policies. As an investor in the real sector or oil&gas sector. If I'm hoping to invest say $1m then I don't have to mount pressure or dictate to my host country its rate. I'd exchange $1:N200 at CBN rate, make my business proposals with my end users to include changes in FX. I.e I'd add my profit margin plus any change in FX in my contract. With that serious investors are not bothered about their returns on investment. What is most important to investors is TRUST. Can my business be protected by the country laws? Would my business environment be secured? Are there trainable manpower from their institutions? Commerce and Industry impacts on the economy with above strategies while "Traders" are hit & run always wanting to reap before sowing.

NavierStokes:


Please bro take a look at the last sentence.

ellechrystal:

My dear, they don't understand, each tym I try to explain to certain peeps I get stunned by their ignorant responses.
Illiteracy n lack of study is becoming a huge mess in Nigeria compared to corruption itself. I don tire . some people don't read, n even if they do, comprehension is another huge problem, or they try to twist it to suit what's in their brain.

chuksmad:

Very few ladies reason like you, both beauty and brain. Keep it up

In reality, N400=$1 exchange rate will reduce the current minimum wage to less than $50 per month! Thus, a minimum wage earner, may have to work 2×10 hour shifts every day to earn the income required to maintain his old consumption pattern before devaluation, unless he receives a commensurate wage increase! Similarly, all other higher income earners, and their savings, would also lose up to 50 per cent of the dollar value of their incomes, while all equity in the stock market will suffer the same fate if the dollar appreciates to N400=$1. In plain language, we would all be poorer!

So, in essence, naira devaluation was and remains bad news that portends social and economic dislocations and deepening poverty; evidently, our trajectory in the last 30 years bears ample testimony to this reality.

ellechrystal:
Ok na, very soon they will also give him a name or insult him. Sometime they can be really unprofessional,by the way, the policies by the present administration is a complete disaster, n may end up destroying the economy. I ve never seen.

kaypling:



20,000 thumbs up for this! People are mixing traders with investors. What real investors are looking at if they're money is safe in our country. They're looking at political stability. They're looking at a government that's not only interested in satisfying their cronies. This is why investors are happy Buhari is allowing the contracts in the power industry stand despite the complaints and evidences that it was done by who you know. What investors are interested in, is not all that Western Union and black market like what all these guys are saying. Nigeria needs investors that want to invest in Nigeria, not quick come and sell traders. Devaluation is instantly going to make us poorer, no company is going to raise wages. Poverty isn't attractive to investors

yaki84:




at the end the economist wont see anything to write abt nigeria's economy cos they dont do politics.
duara dull ard wakeup from this kunu sipping.
I knw say u don old n it doesnt matter to u if nigeria becomes zimbabwe or greece.
wake up.

grandstar:


I doubt he will devalue snd if he devalues. it will be far from market expectations. His belief is that those who patronize the black market are either unpatriotic or are buying luxuries. They therefore are none of his business.Only his party can stand up to him. This will only be done when push comes to shove

Bevista:
I would beg to disagree that the expansionary budget is "wrongly praised". It is exactly what is needed to invest in infrastructure and other parts of the economy with a view to diversifying government revenue. How else do you want government to plan for future revenue in the face of falling oil prices.
---
But, yes, the administration FX Policy is so out of sync with economic realities. Extremely poor from Emefiele & PMB.

yaki84:






so u mean d 500billion budgetted for school feeding is part of development?
is it not few people that will benefit from the contract?
why not empower the families of these kids to feed their cchildren and also puttng money in their pocket....
hw much is budgetted for agriculture n solid minerals? compare to the budget of frivolities in aso rock n ministry of misinformation.
abeg the expansionary budget is delusional n it will only benefit the elites nothing more.

Bevista:
I would beg to disagree that the expansionary budget is "wrongly praised". It is exactly what is needed to invest in infrastructure and other parts of the economy with a view to diversifying government revenue. How else do you want government to plan for future revenue in the face of falling oil prices.
---
But, yes, the administration FX Policy is so out of sync with economic realities. Extremely poor from Emefiele & PMB.

Realist2:
What is happening to Nigeria today has Spiritual undertones - John Oyegun.
Believe me today !, BUHARI has a spirit of Poverty,In 1984 Wen Buhari took over, the country was grounded, projects being executed were abandoned, POVERTY Spread to every segment of Nigeria.
Today Buhari as the head is spreading Poverty to every segment of Nigeria, projects are being abandoned, He sees everything as a waste of resources,except his junketing around the globe.
Buhari left Army in 1984/1985 and He became a full Time ( not a part time one) FARMER till 2015, yet he could not be proud of producing over 80 cows, '' his words i took a Loan for my Nomination form'', what a failure !, unlike the the OTTA BABA, who is now exporting billions worth from his farm.

Now Buhari is Spreading his Poverty spirit to all segment of Nigeria again, Nothing in the Country is moving.

Realist2:
What is happening to Nigeria today has Spiritual undertones - John Oyegun.
Believe me today !, BUHARI has a spirit of Poverty,In 1984 Wen Buhari took over, the country was grounded, projects being executed were abandoned, POVERTY Spread to every segment of Nigeria.
Today Buhari as the head is spreading Poverty to every segment of Nigeria, projects are being abandoned, He sees everything as a waste of resources,except his junketing around the globe.
Buhari left Army in 1984/1985 and He became a full Time ( not a part time one) FARMER till 2015, yet he could not be proud of producing over 80 cows, '' his words i took a Loan for my Nomination form'', what a failure !, unlike the the OTTA BABA, who is now exporting billions worth from his farm.

Now Buhari is Spreading his Poverty spirit to all segment of Nigeria again, Nothing in the Country is moving.

Chitumu:
u copied and pasted the last paragraph from a random comment from the original NL topic. Ineffectual buffon defender u no try all cuz i got you busted

yaki84:
So u mean d 500billion budgetted for school feeding is part of development?
is it not few people that will benefit from the contract?
why not empower the families of these kids to feed their cchildren and also puttng money in their pocket....
hw much is budgetted for agriculture n solid minerals? compare to the budget of frivolities in aso rock n ministry of misinformation.
abeg the expansionary budget is delusional n it will only benefit the elites nothing more.

babafirst:
SAME ARTICLE BUT DIFFERENT PERSPECTIVES but why you no reframe or remix the place where dem call GEJ INEFFECTUAL BABOON,sorry BUFFOON nau?Na dat one be the koko of the mata ,the knockout punch.If you remix ASHEWO by Flavour and you no change the catchword ASHEWO to OLOSHO or something else you never change any perspective......the ex presido is/was an ineffectual buffoon......PERIOD!!!Thanks for 'merixing/remixing' the article but you have only succeeded in spreading the word BUFFOON, ineffectual one for that matter!!And I was almost forgetting the words before this reminder ohhhhh.

Bevista:
So you would rather have the government reduce the bogus budget to N4tn so as to benefit the masses instead of the elites?

NavierStokes:


http://www.economist.com/news/middle-east-and-africa/21689584-cheap-oil-causing-currency-crisis-nigeria-banning-imports-no

Mods, I hope you will do justice to this as well, will be interesting to see this and the other thread calling Jonathan a "buffoon" go head to head,
Same article but different perspectives

jaybee:


But i thought you wailers said Lai Mohammed wrote the lies and paid the economist to publish it?

chubhiee:

Hope Gbawe is seeing this.

AreaFada2:


For wia?

Those APC dudes are prone to selective visual impairment and amnesia.

orisa37:
The topic does not relate to the message. And the message is selfish and a fabrication .