PMB, THE ECONOMIST!

PMB has done it again. The school cert holder (?) has done what a PhD holder could not.

Very simple economics. We buy most of our goods from China, so why must we pay the Chinese in dollars? The Chinese buy a lot of crude oil from us, so why must they pay us in dollars?

So PMB made a deal with the Chinese. We pay for the goods we buy from China in Yuan, the Chinese currency. They buy our crude oil and pay in Yuan.

The exchange rate is to be pegged at 30 Naira to one Yuan or RMB.

So how does it favour us? Simple.

The Yuan is now 6.48 to a dollar. So if you pay 30 Naira to the Yuan, that would be equivalent to 194.4 Naira to the dollar.

Since the dollar exchanges for 199 Naira, you save N4.6. 199 - 194.4 = 4.6. Simple, huh?

In simple terms, PMB has just strengthened the Naira by 9.15%!

And that's not the end of the story. As we begin to deal in the Yuan, the demand for dollar would plummet and this in turn would weaken the dollar. It would crash to around 140 Naira to the dollar.

May God bless PMB. Can I hear an amen?!

am not given to rejoicing with the APC so easily without critical examination.... until I see how this will benefit the masses and Not the Dangote's alone again.


1. It is not unusual for people to jubilate over food that will hurt their stomach, but it is unfortunate to see medical doctors celebrating agbo jedi.

2. China want to borrow us 2 billion dollars, but they want to give us in Yuan and not the dollar itself. They are not handling us cash, but service exchange; meaning if we want to buy iron rod, we buy it from Chinese company and they pay the company on our behalf. If we want to construct railway, they will construct it for us and take the money out of the loan. In the end, we are bound to award contracts to them, cutting out competition from others and fairplay to others(non Chinese company can't bid or compete to reduce the cost.) They get to value the contract and determine the price, meaning they can sell something worth 200 Naira for N2000 and we don't have a choice 'cos it is on credit.

3. The worst of it is that China want us to pay back in dollars, that is not all, we are moving our foreign reserve to fake currency(Yuan) a currency that is manipulated openly by the Chinese government. Did anyone ask Lamido Sanusi what happened to some of our reserve he moved to Yuan few years ago? They sold us Yuan at 4 to a dollar, only to devalue their currency few weeks latter to 9 Yuan per $.

4. Many Nigerians don't know that even Chinese company don't want yuan, nobody want it, Chinese foreign reserve is in dollars, China is the largest holder of US bond, they want dollars by all means.


5. Also, China have more lobbyists in Washington DC than any other nations on earth, begging Washington politicians to always make policy in their favour, how can such country save us from USD

We are the only one that can help ourselves, let's implement true federalism system and free market. Development is a culture and not a product, we can't buy it no matter how much money we have or borrow

cc ajepako,

searchng4love:
am not given to rejoicing with the APC so easily without critical examination.... until I see how this will benefit the masses and Not the Dangote's alone again.

I think it's not about APC here. Though, I have not had time to read through the agreement, if what the op stated here is correct, it will be a big victory for our economy.
In the end, most goods imported into Nigeria, used by ordinary Nigerians are imported by unknown business men who sell their goods in markets in Lagos, Onitsha, Aba, Kano, Port Harcourt, Nnewi, etc, and not the likes of Dangote.

read again.

TrutforAfrica:


I think it's not about APC here. Though, I have not had time to read through the agreement, if what the op stated here is correct, it will be a big victory for our economy.
In the end, most goods imported into Nigeria, used by ordinary Nigerians are imported by unknown business men who sell their goods in markets in Lagos, Onitsha, Aba, Kano, Port Harcourt, Nnewi, etc, and not the likes of Dangote.