murtalaa:
if you are a legitimate importer, you can access the dollar at official rate of 197.

Inside your own bank

Papertrail11:
bureau the change are the pple sabotaging our naira to go on free fall banks are selln 199 yu guys selln for 260 who born yu........


what is adeosun doing by the wayy

you are wrong. high rate unemployment, inflation, less foreign investment, power, lack of security, bad policies, high rate of importation, low export, etc all these things are the major courses

Kenai:


http://www.thecable.ng/naira-trades-at-260-highest-in-42-years

With this disastrous news, get ready for tomorrow's story by Buhari and his goons on Goodluck Jonathan's $980bn loot, all in a desperate attempt to deflect attention from our current economic woes and keep their gullible supporters distracted on frivolities and nonsensical white lies.

If we didn't have a voting public so intellectually vapid, the focus would have been on asking our dear mallam to adequately elucidate on how he so miraculously "Cut down Nigeria's Inflation from 20 percent to 0 percent" as his campaign team so falsely bellowed.
Did he do it with a cutlass?
A few minutes of investigation and fact-checking would have made it clear to anyone that the story was nothing but a blatant lie.
When you claim to be an honest man, but your campaign promises are filled to the brim with unintelligent lies and slogans, it's time for some soul searching.

What's even worse is the fact that this man fought tooth and nail for the presidency for 12 years. 12 SOLID YEARS!
He finally gets there and is as visionless and lost as ever, promising to hit the ground running but taking 6 months to build a cabinet; with his mouth in hyperdrive and his brain in suspended animation.

Shame on this Twitter generation.
I will never be a slave to ignorance.


cc: Lalasticlala, Dominique, Ishilove, Firefire, AgabaI23, Atlwireles, WhiteTechnology, Whynotthetruth, Beremx, sunnyb0b0, Anonimi, MizMyColi, Ola6, Chukwudi44, NgeneUkwenu, Midolian, Modath, OrlandoOwoh, Jarus, Owobokiri, Owobikiri, AnambraDota, Rozayx5, Mogidi, TonyeBarcanista, Ecoterrors, Rawtruth, Onenaira3, Dabullit

Why are you talking funny, are you a teenager or a dependant ? Official rate is still N199 for legitimate business and transaction. N260 is for people that want undocumented dollar or illegal transactions of all sorts. Please support the gov of the day introduce sanity to Nigeria.

This is the end result of a mono commodity based economy I.e. oil based economy. The lack of economic diversity makes Nigeria susceptible to drastic global economic changes. There is an economic slow down right now in China so the demand for raw materials for manufacturing including oil has declined moderately. This has put further pressure on the oil price which is already at record lows because of OPEC increasing supply to protect its share against shale oil production from the U.S.
So we are getting hit on two fronts:
1) The value of the dollar has increased against all currencies.
2) We are earning less revenue from oil exports because of the crash in the price.
That is why a CBN policy to devalue the naira will be useful to increase the spread of the exchange rate .
But in the long run if we do not expand and diversify our economy away from oil this is a painful continous cycle that we are doomed to repeat .

[quote author=Raiders post=40918431] GEJ is responsibility for all our economic problem.[/quote

I shall probe this your grammer...no joke.

Firefire:
I was charged 225N / USD today for international online transaction .


We are getting closer to Dangote's prediction of 500/$.


May God deliver Nigeria and Nigerians.

lMaybe not that low, but I think the government should allow the naira to drop to the appropriate level based on market forces as seen on the parallel market rather than defend the naira at N197 to the dollar. Our low reserves will not support the naira at the current rate for long. Nigeria should start diversifying the economy to earn more foreign exchange in the face of low oil prices.

...and who doesn't knw division is the only solution to Nigeria problems.
I can see the worst coming since this man decides to travel from one kingdom to another.

To get us the bureau the chande operators outta of business nua abi? Do you or your government have any other job for us, after you close us down? Whatever happened to small medium enterprises?

Don't say that loud again.... How do they give bdcs that they will use in money looting?

Ask dasuki if the 2.1billion he stole was from BDCs

Smh..... Some people self...

Papertrail11:
if yu wanna make dollar reduce and help the economy cancel that nonsense called bureau the changi simple......

banks are selln for 199 yu guys are selln for 260 una dey crasee..... every normal person who needs dollar ought to go the bank and easily get it but yu guys create some kind of artificial increase nd help fiance money laundering....and stuff.....if normal pple went to bank an bureau the changi is cancelled pple who do not necessarily need it wont rush to buy it......I dont know if sm1 is feeln me here just d way I see it

babyfaceafrica:
So?...who exchange don help apart from yahoo boys?...

if I land u wicked slap nw ehhh u go find where ur 4 teeth abi na tooth dey

dustydee:

lMaybe not that low, but I think the government should allow the naira to drop to the appropriate level based on market forces as seen on the parallel market rather than defend the naira at N197 to the dollar. Our low reserves will not support the naira at the current rate for long. Nigeria should start diversifying the economy to earn more foreign exchange in the face of low oil prices.

As much as I agreed with your line of thought, I want to ask you, how much more or low will Naira exchange for USD before it is deemed to be at "appropriate level of market forces" ?

FG was subsidizing Naira at 155/$ as of Oct. 2014, before the devaluation of about 27% at current rate of 197/$.

Yet, Naira keep depreciating, don't you feel the government need to Re-approach her existing monetary policies ?

Khez:
To get us the bureau the chande operators outta of business nua abi? Do you or your government have any other job for us, after you close us down? Whatever happened to small medium enterprises?

Don't say that loud again.... How do they give bdcs that they will use in money looting?

Ask dasuki if the 2.1billion he stole was from BDCs

Smh..... Some people self...

shararp there how many jobs do bdc create sef.....?
we talkn about the economic sabotage they are causing yu are sayyn trash.....f9 go to school

walozanga:


you are wrong. high rate unemployment, inflation, less foreign investment, power, lack of security, bad policies, high rate of importation, low export, etc all these things are the major courses

dot agree mahn soryy

HAH:


I feel you bro, tell them anyone who has legitimate business can put the naira equivalent in his account go to his bank to fill form M with relevant document, whatever amount will be sourced from CBN at official rate

All nigerians are entitled to $5000 BTA per quarter that is $20000 per annum and $4000 PTA per quarter and $16000 per annum

One moet chandon for yu this Christmas

Papertrail11:




shararp there how many jobs do bdc create sef.....?
we talkn about the economic sabotage they are causing yu are sayyn trash.....f9 go to school

Your a foolish fool, this goes to show your stupidity is beyond repair... Don't ask or talk in matters you know nothing about... How many people have you asked and they say bdcs don't at least create two to three jobs in one bdcs? How many did you create? Eh ezi.... Your the one that needs the schooling bro, not me, i already got enough

Economic sabotage indeed .....

Mr know all

Anuofia

MissAssy:

I like your signature

thanks

Firefire:


As much as I agreed with your line of thought, I want to ask you, how much more or low will Naira exchange for USD before it is deemed to be at "appropriate level of market forces" ?

FG was subsidizing Naira at 155/$ as of Oct. 2014, before the devaluation of about 27% at current rate of 197/$.

Yet, Naira keep depreciating, don't you feel the government need to Re-approach her existing monetary policies ?

\
The simple answer is I don't know. But I know the slide is temporary and due to current low oil prices and our failure to plan for times like this. China is also devaluing her currency to stay competitive but there is a limit.

Khez:


Your a foolish fool, this goes to show your stupidity is beyond repair... Don't ask or talk in matters you know nothing about... How many people have you asked and they say bdcs don't at least create two to three jobs in one bdcs? How many did you create? Eh ezi.... Your the one that needs the schooling bro, not me, i already got enough

Economic sabotage indeed .....

Mr know all

Anuofia

alapoue

dustydee:
\
The simple answer is I don't know. But I know the slide is temporary and due to current low oil prices and our failure to plan for times like this. China is also devaluing her currency to stay competitive but there is a limit.

Thank you for your honest opinion.

I pray this dangerous trend is address quickly by the government.

Enough damage already.

Papertrail11:
if yu wanna make dollar reduce and help the economy cancel that nonsense called bureau the changi simple......

banks are selln for 199 yu guys are selln for 260 una dey crasee..... every normal person who needs dollar ought to go the bank and easily get it but yu guys create some kind of artificial increase nd help fiance money laundering....and stuff.....if normal pple went to bank an bureau the changi is cancelled pple who do not necessarily need it wont rush to buy it......I dont know if sm1 is feeln me here just d way I see it

banks buy for 199 but sells for 205.

Bollinger:


The last recession in America took one and half years to stop before there was a turn around. At one time in their history, it took four years to stop one. It took quality leadership to make that happen. Nigeria has been in a recession since independence, so, blaming buhari is nonsensical. If you say that is not accurate, then point to a period in Nigeria's history when we were not in a recession. Oil was discovered in Nigeria in 1956 and we have been dependent on it ever since. When a whole country's source of income is solely based on one source of revenue and lately, the recovery of looted funds, then that country does not deserve to exist. Nigerian's has no grasp of it's history which is why we blame whoever is in charge at that point in time. Also, amnesia reigns supreme. They forget too quickly. Obasanjo did more damage to this country than any other President in our history, but for some reason people can't see it. Nigerians, i hail una.

I can't agree more. Your argument is superior.

Firefire:


As much as I agreed with your line of thought, I want to ask you, how much more or low will Naira exchange for USD before it is deemed to be at "appropriate level of market forces" ?

FG was subsidizing Naira at 155/$ as of Oct. 2014, before the devaluation of about 27% at current rate of 197/$.

Yet, Naira keep depreciating, don't you feel the government need to Re-approach her existing monetary policies ?

I have argued this topic ad infinitum in previous posts so will restrict myself to a few comments here. The Govt cannot successfully maintain a fixed rate without sufficient reserves to defend the Naira. The answer to your question is that the Govt has to allow the Naira to fall until such a point that we have the reserves to hold the line.

The difficulty with maintaining an official rate, at odds with market rates, as we are doing is that it dissuades investors from bringing in foreign capital into the country. Investors will be wary to bring in money because of restrictions in taking profits out, which restrictions are necessitated by the official rate. Further, if you want to build a factory and the cost of the factory is estimated at 200 billion Naira, you will not want to spend circa $1bn at the official rate when the market value of 200bn Naira is circa $770m. Hence, these CBN exchange rate restrictions become counter-productive and self-reinforcing as you need the inflow of foreign exchange to stabilise the Naira. Like I pointed out before, during Abacha's era, the official rate stayed at 22 Naira whilst the market rate hit 85 Naira to the dollar. Excellent round-tripping opportunity for the highly connected, not so much for the rest of Nigerians.

First of all, I wasn't defending the government and their decision to ban any products so spare me. Almost every comment on this thread is the result of sheer ignorance. You people don't even know the difference between monetary and fiscal policies but you think that you have enough knowledge to assess political and economic decisions. You have the leaders you deserve because you don't even have a basic understanding of macroeconomics and as a result support politicians that are from your tribe instead of making choices based on what they stand for and the reasonability of their intended policies.

donJ2:


I bet u r post is also delusional, a sincere govt will put structures to encourage local production on ground (which will drastically improve an economy) b4 thinking of policies to discourage the importation of that product.

Like the 40 banned agro products, how much has d current admin invested in agric and wat is the success rate of that investment??..they jst woke up one day and denied access to forex for importation...

Theres no job, wat of youths doing mini importation to survive??

I have never defended the government's decision to cut down import. In fact, I don't consider it a reasonable decision since Nigeria's export rate is much higher than Nigeria's import rate. Like you correctly said, the government should provide an infrastructure and laws that encourage private investment, which creates employment.

Before u ban importation of fone, u must have built 3 phone factories or train youths to learn how to manufacture fones.

It is not a government's job to build factories.

I bet u all these cbn governors still eat imported rice and other food.

Nonsense!

The encouragement of and investment in local agriculture creates employment. It is also a well-known fact that American and European agricultural subsidies are undercutting African farmers and flooding African economies with their products, which in return leads to the destruction of entire agricultural sectors and to unemployment.

Papertrail11:




alapoue

Afo saa gi

HzRF:

ND of use is Partial Ban?

total ban will be too harsh on nigerians, that's why local production is encourage by the CBN 20billion naira loan for rice farmers, total ban will be impose when local production is sufficient...... I think it make sense

FabioPeter:

I can't agree more. Your argument is superior.

It's going to rain burgers and fries today. You. Agree with me? In fact, i'm not going out today.

Papertrail11:
if yu wanna make dollar reduce and help the economy cancel that nonsense called bureau the changi simple......

banks are selln for 199 yu guys are selln for 260 una dey crasee..... every normal person who needs dollar ought to go the bank and easily get it but yu guys create some kind of artificial increase nd help fiance money laundering....and stuff.....if normal pple went to bank an bureau the changi is cancelled pple who do not necessarily need it wont rush to buy it......I dont know if sm1 is feeln me here just d way I see it

And you think any bank in Africa will sell dollar for you at d bank rate? or will they even sell for you at all? them go just redirect you to d BDC.

We want Woone neiarah eful to woone doular

Is this economy really moving or reversing

Kayflamez:
Is this economy really moving or reversing

[img]http://www.tradingeconomics.com/charts/og.png?url=/nigeria/gdp-growth[/img]

#bringbackokonjoiweala

4Play:


I have argued this topic ad infinitum in previous posts so will restrict myself to a few comments here. The Govt cannot successfully maintain a fixed rate without sufficient reserves to defend the Naira. The answer to your question is that the Govt has to allow the Naira to fall until such a point that we have the reserves to hold the line.

The difficulty with maintaining an official rate, at odds with market rates, as we are doing is that it dissuades investors from bringing in foreign capital into the country. Investors will be wary to bring in money because of restrictions in taking profits out, which restrictions are necessitated by the official rate. Further, if you want to build a factory and the cost of the factory is estimated at 200 billion Naira, you will not want to spend circa $1bn at the official rate when the market value of 200bn Naira is circa $770m. Hence, these CBN exchange rate restrictions become counter-productive and self-reinforcing as you need the inflow of foreign exchange to stabilise the Naira. Like I pointed out before, during Abacha's era, the official rate stayed at 22 Naira whilst the market rate hit 85 Naira to the dollar. Excellent round-tripping opportunity for the highly connected, not so much for the rest of Nigerians.

Thank you for your comment.

Your submission shows your deep understanding of the subject matter and your awareness of the trend of events.

As you rightly posited, which I somewhat agreed with, that "The Govt has to allow the Naira to fall until such a point that we have the reserves to hold the line", if we continually follow this line of argument while other variables remains constant, don't you feel that is also inimical to the

purchasing power of Nigerians? Unless they (Nigerians) will not transacts in USD and got no FX impact in addition to the inflation rate of 9.4 percent.

Hence, we would see a big shift between the Nominal Income vs. the Real Income.

On the aspect of FDI, the unclear economic direction of the current administration is already putting off potential investors not minding the challenges and FX impact of the official/market rate off USD.


South Africa's Tiger Brands cuts off funds to Nigeria's DFM: "Tiger Brands has decided not to provide further financial support with respect to its investment in Tiger Branded Consumer Goods plc of Nigeria," Tiger Brands wrote down the value of DFM twice last year for a total 954 million rand ($66.3 million) as the business suffered from tough competition and a weakening naira currency.
http://www.dailymail.co.uk/wires/reuters/article-3320489/South-Africas-Tiger-Brands-cuts-funds-Nigerias-DFM.html


Nigeria administrators must come together to address the issue NOW!

Shalom!