The Governor of Central Bank of Nigeria, Mr. Godwin Emefiele, at the annual Bankers’ Dinner organised by the Chartered Institute of Bankers of Nigeria disclosed on Friday night, talked about how the nation is losing N256bn monthly to pil price crash.

He said:
“Given the sharp fall in oil prices, federation allocation to states have dropped by an average of about N2bn for each month. “Similarly, average inflows of foreign exchange into the CBN have fallen to by about $1.3bn per month; this has led to a sharp decline in our forex reserves from as high as $37bn as at June 2014, to $30bn.

He said the nation needs to stop to importing everything. He encouraged Nigerians to patronize locally made goods. Despite the huge drop in the nation’s forex earnings as a result of the fall in crude oil prices, the CBN boss said Nigeria’s import rose to N917bn in September and might likely hit N1.2tn in December.

He said:
“Nigeria cannot continue on this path of importing everything and anything. Indeed, it is both unacceptable and unsustainable and that was the reason we decided at the central bank to prohibit items we can produce here from accessing forex from the central bank.

“The last time we had oil prices at $50 per barrel for an extended period of time was in 2005 and our total import bill for that year was only N148bn. Yet, in the first nine months of this year, our total import bill has already risen to N917bn, and by logical extension, it is heading towards N1.2tn by the end of the year.

“The CBN will in due course embark on a national campaign called PAVE which stands for: Produce Locally, Add Value and Export. We definitely cannot survive as a people by importing everything and anything.’’

See more at http://www.exlinklodge.com/2015/11/nigeria-loses-n256bn-monthly-to-oil.html




cc lalasticlala

Ok.

in case

That is approximately 3.4-3.6 billion in a year

Resource control is the best way to fully diversify the economy and this whole madness of importing everytin and anytin will stop automatically.

They shud tell Nigerians simple truth if they want to make progress.

Not a loss. You don't say you lose money over a commodity which price is neither fixed nor which you have a control over its price.

You can only claim to lose money when you're unable to sell your stock due to some unfortunate development in the market place and that's not what we have now. What we have is a drastic drop in crude price and no one stops us from selling.

That we bungled our excess crude earnings which should have served as buffer for this period is not the market's fault but ours.

Visionless leaders who can't think beyond today! What do you expect when you based the future of Nigerians on solely oil and at the same time engaging in primitive wealth for yourselves? You have also ignored the life blood of any country which is the YOUTH.... No skills acquisition programmes, no investment in education and research, the rise of cultism in primary and secondary schools, rate of unemployment, etc. I'm afraid that the seed you have planted for the past 2 decades has just started germinating and get ready to reap what you have sown.

PassingShot:
Not a loss.

Do you think the loss calculation is correct?

It does not look correct!

baralatie:


Do you think the loss calculation is correct?

It does not look correct!

Please read my modified post.

Nigeria produces average 2m barrel of oil per day.I.e 60m per month

at $60 total receipts=$3.6bn per month ,fg takes $1.8bn
But

at $40 total receipts=$2.4bn per month,fg takes $1.2bn


$0.6bn *200=#120bn

Unless the #256bn includes non oil sales and non oil receipts!

PassingShot:

Please read my modified post.

I will address that but I just made a rough calculation

We will stop importation when the elites stop travelling abroad for medicare....iranu