mployer:
Emiefele is a confused man. I am patiently waiting for his sack


What difference does it make to close branches when the head office is still operational?

it does, because if each of their branches are closed, it will help for easy check of their activities.

xandy84:
The CBN is trying all possible means to regulate a free market which in completely impossible. It's either we operate a free market or closed economy. Regulating a free market is like stopping the flowing of an ocean, it will always find another route. CBN can determine the exchange rate of Naira to Dollar in inter-bank and not in street trading. Over regulating the exchange rates will only send wrong signal to foreign investors that Nigeria is far from free market economy.

Emefiele needs to see this.... Damn too right

xandy84:
You are wrong. Every countries in the world has a street trading with little or no regulation from the government. What the CBN should do is make Dollars accessible to genuine buyers and discourage people from patronizing the black market. Fixing a limit on how much i dollars i can spend daily is an encouragement for people to patronize black market.

Of course there is enough fx for genuine buyers, LCs, travellers, etc, but for that one you want to spend by the corner, no way. Have you heard of round tripping?

This policy will be fought by northerners who are the major operators of BDCs. These are all Pmb gimmicks to sack Emefiele

The pounds just added another 2 naira now to 358/£1.

Is because of this new development?

GeneralShepherd:
In civilised countries currency hawking is a serious money laundering offence.

In Australia post offices, banks and registered vendors are the ones responsible for forex. Same as UK

It's only.in Nigeria that a Northerner will change £5000 pounds for an individual without any documentation

We are more civilized than all those nations you mentioned,

People that don't know jack about how things are done else where will come here and wail.

Capital control is a big pointer to a sick economy. It has never worked anywhere, instead investors are scared away. Why not close the parallel market? In my opinion, as long as there is a dichotomy between the official window and parallel markets, the naira will remain vulnerable to speculative attacks.

The rate at which prices of goods will rise will be unimaginable. Importer don't ve access to dollar either at black market or banks. It is well I just hope he reviews it.

The parallel market rates is honestly worsening the economy more and more. Why would the BDCs have more power than the apex/inter-banks in the control of our national currency. I feel very sad when I tried to convert all my naira net-worth to dollar and see what is left.

doncaster:
The pounds just added another 2 naira now to 358/£1.
Is because of this new development?

Oh Christ! I'm now going to officially hide my Nigerian debit card, my bank account can't take it anymore - I no be 419 politician, my papa & mama no steal any oyal money.

This is beautiful.
This is what they should have done a long time ago.
This would actually help in stabilizing the freefall of the naira.
Now they are serious,

This is suicide economics. It will lead to a black market of imported dollar from neighboring countries. High cost of spare parts. Those benefiting will make double profit by tagging the cost of their business on black market rates leading to hyper inflation like Zimbabwe. With 20k, u won't be able buy a car tyre.. Then you will have to park ur car. Traveling abroad opening tuition will be made almost impossible with business tour allowance tagged at 4k per a quarter making Nigeria another Cuba or north Korea.
Those that voted buhari ehh....
Time will come the maximum u can withdraw from your account in Nigeria is 10k per day. They are experimenting it abroad. Nigerians can only transact a maximum of 50k naira worth of business per day with their local atm.
Wahala dey... Loss of jobs looming

Engineer123:
I'm sure that before CBN takes the decision, the advantage over weigh the disadvantage. They wouldn't take decision that will affect the economy.

Because all the previous ones worked?

mployer:
Emiefele is a confused man. I am patiently waiting for his sack


What difference does it make to close branches when the head office is still operational?

Seriously we need SOLUDO Solution.

Pavore9:
Emefiele...one week, one policy!

The CBN also banned BDCs from business relationship with street traders in foreign currencuies. It stated: “Similarly, it shall be a ground for the revocation of Licence should any street trader in foreign currencies be found to have any business relationship with a Licenced BDC.....How will this work when bank officials themselves do have their own mallams on speed dial to bring foreign currency into the banking hall for their customers who wants to do international transfer!

The can't do the "speed dial" anymore. Even the international transfer was stopped since some months ago. In fact, individuals are no longer enable to make deposit with foreign currency into dorm account.

I'm sure this guy called CBN whatever is really mad this guy is the worst East man to be CBN governor in the history of Nigeria a true bloody clown. A confused anuofia he-goat born in a business gifted tribe but so foolish and so stupig sorry stupid. This man must be sack out rightly his term is horrible the worst naira devaluation since the creation of Nigeria as a country.

I'm so ashame of him I expected a smart brain but a dullard like his president. Today this rule tomorrow that rule naira was damn and rubbish completely in the world market but trying to cover up his failure and use bureau de change as excuse pls is bureau de change a new thing in Nigeria so why crying them Bro biko pls go back village you lack sense and you are a failure.

Bro..u can no longer deposit foreign currency in the bank..only money dat was transfered to your account frm outside nigeria can be sent outside nigeria aswell..

Pavore9:
Emefiele...one week, one policy!

The CBN also banned BDCs from business relationship with street traders in foreign currencuies. It stated: “Similarly, it shall be a ground for the revocation of Licence should any street trader in foreign currencies be found to have any business relationship with a Licenced BDC.....How will this work when bank officials themselves do have their own mallams on speed dial to bring foreign currency into the banking hall for their customers who wants to do international transfer!

Its never the fault of the BDC's. If dollar is readily available in commercial banks at 195/197 who will patronise BDC? So since banks do not have it, the people who have it will sell at their own price. The solution is to make this thing easily available in banks. Talking about rates, Western Union rates are different from Moneygram. Hope you guys are aware? This things work on demand and supply and competition for goods and services.

Olushauneddy:
The parallel market rates is honestly worsening the economy more and more. Why would the BDCs have more power than the apex/inter-banks in the control of our national currency. I feel very sad when I tried to convert all my naira net-worth to dollar and see what is left.

Keneking:
Great

That's your standard reply to any policy of the APC led government.


Some of you have lost the ability to reason things logically, devoid of bias of any kind.

Ever wonder why we tag you guys as zombies? Here's the reason.

Sometimes when I read people's comment on here, all I can say is "God save us all".
It seems all of us comment just to follow a trend. This is actually a good policy and a step in the right direction cos it's only in third world countries that anyone would be carrying/exchanging huge amount of money and no one is asking questions. It's highly imperative we move to level where people ask questions, important questions like for instance, a civil servant whose salary is barely 100k buying luxurious houses, cars etc where him see money do am? Did he make photocopy of his 100k abi how na?
Policies like this would make tracking money easy alongside the BVN idea.
On the Economic implications of this policy, basically, we're trying to choke the demand of Dollar vis-a-vis other foreign currencies. Why should we do this? Elementary economics dictates that the less the supply of a commodity, the higher the price people are willing to pay to acquire such commodity. This means curtailing the supply of Dollar only means an appreciation in the value of Naira. But this is just on paper, in reality we need to follow this up with expansionary policies eg policies that encourages export etcetera
Not many would read but the few that can relate would understand.
My humble submission

Oboy dey said 35 million u quote 35 billion, re u blind,pls take ur drugs

MKO4ever:
A caution deposit of N35billion at near zero interest rate is too punitive for the operators. But I believe the objective of the FG here is to reduce the number of the BDC operators in the market.

ishiamu:


Everyt hing about buhari is confused

shebi na buhari appoint the current CBn gov?

Very crazy guy o!

mployer:

Ever confused CBN.

sunkoye:
dollar go hear wei...

they probably what to monitor the BDCs

with this policy any rouge BDC can easily be spoted.

dollar go here wei only within Nigeria
1: Where do we earn USD$ revenue from - International Trade in Crude at least 90%
2: What are crude sales saying today . NADA.. how much have you sold to earn USD$ revenue
3: This racket is a phenomenon existing within Emefilies mind - Ask Importers what they are suffering to buy USD$ at International Rates.. you think N-$ exchange rates affects what goes on internationally? you do not even have enough dollars to strengthen the Naira to begin with.


Shiioooooor!

Can someone please brake this down for us to understand ?

Emefele will be gone before he has the chance to enforce this directive. Besides once someone explain to buhari in hausa language how his brothers will be render jobless, he will counter it.

And you are only making common sense!!!

suyamasta:
From my perspective this makes usd/gbp very hard to get hence the naira keeps getting weaker, let the naira ride on normal laws of demand and supply, i noticed naira keeps getting devalued even with all the recent hard policies by the CBN

Great economists of Nairaland ..I don't want to judge this directive as a novice...Please explain the Fundamental implications of this. What school of economics does this suits Is there any where in the world this has been put to test what was the outcome After these answers...We will be able to judge holistically

Bro,

Well I don’t think we need any detailed or extensive analysis on this. Even a primary school kid should be able to give a logical answer to this.

With this measure, the CBN will only be creating more forex scarcity. Have you seen anything that became scarce and at the same time drops in value?

In case you have one of these Naija banks credit cards, try and order anything and see at what exchange rate you will be charged by the banks, excluding bank charges. They are exchanging for 240+ to 1 USD and we are being told that the USD is pegged at 199 Naira. When the CBN claims to sell forex to banks at 199 Naira to 1 USD, and the Banks are selling for 240+ means some people somewhere are making serious money. Why isn’t the CBN doing anything about that?

There is something almost unprecedented going on that nobody is talking about yet, we are in December, and naturally the Naira stabilizes cos of Diasporans trooping into the country with forex. This year has been an exception so far. The Naira keeps dropping in value.

Check the price of crude too, that is our major forex earner, if it remains that way for the coming short- long term, where will the CBN / government get the forex to meet the demand for forex.

One of the few ways that the government and CBN can dissuade Nigerians from patronising foreign goods and services and reduce demand for forex is to make these goods and services expensive by making it expensive to acquire forex. Let the Naira float.

In case you want to know what the future prognosis are for the Naira, check the forward rate of the Naira against major tradable currencies. Not very promising. Until the government / policies maker do the right thing. Put in place structural and attainable policies.

brainbucks:
Last Days Dollar-Must-Go bags for sale

How much and she na by cash and carry or bank deposit

adioolayi:
Great economists of Nairaland ..I don't want to judge this directive as a novice...Please explain the Fundamental implications of this. What school of economics does this suits Is there any where in the world this has been put to test what was the outcome After these answers...We will be able to judge holistically

my brother even me sef no understand the implication of this one as i be jjc for economics

Why is there such a disparity between official rates and black market rates?

I know nothing about economics, can someone explain? If the banks are cheaper, why doesn't everyone just change cash there?

suyamasta:
From my perspective this makes usd/gbp very hard to get hence the naira keeps getting weaker, let the naira ride on normal laws of demand and supply, i noticed naira keeps getting devalued even with all the recent hard policies by the CBN

Suyamasta, what makes you think a floating exchange rate would be best for an import dependent country?