Caleb15:

Thanks for reminding me there is plastic inside the rice

That plastic inside rice sounds ignorant. Plastic in rice will make it far more expensive, not cheaper.

blackboy:
I doubt OP is Chinese as he or she says.

The points also raised could be valid but in summary I think it is more to do with the economic situation because the stopping of Nigerians starter in January not from the inception.

It really makes no sense to chase away customers.

The largest American retailer, Walmart, recorded they imported $19billion worth of goods from China in a certain year.

Meanwhile, the Chinese companies recorded $30bn. Why the difference of $11bn?

The Chinese companies used that to launder $11bn.

Kukutenla:

Export boom or smuggling. The smuggling has always existed. It just changed course in relation with who was holding the shorter end of the stick in terms of currency value and some people picked it up as "exports".
Are you aware Nigeria's export has exceeded imports since 2022 according to NBS?
You didn't attempt any of the posers just jumped to China. China did not remove subsidies to attract investment. As a matter of fact, China even increased subsidies.
There's no nexus between removal of subsidies and investment. It's just propaganda to make subsidy removal look like a solution whereas it's a problem. One of Nigeria economic fundamentals is subsidy. You may not like that but that's what it is and that's what events have shown.
While we were at how subsidy prevents investment, Dangote refinery was birthed and completed in the midst of subsidy. Same with like 5 modular refineries. Thus, there's no fact to back up the claim that subsidy removal drives investment.

Export or smuggling?

It doe not have to be officially recorded before its termed Export.

Now, the issue about subsidy removal.

The 5 modular refineries produce diesel. None produce petrol.

Dangote could afford to build his refinery because he could collateralize his highly profitable cement business.

Nevertheless, he has only focused on diesel and kerosene for now, despite the fact that the largest demanded refined oil is petrol. Why? He even fought that the PIB removed the subsidy. It's a business killer

Price deregulation is always the best. Let investors choose their prices. I can assure you that had fuel prices in Nigeria had been deregulated since the 1990s, Nigeria would be refining at least 2m bpd. With a deregulated price, what happened to the GSM sector would repeat itself in the oil refining sector.

The upstream sector of the Nigerian oil sector is well developed but the laggard has always been the downstream end.

When you talk of subsidies, if a country can afford, all well and good but not Nigeria where in 2022, debt servicing was over 100% of government revenue. So, where is the money to spend on subsidies? It will have to be borrowed. A lot of the present FG debt is due to petrol subsidies.

I don't understand why you mentioned China. Chinese refineries if I'm correct are largely or all state-owned. Secondly, Chinese government accounts are largely opaque. It's economy is also heavily in debt and it's long term decline has begun.

There's also a difference between consumer subsidies and investment subsidies. Government may decide to provide subsidized power to an industrial estate. The economic activity from that estate would more than make up for the subsidy.

Consumer subsidies are generally disliked by economists because they encourage over consumption and at the same time discourage private investors. Most economies that have these consumer subsidies usually have high budget deficits and impeded growth. In addition, their currencies usually suffer from turbulence every few years and face heavy devaluations. A good example is Egypt. Many non-oil rich like Jordan, Algeria should be among the list.

Costly fuel subsidies are negatively affecting the Iranian economy.

Saudi Arabia which also has lots of subsidies only maintains them so its people don't revolt as indulging citizens in the Gulf rich Arab states is the only way they can have legitimacy. It has serious problems balancing its books.

Consumer subsidies are very expensive to implement. There are better ways to help the poor such as Conditional Cash Transfer to impoverished mothers. These have had fantastic results in Brazil and Mexico. They are also much cheaper to fund. Another is low import duty on food.

This year, the government may spend about 6tr on the petrol subsidy despite denials it has gone.

If instead 10k was given to 10m househoulds, that would be 100bn a month. Multiply by 12 months and that's 1.2 tr. This is barely 20% of 6 tr.

His magazine ,Newswatch seemed to lose its fieriness after the murder of Dele Giwa, a co-founder.

Please move to front page. It can help others.

In many third world prisons, ypu can live like a king if you have money

Cineinfo:
Where is Ngozi?

She is under the bus

saveman91:
During those days garri was sold like this when goodluck Was our president

I bought a Kongo of Gari for N2.80 in 1988 in U.I

My friend's son got 8 A1 in his WAEC and 1,520 over 1,600 in his SAT exams.

He has already gotten a half scholarship to a US university. The balance of the other half is giving his dad nightmares

His dad wants a full scholarship.

Please, if you're versatile on this issue (I am an ignoramus here), please provide advice on how to get scholarships etc

DMerciful:
How did Buhari who was hitherto seen as a man of integrity ran a government of kleptocats?

Obstinate self-righteous ignoramus with a Messiahanic complex.

You're doing the totally wrong thing, yet, you won't take correction.

It's a recipe for disaster any day.

Klington:


Let's wait patiently for APC voluntary slaves to arrive fess.

Those charlatans and nonentities are hell-bent on forcing mediocres and dullards that keep taking this country backwards on us.

What many of you fail to understand is that to repair an economy like Nigeria after the way Buhari left it would require about 2 years to adjust before the economy starts growing fast again.

The primary reason ehy the economy collapsed under Buhari was his obsession of fixing the exchange rate at a price that did not reflect its market value. He foolishly thought wicked economists and Central banks fix exchange rates. He wondered why they would devalue a currency so that people would suffer. It is actually market forces.

The senseless fixing lead not only to artificial scarcity of forex but also to roundtripping where a privilege class bought forex at the unrealistic official exchange rate of let's say 440 and sell at the parallel rate of 630. The gap between these two markets was a huge source of corruption and many bankers such as a recently deceased one, made fortunes from it.

The floating of the Naira has destroyed that gap. Now, the parallel market rate is even lower than the official rate.

Tinubus determination to end this economic abomination was what lead to the floating of the Naira. This has finally lead to

okosodo:
Na fij talk am.
Tinubu awarded a contract of 15 thrillion naira to himself for a road that Julius Berger will do for less than 2 thrillion in a country that is producing less than 3500Mw of electricity. With this singular act, tinubu has made more money than abacha and babangida combined. Some deluded fellows are still expecting even the faintest positive news from this country that a conman and his fellows are massively looting from without recourse common sense. I
I greet una

The project cost is 2.8tr.

Where do you guys keep finding thos ludicrous 15tr?

Racoon:
Sadly in 2015, the leadership of the country was taken over by a character that was not only clueless about the economy, he also had no interest in fixing it and as a result of this the economy of the country plummeted for eight straight years under his rudderless leadership.

The country had another opportunity in 2023 when a new leader was elected. Sadly hopes were dashed when another questionable character was imposed on the country under very dubious circumstances as president. The notorious "nah statistics we go chop" CSU certificate forger.

The resultant effect is that the country's economy has continued to plummet as a result of the mismanagement of the country's resources and the rudderless economic policies of the administration. From top to bottom. Fear APC!

The truth is that the economy is on the mend. The policies Tinubu has implemented such as subsidy removal were the very same things Peter Obi said he would do.

Peter Obi should thank his stars he isn't in office as the opposition would have frustrated his arse. Nigeria needs very painful reforms at this stage such as the full deregulation of the price of petrol and electricity and not the half measures currently in place.

Frankly speaking, I feel Atiku would have done a better job on the economic front than Tinubu.

These are future runs wives. Argue at your peril

What a coward!

He is afraid of being arrested, let him go with a lawyer so his rights won't be trampled on.

oglalasioux:


Black South Africans sold their lands North and East of the Orange River to White people. Agreements in papers are still available. Today, after the White people have turned these lands to highly developed areas, the Blacks are asking the Whites to go back to Europe; after nearly 200 years.

Watch as same thing will play out in Zimbabwe. Oh, I forgot. That already happened. Google up the history of Rhodesia under Ian Smith.

Who told you Black South Africans sold the land? It was either seized or were met empty and deserted by the Boers due to black tribes fleeing from Shaka the Zulu armies.

Jlow2:
South Africa with 50m people re generating above 20k megawatts, egypt is 50k mega megawatts, Nigeria is still below 3000 and they re building highway from Lagos to Calabar with 15trillion just loot away the money, Nigeria is just a shame of a country, why not repair the existing road with a fraction of that money, electricity will seriously drive the economy of this nation, many industries, factories small and medium scale enterprises have collapsed due to lack of electricity , the companies and factories still existing run losses because of high cost of diesel and low patronages because of how expensive things have become, it shall never be well with apc band of demons

The power sectors cash is provided largely by the private sector and not the government.

The road will cost 2,8tr and not 15tr.The road will be tolled, so will recoup its cost

This government seems to be focused on expensive populism- cheap petrol and diesel.

To achieve the objective will require a strong Naira accompanied with its foreign reserves depleting capabilities.

There's already resistance in the forex market to the Naira getting stronger than 1,200 thereabout. Even at that rate, the Naira may still be overvalued.

Antoeni:
Who is Winnie Mandela

Indomie generation.

Indomite.

Usmanovic95:
So this dude no bald again?

He looks lean

femicyrus:

People like you are the reason many children go to bed without food in Nigeria.
Deregulate
Privatize
Remove subsidy
Export
Etc.
Which one have they not done?
See how much CBN invested in rice production for export, what is the result?
Privatize NEPA, what is the result?
Remove subsidy for petrol, what is the result?

When are you going to wake up from this wickedness towards the poor masses?

Let's answer one by one.

1. Why do you deregulate prices?

Are you a businessman or a service provided? Which goods or service would you like to provide? One in which gocernment compels you to provide below the price you can cover cost and make a profit or one where you can fix your own prices? I am sure you would choose one where you can fix your prices.

The ability to fix your owns prices is price deregulation.

Why do economists encourage price deregulation?

Let's take a look at GSM Mobile.

When HSM started in 2001, the government allowed the various providers to choose their prices. MTN and Econet (now Airtel) charged 50/minute while MTEL chose 22/minute.

MTN and Econet invested billions of dollars while MTEL disappeared. Deregulated pricing spurred them to invest. New players came in like GLO which introduced per second billing and they too invested billions. Today, there are over 100m lines in operation, from the 400 000 in Year 2000.

The biggest beneficiaries of deregulated pricing have been the poor. Even beggars now use phones.

Deregulated pricing encourages massive investment. Let companies charge their own prices and they will invest massively.

Look at the electricity sector. Government forced them to provide power at subsidized rates. What has been the outcome? Government is owing the Discos N1.3tr while it is owing the Gencos $1.3bn. Gas companies refuse to sell gas to the Gencos because of the debt they owe. What has been the outcome? Darkness.

A hotel is more likely to give you 24hours light because you pay enough to cover the running cost of their generator. It isn't rocket science.

If you are not ready to pay enough to cover their cost, don't expect light. Let them choose their own rates. This will incentive them more to provide you with power and invest in boosting capacity. They would also have enough money to pay the Gencos, and the Gencos would have enough money to pay the gas suppliers.

The poor suffer the most from poor power supply.
The rich and middle class can more readily afford generators than the poor and even service it. They spend less on their income on generators than the poor.

I will answer the rest later

Kukutenla:

How did you arrive at 1300 to 1400 figure?
What are the fundamentals?
You also seem to imply that raising cost of living and doing business will push us closer to an exporting nation. How will that work?
How does business thrive in an environment where purchasing power is abysmal and there's less incentive to save or invest

Did an export boom not commence when the Naira tumbled? Where there not trailer load of foodstuff and other items being exported to neighboring countries?

An investment boom with massive inflows of both foreign direct and portfolio investment would have followed suit which would boost economic output and capacity. It would create lots of jobs and begin to eat away at the legion of the unemployed and underemployed.

Nigeria's growth will mirror that of China. It's growth has large been fuelled by investment and exports, and not consumer spending. .

The truth is that an investment boom will eventually lead to stronger Naira as huge forex inflows boost the value the local currency.

The true value of the Naira sits between 1,300-1,400 based on present fundamentals. Anything stronger will harm the economy. It seems Tinubu is more perturbed about a loss of face over a dwindling Naira than accepting reality.

The nation needs to reinvent it. The dependence on crude oil sales for the bulk of the countryš forex is a scourge and needs to end.

The focus now should be an "export or perish" mantra. The desperate clinging to a strong Naira policy will adversely affect exports growth.

The government's goal should be to triple exports within 10 years, the majority being non-oil.

It can only achieve this by deregulating the price of petrol which will induce massive investment into the downstream sector of the economy which has for long suffered a dearth of investment due to the subsidizing of fuel.

Next, should be the deregulation of electricity prices. Let's Discos charge cost reflective tariffs, so huge investments will flood into power generation and distribution to ensure ample power supply for new factories and businesses popping up.

Next should be the lowering of companies tax to less than 20%. Low corporate taxes have positive transformative economic as they lead to a surge in investments, both foreign and local boosting economic growth to the heavens. It's what many Central European countries in the EU have long implemented and with superb results.

More reforms are needed but this should be a start.

anonimi:


Labouring in vain to defend the indefensible, no matter how stylishly done makes the defender look somehow ( to put it mildly.

You are sure per capita revenue is lower now than in Mobolaji-Johnson and Jakande times but fail to provide details for your assurance while talking about how corrupt Tinubu and his stooges have been since 1999?

How much was oil sold for in the 1960s and the early 1980s?
How much IGR was squeezed from the masses in those periods?
What was the population then versus now?

Laboring in vain to defend the indefensible

You sound like a supporter of Peter Obi who came third but incredulously believes he won the election. That's delusional.

From your stats, jakande did very well. I did not know this much.

Do you think Peter Obi would get anything done with both Houses filled with the opposition? He'll be mincemeat. He'd be forced to dish out pork (corruption) before the senate or house of reps approves things.

I am apolitical. I don't even vote.

What I pointed out in my post was the political realities of our time. Even Peter Obi would be considered unelectable in the UK for not declaring the $15m) he had stashed overseas. Where did he get the haul from sef?

During Jakandes time, the schools he constructed were called "poultry sheds." His take over of many elitist schools led to there eventual demise. However, I still give him top rating in education.

Soludo refused to even endorse Peter Obi. He wasn't impressed by his record in office.

You need to wake up and accept the climes of today. The only way endemic corruption can be fought is when a strong middle say "no more."

anonimi:


What did he do with the debts and increased IGR plus federal allocation to the economy of Lagos compared with Mobolaji Johnson, Jakande and Marwa as well as Awolowo who created the Ikeja industrial complex with several factories

How was the teacher to students ratio in 1999 compared to now? Hectolitres of water change in the last 25 years? Healthcare workers ratio to the population?

First and foremost, I'm sure the money accruing to Mobalaji Johnson and Jakande were higher in real terms or based on per capita bases.

The population of Lagos state was much smaller during those day.

The money accruing to the state today, even if spent very prudently can't achieve the student teacher ratios you speak. In the health, LASUTH beats LUTH any day. It is well run I must admit.

Nevertheless, one can't deny the Jakande and Mobolaji performed quite well.

As for Marwa, he was a magician. With very little money, he focused on where he'd make the most impact such as filling potholes and duallizing Ketu to Ikorodu road.

Present day Lagos could do much more but sadly, endemic corruption is part and parcel of the society..

The form of corruption the country practices is hideous. People see political as primarily the main priority is self enrichment, then other things follow.

This was the legacy of the Babangida regime and which the Abacha junta solicited. The primary goal pf office is to become stupendiously rich. In addition, Babangida also made mediocrity respectable. The populace hails thieving politicians and called them "my brother."

Imagine the senseless pensions Tinubu awarded himself after leaving office as governor? Yet, there was no backlash strong enough to push him to cancel it

Lagos has done fairly well but could have done better if sleaze was much lower. The government has done well in creating institutions that cater to its citizens. Is the church beside you blaring music to heavens? Call LASEMA. There are many like that. In this regard, they beat Jakande and Mobolaji. They are good administrators.

Just look how Tinubu has dealt with money spraying? Laws need teeth.

AqualinaXYZ:
Dangote should refine fuel




99% of poor Nigerians doesn’t patronize diesel




Na fuel be the koko if they wanna help the poor

You're a very intelligent fellow.

The reason why he is slow producing petrol is because it is still subsidized. I'd he sells it at the present, he will make losses

The federal government will buy it from him at the market price and resell it at the subsidized price.

This is just senseless.

Germans say :Vengeance will not go unavenged"

I don't see why there won't be reprisal attacks. Why kill innocent people just to express your anger.

The Fulani bandits who wield very heavy weaponry that even intimidate the police will certainly retaliate one way or the other.

For those who think Northerners don't have problem with Fulani herdsmen, this should open your eyes.

Believeintruth:


And how is this debt sustainable? We know it will be used to defend the naira as usual.

The interestt rate is only 1%, which is $22m a yearly. This is piffling.

ArcSEMPECJ:


Someone came to your company that was better and disclosed to you to employ his friend as your Manager, that he is the best for the job ,and he will do wonders....you agreed....

The same person came and told you after 8 years that the person you employed stole and closed up your company by making over 90% of the revenue the company makes to be used in servicing debts his friend incurred.....

This same person came and told you to now employ him, that he will remedy what his friend did .....inshort that he is now the best for the job and that his friend failed and he can't probe his Government....lols

The same you ,who is the owner of the company accepted him and now nodding at all he is promising you .....

You are asking where will the money to run the government come from abi?

It is still the same way his friend handled your company that he will handle it as well....

Because the friend promised him he will get him into the same position after his own tenures....

This is the reality of this new Government......

The truth will make you know alot and save you so much stress ....

Many of you people fail to understand one thing: APC and Buhari are different.

Tinubu realized he had made a grave mistake in making Buhari president. The deed had already been done

His party were only forced to put up with him because he guaranteed them the presidency for another 4years.

Many in his party called him an illiterate behind his back. Despite his educational disadvantage (He isn't well read), he listens to no one.

Many of the policies Tinubu has implemented today are the opposite of what Buhari's.

A foundation of one of Buhari's economic policies was the pegged exchange rates which which never reflected its true value. This policy alone accounted for 80% of the reason the economy ran aground during those 8 dreadful years.

Tinubus determination to merge exchanges was the complete opposite of Buharis. This has destroyed the days of rountripping which made many billionaires by simply buying at the official rate and reselling at the black market rate for humongous profits.

Tinubu has to undo the damage Buharis government has done and that is putting the economy on the right footing.

DeepSight:


No one is obsessed with you. Get that into your head. You are not some big ass blonde for us to be obsessed with, understand that.

Rather, the subsidy issue is a very sensitive one the handling of which has greatly impoverished millions of Nigerians in record time and killed many more people than you can guess. It is thus natural that people react vigorously to thoughtless and shallow comments on the matter.

In like manner, several policies of the FG have been painfully anti people. Such as the naira confiscation of last year and the ill advised floating of the naira.

I don't just want the petrol subsidy gone, but the price of petrol completely deregulated as already done with diesel and kerosene.

The subsidy is doing lots of damage to the economy. One of the main components of the huge debt burden the country carries today is due to the fuel subsidy.

It will cost about 7 trillion to provide subsidy this year alone. When you realize the budget is only 28 trillion, you realize it's a lot of money. Government would have to borrow this money or underfunded other sectors of the economy. The fuel subsidy is the number one reason why the Naira is always under pressure.

The fuel subsidy is keeping Nigerians poor.and impoverished. Many don't realize it. The fuel subsidy causes the Naira to weaken impoveridhing everyone.

When government borrows to pay the subsidy, it crowds out or prevents private companies from borrowing. Banks prefer to lend to the government as they know the government won't default on its debt unlike a private enterprise.

Because the government keeps borrowing, the debt mountain keeps rising and cost of servicing the debt keeps rising. Last yearly,it was estimated that government was spending over 90% of government revenue on debt servicing. That means there very little money for anything else. That means the government will be forced to borrow practically everything to run the government.

That was why Tinubu had to "end the subsidy." Unfortunaty, the subsidy crept back due to the devaluation of the Naira and also the rise in cride oil prices. Government should have completely deregulated the orice.

With the price of petrol deregulated, that will simply lead to a reduction in the budget deficit, therefore reducing the need for government to borrow money.

Most importantly, with the price of petrol deregulated, it, it will lead to massive investment in refining capacity.

Nobody wants to build refineries for a product sold below the market price.

Nigeria has about 3 small privately owned refineries. All produce only diesel. They have shied away from refining petrol because government controls the price. Dangote has so far only refined diesel and kerosene despite the fact that demand for petrol is the highest amongst the 3.

If the government had deregulated the price of petrol long ago, I won't be surprised if Nigeria would be refining over 2million barrels a day of crude oil by now.