francizy:




No oh! Shebi according to y'all, the "all-knowing" Buhari is on the right track, restricting forex for businesses? They shouldn't have eased up a bit na, they should have continued so that all the companies in Nigeria collapses. Mstewwwww!

Seems like Emefiele read thru my thread or don't you think so my lovely love?...

rudebouy:


Well in a way ur right. But dis is not so good news to me. Becos it reveals dat Nigeria is really not producing anything in dis country. We do not only assemble cars, we also assemble other products in Nigeria. When u have to import raw materials for your products, then ur more into assembling of ur products than full scale production.

Thank God for slump in oil price oh. It just showed how reckless we are as a country. Damn!

kelvinovie:
This country Nigeria is always giving out jokes. The damage this policy has caused can be felt already. Why government will make policy to kill the economy, I can't comprehend.

modath:


Abegi, which thread? restricting Forex for which businesses? So they were supposed to give blood when oil was trading at 27$ You are unaware that oil price has improved &CBN is in a better position to allocate more forex to manufacturers ONLY? with plans to do more when price improves further!

Talking of diversification when there isn't enough fund presently to improve lives of everyday people, let alone set aside! How is it possible to have left overs when there is barely enough to eat to stave off starvation?

You people just stay in one corner disturbing public peace because hero IB failed, electoral loss is not the end of life, people can still live beautiful & purposeful lives despite that!!

BTW, those 41 banned items still remains so & will still have to go to the BM!

modath:





This is great news but some that have plucked out their eyes so they won't see nothing "good" till 2023 will still find holes to pick in this .

Anyway, make dem wail on, Ko Kan Aiye..

jadakiss213:
Must u politicise everything These are serious issues that need to be addressed Squarely..Was the CBN supposed to wait for this long to do this considering its importance to the economy.Even at this,if these manufacturing companies cut down production by half,you know a large chunk of their workforce would be laid off,don't you? Sometimes,we need to take a break from all these wailers ds,Zombie ds crap and face reality.

Ramanto:
Some Of The Manufacturers Are Bound To Abuse The Gesture. Instead Of Using The Forex For The Primary Purpose Of Its Disbursment, They Will Start Round Tripping (selling In The Black Market).. At The End The Closure Of These Manufacturing Companies May Be Inevitable.

Second, For How Long Will The CBN Continue This Gesture? It's Obvious It Can't Survive The Test Of Time, Why Not Look For An Enduring Solution To This?

God Bless Nigeria And Guide Our Policy Makers

Quakertellicus1:


CBN is in a serious dilemma.

Keep in mind that this is not the year 2012...when oil was $112 , but this is the year 2016...when oil is $35.

That means that there isn't enough forex to import raw materials needed to keep the industries going. At the same time, CBN needs to hoard forex to make sure that the naira does not depreciate too fast.

The CBN cannot just afford to let dollars flow. That would be disastrous.At the same time....industries do need dollars for raw materials....and suppliers prefer to be paid in dollars. And no raw materials= job losses.

Ultimately....industries in this country have to develop their indigenous sources of raw materials....or manufacture heavily for the world market...making forex in large amounts to keep up profits, and import heavily.

Honestly, Nigerian companies are lazy. So long as the oil boom was there...they really did not need to bother about local content much. I hope the current crisis makes them sit up....and start looking inward.

Quakertellicus1:


The government isn't confused. It has the problem of deciding whether to let the dollars flow....and the naira depreciates too fast to a point where $1=N1000000...making it difficult for industries to operate thanks to inflation and so on...... OR it keeps an handle on the dollar flow and the naira remains stable....while industries close for lack of raw materials.

(If you were President,you won't be sleeping well thinking about it.)

The only way out is more forex.....which can be achieved by Nigerian companies becoming more productive....based on APC fixing the lights....and by using agric....as a short term means of gaining more forex (although agric too suffers from the same issues as oil...good harvests everywhere=price drops)

Quakertellicus1:


CBN is in a serious dilemma.

Keep in mind that this is not the year 2012...when oil was $112 , but this is the year 2016...when oil is $35.

That means that there isn't enough forex to import raw materials needed to keep the industries going. At the same time, CBN needs to hoard forex to make sure that the naira does not depreciate too fast.

The CBN cannot just afford to let dollars flow. That would be disastrous.At the same time....industries do need dollars for raw materials....and suppliers prefer to be paid in dollars. And no raw materials= job losses.

Ultimately....industries in this country have to develop their indigenous sources of raw materials....or manufacture heavily for the world market...making forex in large amounts to keep up profits, and import heavily.

Honestly, Nigerian companies are lazy. So long as the oil boom was there...they really did not need to bother about local content much. I hope the current crisis makes them sit up....and start looking inward.

christinie:
These issues were never there in the first place prior to May, 29th, 2015.

Buhari is like an evil witchdoctor who casts spells on innocent communities and is later consulted by the same people to 'cure' them and he does so half-way and ends up receiving money and glory/praises from the same people.

He is really dragging Nigeria backward with his unpopular policies and whenever he manages to soft-pedal on any of the killing policies and things look better a little bit some gullible people, especially his paid agents begin to praise him as if he performed magic.

Am glad he's on his way to China. Let him go there and see how the Chinese Government supports manufacturers. In China, if as a manufacturer you are not able to sell what you manufactured after a reasonably time, the Government buys the product from you. The Chinese Government does not joke with manufacturers.

Buhari needs leadership training, honestly.

NB: don't quote me if you are a local champion. You cannot stay in your village to know what happens globally and trust me reading things up is never enough.

You say these issues by which I take you mean insufficient FX were not there in the last administration and you are right. But ask yourself four honest questions and then step back and think for a minute.

1. What was the average price of Nigerian crude oil in the last administration?
2. What was the month to month draw down by the the last administration on Nigeria's FX reserves?
3. How much by conservative estimates was FX drawn down to fight the last election and how much was paid out in arms and other contracts that were never executed?
4. What happened to the Excess crude account?

Intellectual honesty is important if we as a people and nation are to make progress in life.

Emekamex:
CBN is confused, one day they make a policy, the next day they reverse it. Even a blind person can see why foreign investors are staying away from Nigeria.

modath:


This is great news but some that have plucked out their eyes so they won't see nothing "good" till 2023 will still find holes to pick in this .

Anyway, make dem wail on, Ko Kan Aiye..

PUSH1:
Some people won't understand. They all think it's buhari. They want to live in abundance when there is no money. Yet they want improved social amenities.

Maybe PMB should borrow those money and give them to import goods for us.

modath:
This is great news but some that have plucked out their eyes so they won't see nothing "good" till 2023 will still find holes to pick in this .

Anyway, make dem wail on, Ko Kan Aiye..

I met with MAN members and conveyed the message that their requests are being attended to and they are happy that although that is not exactly what they want but that they are happy that something is happening. I am very happy about where we are today and we hope the CBN will sustain this.

modath:


Good news, not in the realm of joy unlimited but in the sigh of relief "hunger nor go kill people" finish mind set!!

Cars ko, Airbus A380 ni!! We can't even produce toothpicks & pencils!

rudebouy:
Yeah I get. Totally agree. At least hunger no go kill pesin.

We cant produce those things in Nigeria simply becos economic we are economic slaves. The world has moved from human slave trade to economic slave trade. Dats why America has the guts to ask us to devalue the naira cos they know we are economic slaves and we are not even willing to free ourselves.

francizy:
I can see people living beautiful and purposeful lives on their car hoods at petrol stations and in darkness... Hahahahahahah

There's no forex, there's no forex, but the likes of Shehu Garba and Aisha Buhari have forex to sell to black markets kwo? Muhahahahaha! Tell me another joke!

On the diversification stuff, you claim there are no funds but yet several billions were budgeted for irrelevancies? Buhahahahahaha! You'd make a great comedian dearie!

Firefire:

‘A budget that moves domestic spending in Aso Villa from N580m to N1.7bn cannot be a budget of change’

Abuja – Sen. Eyinnaya Abaribe (PDP Abia South) on Wednesday in Abuja, berated the 2016 budget and called on President Muhammaduu Buhari to withdraw it and go back to the drawing board.

Abaribe while making contributions during the consideration of the budget, said the proposal was faulty on many grounds and could not be implemented at it was.

He said that predication of oil benchmark at 38 dollars per barrel when the crude oil price had fallen below 30 dollars per barrel made the budget unrealistic.

Abaribe faulted the government for increasing spending by 30 per cent based on borrowing.

“Mr President, my colleagues, this budget is indeed unique. After the budget presentation, the finance minister has never come to explain the details of the budget as it is normally done.

“It is a budget of change I agree, but it is a change in the wrong direction. I say it is a change in the wrong direction because it says that it is based on zero budgeting requiring all expenses to be fully justified.

“Mr President, a budget that increases spending up to 30 per cent based solely on borrowing, in what way are we justified? That is the question we want to ask the people who brought this budget.

“We know what is going on in the global economy: this budget is predicated on an oil benchmark of 38 dollars per barrel and I can now say that with oil being 28 dollars today, this budget is dead on arrival.

“The job of the opposition is to help the government to get its priorities right, so I want to please urge this government to withdraw this budget and go back to the drawing board,” he said.

The senator also faulted the adjustments made in the budget as well as allocation for spending in the Aso Rock Villa, saying that it was too exorbitant.

He said that the adjustments rather than reduce spending in areas where they were not necessary only spread it into different offices.

“Mr President, a budget that moves domestic spending within Aso Villa from N580 million to N1.7 billion cannot be a budget of change.

“We were told that in the revised budget there was an adjustment due to error, we agree but what has happened is that up to N7 billion were moved from buying vehicles and spread to offices.

“It also increased the spending that is due to renovations within the Villa.

“They are going to renovate the Villa with N3.9 billion: what else do you want to renovate there that Nigerians will see in the Year 2016?” he asked.

However, in his contribution, Sen. Ahmed Lawan (APC Yobe North) blamed the previous administration for the lack of funds due to the embezzlement witnessed in previous governments.

He said that this was the 17th budget he would be debating as a legislator and noted that not more than 40 per cent implementation was achieved in the last 16 years.

“The proposal before us is the first budget where the executive has deemed it necessary to give ordinary Nigerians genuine hope.

“N500 billion allocated for school feeding and social SAFTEY NET is commendable.

“It is time to say oil should not continue to play dominant role as we have suffered economically and politically: it is time to diversify this economy.

“The direction of the executive is the way to go. `That is, we should make every effort to have the real sector-agric mining and manufacturing.

“The budget deserves the support of everyone, including my colleagues on the other side. When we were in the opposition we supported the PDP, they should support us,” he said.


www.nairaland.com/attachments/3317046_budgettt_jpegd73bb73944448e30966f27bc22a4c756


http://www.vanguardngr.com/2016/01/602809/

christinie:
In 2008 the price of crude oil fell to $38, $2 less than it's current price but none of us noticed that because we had a good leader at the helms of affairs of the country.

Buhari lacks leadership ability.

Quakertellicus1:


Good...so what policy do you think would make $1=N1?

(Considering that Buhari said he would make the naira at par with the dollar....which isn't the same thing as N1-$1).

For me....increased manufacturing .....which can start after a period where we improve power and transport....while cutting spending elsewhere....is the way forward.

anonimi:


Why do you say we are not willing to free ourselves?
What do you think it will take for us to free ourselves?
Why is that missing and impossible with us
Cheers.