IMF = International Mother Fuckas

helinues:


You should have used your father instead cos my father is not reckless..

The meaning of IMF is International Monetary Funds.. This is not a personal business.. They have rights to questions and monitors what the governments are taking the loan for... Perhaps, they only care about the interest not the fairness of the country.

Nonsense and Ingredients.. The funniest part of the IMF frauds, The legitimate countries that have good intentions wont get IMF loans

so you agree you have a reckless Government right? Instead of holding your government accountable you are blaming IMF

helinues:
IMF should STFU.

Their pressures on Ecuadorian government has turned Ecuador to a mini war country due to Austerity measures introduced by their government.

Anywhere IMF dey, na there wahala dey dey

If you don't like the IMF, don't go and meet them. It isn't by force.

Can you imagine a proud son-in-law going to meet his father in law for a bailout? The shit must have really hit the fan. That is the problem and not the IMF.

You're dead broke and have no choice but to crawl and meet the IMF. You think cutting down the spending of a broke person to make sure he lives within his means is easy? What do you expect from the IMF for Pete sake?

Ecuador's problem basically stems from their adoption of the dollar as their currency. The dollar presently is overvalued making Ecuador's exports noncompetitive. It may need to create a new currency

PoliticalWitch:


In fairness to the IMF, their advice to Ecuador is sensible.

Oil prices are low, Ecuador isn't earning enough cash. And they are finding it hard to sustain their fuel subsides.

So, IMF advising them to cut subsides, and also to embrace austeirty...is good advice.

The alternative....Ecuador takes more loans (even worse idea!) to pay for all those wlefare programmes.

These people you are advising know nothing.

A critic is someone who knows the price of everything but the value of nothing(Oscar Wilde) That's what these armchair economists know

helinues:


Where were IMF when the Ecuadorian governments have been diverting the loans taking.. No be I didn't care dem do?

First and foremost, are you sure there was diversion of loans?

Secondly, even if there was, the IMF does not onvolve itself in issues like that.

Thirdly, the diversions or non diversions of loans did not create the problem in Ecuador. The collapse of the oil price and the fact that the country's currency is the dollar. That makes things very hard for them.

This is why the use of the dollar is a problem

Let's take a look at Nigeria, an oil producing country when oil price collapsed. In 2010, a minimum wage of 18,000 was approved which was about $120 then. By 2018, the Naira had crashed to 360 making the minimum wage now really worth $50. The use of a local currency can disguise a lot of change. Oil price was $100 in 2010 but $60 by 2018.

Even now that the minimum wage has been increased to 30,000, it is only about $90 which isn't up to the the 2010 figure

Let us look at Ecuador. Imagine if the minimum was $200 per month in 2010 when oil prices were around $100. By 2018, the oil price averaged $60.
That means Ecuador has to cut spending. Since it uses the dollar, it can not cut spending through as devaluation like Nigeria. It simply has to reduce salaries from $200 to $150 and this will cause a lot of anger.

PoliticalWitch:


Well, subsides are OK....so long as you have the cash to maintain them. And here is the thing....Nigeria isn't earning enough cash from oil (our breakeven price...the price of oil at which we can earn enough once production costs are paid off...is $140. Oil today is $58-60.)

Subsides also stifle investment. Like now, here in Nigeria, no one is going to come and invest in our power and petroleum sector because subsides won't let them make a profit (By contrast, Obasanjo's refusal to introduce subsides in the telecoms sector is one reason why GSM is flurishing today, and why we have a GSM and internet network that was built without a drop of government money).

Then subsides take away money that could be used for things like health and educaiton...which benefit the poor much more.

Finally, subsides are prone to corruption. Subsides don't let people make a profit...which is why petroleum makrteters SMUGGLE FUEL to Benin and other countries....where they can earn a whole lot of profit.

In my opinion, let's remove subsides, spend the money on educaiton, health and transport....and watch as we have more investment, more refineries, and competiton induced reduction in fuel prices. Just like IN the GSM sector.

And the government and people of Nigeria can survive N300 - N400 per litre? Sure? Abi you are just talking nonsense?

MusaChukwudi:


And the government and people of Nigeria can survive N300 - N400 per litre? Sure? Abi you are just talking nonsense?

Well, we can then just pretend we have the money to sustain subsidy, while we keep on taking loans then, and while our schools and hospitals remain underfunded.

Sorry, but oil has to rise to $140 per barrel, before we can then have enough cash to spend on subsides.

Good afternoon.

PoliticalWitch:


Well, we can then just pretend we have the money to sustain subsidy, while we keep on taking loans then, and while our schools and hospitals remain underfunded.

Sorry, but oil has to rise to $140 per barrel, before we can then have enough cash to spend on subsides.

Good afternoon.

You will be able to cut subsidy only after 200m have managed to figure out how to produce the food they eat as in rice. The realistic option of removing subsidy just doesn't exist, the shock will definitely lead to military rule. The government cannot afford the political fall out.

Buhari's govt pattern has been clear from day one. It revolves around favouring his brethren. He knows it can only favour them.

Buhari's govt pattern has been clear from day one. It revolves around favouring his brethren. He knows it can only favour them.

Journalism sha in this country is finished! 43 items!