Seun:
"Lend us a lot of dollars", said Nigeria, "so we can squander it on wasteful subsidies"
"Sure, but first you must sign this agreement to hold our currency", said China.
"No problem", said Nigeria. "We'll say it's part of our brilliant Economic plan"

Ucheosefoh:
I stopped reading half way but my question is, does it mean that the online mini importers will now import with yuan instead of dollar from sites like Alibaba and co. I need answer

Saintp:


Are you sure you are not making assumptions here? Why are you so sure the Chinese will build factories here when it will be cheaper to produce in thier country and create jobs for her citizens?

Saintp:


Are you sure you are not making assumptions here? Why are you so sure the Chinese will build factories here when it will be cheaper to produce in thier country and create jobs for her citizens?

Seun:
"Lend us a lot of dollars", said Nigeria, "so we can squander it on wasteful subsidies"
"Sure, but first you must sign this agreement to hold our currency", said China.
"No problem", said Nigeria. "We'll say it's part of our brilliant Economic plan"

zheroes:
Everyone turning economists!!!! There is nothing you will do that people will not complain. The issues on ground as far as I can see is very enormous, it can't be solved in 3- 4years so what the government is trying to do is simple: while economic diversification and increased exports remain the permanent solution, all of that won't happen overnight. So the best thing to do in the interim is look for measures to ease pressure on the foreign exchange asleast in the interim(currency swap) while we hope that oil prices appreciates and then diversify to other areas.

989900:
We had this discussion earlier, and I posted the below some days back:



OTOH, the whole China deal (total package) with the little we know from it so far will do the below (I posted this on another link earlier):



Then you need to factor-in the Chinese inputs in power plants, railways, refineries, roads, and other infrastructure that will generally overhaul and re-ginger our economy as a whole -- tilt us on the path to a trillion dollar economy!

murmee:
I want to believe that the Nigerian Government would have made the building of factories part of the agreements. What remains is to ensure that the agreements are implemented!

Seun:
"Lend us a lot of dollars", said Nigeria, "so we can squander it on wasteful subsidies"
"Sure, but first you must sign this agreement to hold our currency", said China.
"No problem", said Nigeria. "We'll say it's part of our brilliant Economic plan"

989900:


LoL . . . you just don't get it, do you?

Flets:
The China deal will even widen the parallel market gap.

So I can buy 500K yuan through CBN for 15Milliona naira at 30 naira per yuan, then I convert my 500K Yuan to 77,360 dollars in Chinese FX market. Then I return to Nigeria to sell my 77,360 dollars at 315 naira per dollar and that gives me 24.4Million Naira.

Guess what, I just made 9.4Million naira profit on my 15million naira just from round tripping. The Yuan arrangement is crap for the economy but good for smart businessmen

Seun:
"Lend us a lot of dollars", said Nigeria, "so we can squander it on wasteful subsidies"
"Sure, but first you must sign this agreement to hold our currency", said China.
"No problem", said Nigeria. "We'll say it's part of our brilliant Economic plan"

Dudeweedlmao:


How i wish the saudis and the iranians will just stop fighting and lock that tap for oil price to go up a little
And then will have enough reserve for currency swap

Buhari still has alot of travelling to do.

Reference:


And when eventually you drop the Yuan won't the Chinese 'go after you'.

Why not develop your own country so that it is us doing the bullying rather than jumping from bed to bed and it starts by being responsible both in words and deeds. This seeking of the easy way out, 'swapping' instead of working is not helping. Whether Yuan or Dollar, if you are not exporting you are done. I even prefer the dollar because there are many things the West at large won't sell to us, whereas China is the source of the toothpicks, rubber slippers and knockdown biscuits. Making trade easier with China is another nail in our coffin. We hate the truth that's why we hate the IMF, but let me see how we will take loans from China and shut their cheap knock-offs from flooding our markets. Our industries cannot price compete with the west, is it the Chinese industrial King Kongs we will overcome?

Seun:
"Lend us a lot of dollars", said Nigeria, "so we can squander it on wasteful subsidies"
"Sure, but first you must sign this agreement to hold our currency", said China.
"No problem", said Nigeria. "We'll say it's part of our brilliant Economic plan"