franciskaine:
so devaluation will?

Deen77:


Let see if it will work?, but the problem is we can't meet our import demand of dollar. Crude Oil crash affect all Oil producing nations, Nigeria includes. Nigeria is worst for importing petroleum an essential commodities consume millions of dollar to finance.

Buhari should just look for a way to stop importing petroleum products.

See Nigeria, no reserved for survival by Deutsche bank.

devaluation would av been the short time best solution while the administration of PMB will tighten the belt on the neck of the looters...it will give pmb enough time to bring about his economy restructuring and policies of diversification, the masses wouldnt av suffered but now its a little too late

egbonnla:
Check my profile. When I advocated last year that fuel subsidy should be removed and flexible exchange rate be adopted, a lot of people castigated me. Not that they have superior argument but because PMB said subsidy should not be removed and Naira not devalued. With the recent development at least people will know that PMB needs help in understanding the dynamics of global economy

beejaay:

devaluation would av been the short time best solution while the administration of PMB will tighten the belt on the neck of the looters...it will give pmb enough time to bring about his economy restructuring and policies of diversification, the masses wouldnt av suffered but now its a little too late

007Gbenga:
All these empty heads.... I was wondering why it was only in Naija we were experincing Foreign exchange wahala. Trial and error government.

989900B:
We have a developing situation without direction, facts nor figures, yet everyone's has something to say already.

Even the newspapers and distinguished economists are mum waiting for further tangibles to work with, but NL economic pundits know what's up already.

This country and some other largely mono economies, especially those who didn't save for famine, are in deep sh!t already! And the sad reality is, there is no quick/easy fix! Every scenario is marred with unpredictability of multiple variables.
Have you ever been broke and laden with debts and tons of other problems, but know what to do, but don't have the funds to do it, and have everyone look at you like you're a f00l of the first order?

God bless y'all.

ideylaff:


At all everyone seems to be missing the point.

This is simply Politicians creating an avenue to make money and raise funds through rent seeking ways, the left the FX policy wide for over a year to make them round trippers and powerful contributors to 2019 make money while they did as if they were not aware.

Even a secondary school Economics student know the FX policy was open to abuse, CBN and the powers that be left that window open to make money for the rent seekers and opportunists who in turn will look after them. It's just too glaring

These people are very very very wicked, just like they are using the fuel price increase to take money of the common man to pay the marketers.

Don't be fooled my people they knew what they were doing all the while.

Do you know what Dangote, Danjuma and the so called big guns have been doing with cheap FX bought at Bank Rates for the last 1 year.

Just calculate the profit made and you will weep for this country .

See how they quietly introduced this in quote devaluation even after they, Vp and FG denied it a few weeks ago and even the smallest blog on line reported devaluation was on the cards.

May GOD punish these POLITHIEFCIANS steering the rudderless ship called Nigeria. Their generations will suffer for this in Jesus name . Amen

WICKED LOT THEY ARE BOTH APC AND PDP

007Gbenga:


Dangote is FG's adopted son! He gets tax rebates, cheap forex, monopoly to do businesses and more while the politicians look the other way and get their bank accounts filled. Ask yourselves who own these fuel marketing companies, oil blocks and oil business if they are not linked to politicians in power, so why wont they implement killer to enrich themselves? They dont know the hardship, tax payers money gets averything for them.

GeneralShepherd:
I must confess that prior to the election, I believed APC hook,line and sinker. All their propaganda was the ultimate truth in my head. The propaganda worked on me, I was Zombified.

One year after, it is clear to me that Buhari has no grasp of Management. Well, like we were warned before, a man that has had a constant number of cows (150)over 12 years without growth is really a bad choice.

989900B:
We have a developing situation without direction, facts nor figures, yet everyone's has something to say already.

Even the newspapers and distinguished economists are mum waiting for further tangibles to work with, but NL economic pundits know what's up already.

This country and some other largely mono economies, especially those who didn't save for famine, are in deep sh!t already! And the sad reality is, there is no quick/easy fix! Every scenario is marred with unpredictability of multiple variables.
Have you ever been broke and laden with debts and tons of other problems, but know what to do, but don't have the funds to do it, and have everyone look at you like you're a f00l of the first order?

God bless y'all.

plaetton:


At a time that bank of Japan, the European Central Bank, China, the US federal reserve were desperately pumping liquidity in their deflationary economies through their banks, Buhari came in and did the unthinkable opposite of draining N3 trillion out of the banking system, at once.

The TSA implementation was the equivalence of a nuclear bomb on the Nigerian economy.

This was the equivalence of draining your rickety car ofvengine oil in order to save yourself some change.

But It's not too late.

They can still return the N3 trillion back to the economy via the banking system. Money in commercial banks is what they leverage to create and expand credit in the economy,,. Which in turn , fuels Commerce and employment.

Any amateur computer programmer can write software and algorithms to help the FG keep abreast all their accounts with commercial banks in REAL TIME, irrespective of how many there or how far they are spread.

The FG should swallow their pride, or in Buhari's words, swallow their own vomit, and release the TSA funds right back to the economy.

N3 trillion, N10 trillion or N100 trillion are just figures, useless figures, if they cannot add liquidity , credit , employment and GDP to an already ailling economy.

989900B:


The above is so wrong on many levels, I don't even know where to start.

Should we start from the billions in leakages, to ghost workers, and heads of depts, or pure brazen theft in connivance with the banks?
Or, the fact that an institution like NNPC does not even know how many accounts it has?
Or, the fact that banks in Nigeria are just lazy and brainless siphons for cheap and illegal monies.
Or, the fact that we even have a faulty monetary policy template in place that guarantees the banks make N600b every year thru the CBN for virtually nothing, in the name of mopping up excess liquidity, created by the CBN in the first place?
Or, the fact that about 14 banks are still owing the CBN about $7b (dollars) from 2006 in bailout funds?

Our banks don't even fund the real sector that needs the funds the most. At over 20% interest rates, most of the loans can only go to oil racketeers.

In all those countries you mentioned, they work for their own profit by smart investments, not solely dependent on funds from government like our own banks. Japan for example, is one of the countries with the most debt in the world, but they are not doing a 'Greece', because most of their debts are internal (borrowed from their own banks). You think we can keep on surviving on such faulty framework and not pay for it one day? There is no short cut to hard work and smart ideas. "Good thinking -- Good product". Not the lazy slime a$$ glorified piggy banks we have for banks.

The TSA is enshrined in our constitution (it is not PMB's brainchild), OBJ didn't do much about it, GEJ brought it to the front burner with the switch off, PMB only summoned the stugotz to switch on the burner. That said, a good chunk of the monies still return to the banks, albeit via better accountability.

That way, it makes it easy for the government to keep a manager's eye on things, pay across board accordingly, identify projects/entrepreneurs that need loans, and make them available at special single digits rate -- that is how you properly pump money into the hands of those who truly need it and grow the economy, in lieu of fat false cash sitting idly in the wrong accounts.

lashout1:

what are u saying?

u know nothing about exchange rate, y not try reading comments only.