Joel3:
you are wrong. I said it again. you don't know economies. the Chinese operations a fixation economy where they peg yuan against dollars is this means they devalued their currency to encourage their export. that's why many Chinese business prefer to bank on the dollars as it's of their interest.

even when IMF request the Chinese to give their yuan more value against dollars they refuse because they learnt if their yuan value is same as the dollar people will prefer America made then their own.

when a government is operating pegging economy it scare away investors. then true reality the naira has already be devalued in the real market. that is the true fact. what the CBN is doing they are cheating the public

OYELLOLO:


Are you not aware that the naira is indirectly devalued with prices of essential commodities skyrocketing by the day. Who and who has access to the official exchange rate being discussed here? Please let's stop deceiving ourselves.

NavierStokes:



Zimbabwe was a progressing society, The original plan of the West was to live side by side with the locals, but that old comedian single handedly based on pride and to the detriment of his country changed all of that. We as followers can cheer them on that we have a man giving it to the west, but at the end of the day who suffers inflation on the streets, Mugabe? or the common zimb, who has to carry trillions to buy bread.lol

AZeD1:

1) The scarcity of the dollar is not caused by the rate so devaluing doesn't solve the scarcity, rather it would push the black market rate up further.
2) We really don't export anything so the idea of our goods being cheaper is economic theory.
3) You need to understand that foreigners that are calling for devaluation are doing it in there own interest not because they like us?

erico2k2:

Loads of stuff.
Rubber
Timber
Beans
Man power
Gas
Oil
Cement
Fuits
Tin
Cassava
Yam
Cachew
Maize
Palm produce
I can go on and on
However cos our govt do t export the above don't mean the citizen's don't. .The greatest export from china is not its produce but MANPOWER

omonnakoda:
Devaluation would make sense if it attracts long term investors.
A simple example a house in Nigeria costing 25 million Naira before the oil shock would have been $150-160000
That same house would now be $75-80000 but these so called investors are not satisfied.Having smelled blood they wish to browbeat the government to submission.
Still they are only interested in investing in the stock market. a pump and dump strategy. We do not need those kind of "investors". Their main concern is a very liquid market in which they an jump ship and take out their money very quickly at the slightest sign of trouble.
we need long term investors that will bring skill transfer and infrastructure development and we have that in the Chinese. We don't need vulture fund "investors"
Our currency was stable under Abacha with oil prices under$20 and zero reserves. That tells me that many of these economic theories are guesswork.They did not stop the 2008 crisis. How come when we were sellin oil over $100 IMF never advised that we strenghten the naira. Even then we were devaluing from the 80:1 we inherited from Abacha

TonyeBarcanista:
I don't know who is advising President Buhari but his insistence on not devaluing the Naira to reflect present reality is one decision he would live to regret. The false sense of value we are giving to the naira is not helping anybody neither is political consideration more important than the economy. The suffering we would experience through devalued naira won't be compared to the hopeless situation we are now. in fact, if the country is pragmatic enough, the devalued naira policy would turn to be a blessing.

TonyeBarcanista:
I don't know who is advising President Buhari but his insistence on not devaluing the Naira to reflect present reality is one decision he would live to regret. The false sense of value we are giving to the naira is not helping anybody neither is political consideration more important than the economy. The suffering we would experience through devalued naira won't be compared to the hopeless situation we are now. in fact, if the country is pragmatic enough, the devalued naira policy would turn to be a blessing.

AZeD1:
Those people who say we should devalue the Naira have never said what the country stands to gain from devaluation.

jmichlins:
am happy people are getting enlightened about our economy. The day the president devalues our money, he will lose my support. We still have many things to import especially power, machines and man power

NavierStokes:



Venezuela devalued as at when? When things are already gone awry, Buhari could have devalued much earlier he stubbornly refused.

Jonathan and Okonjo devalued twice in a period of falling oil prices, with Oil price and production below budget benchmark, still there was no noticeable effect in the price of goods in the market, inflation was single digit etc. Buhari refuses to officially devalue and inflation is at double digit, pure water is selling at a price of *** (to be honest i don't know).

The paragraph above tells us that someone isn't doing something right, and someone in the past was managing something right.

Having delayed (like in everything this government does - which to me is based on fear) to devalue, our gains are already reduced, but there are gains all the same as things will begin to move on once again. Whats the point of going out to look for investors, when you haven't swept the house clean, They Like Hitler, will agree to everything but will not even honour those agreements. After all the travels which investor has put any money on ground in Nigeria? I cant remember any, all we hear is we will invest X and Y billion pounds into Nigeria, but nothing on ground.

Thing is all investors, speculators etc including Yours truly, are patiently waiting for the Naira to find a floor, before anything form of investment, can be done.


This is from the article you posted:

"PepsiCo recently started valuing some of its assets in Venezuela at that rate, after being unable to repatriate money at the 6.3 rate for years"

NDPVF:
Thank goodness you said it yourself that Coys leaves due to various reasons. You can use your google,the massive exit of coys from Nigeria as currently being witnessed,is not unconnected to the unhealthy fiscal and monetary policies of this administration. Earlier today,i read how Iberia Airways has pulled out of the country citing their inability to repartriate their over $500million trapped in Nigeria Banks,courtsey of CBN forex policy. Many other coys both foreign and local are going moribund. Of course,poverty and unemployment has been there,but hey,it's has trippled under[b] Buhari/Adesola[/b] cluelessness,coupled with inflation.

AZeD1:

1) The scarcity of the dollar is not caused by the rate so devaluing doesn't solve the scarcity, rather it would push the black market rate up further.
2) We really don't export anything so the idea of our goods being cheaper is economic theory.
3) You need to understand that foreigners that are calling for devaluation are doing it in there own interest not because they like us?

Empero1:
I'm always amazed whenever I come here and see never-do-well(s) flexing muscles like economic experts. Someone even went to the extent of boasting about superiority of the west over us just because his wife was opportune to attend a school in the UK where the whites dominated her myopic thoughts. To that fellow, when did your dull.ard of a wife become the standard for good? In fact, I say all of you in support of official devaluation of naira should stuff.

Literally, we're not an exporting nation, and we don't have authority/monopoly to dictate the price of the major item we export (crude oil), therefore it makes not economic sense for us to officially devalue our currency. Should we do so, we stand to attract portfolio investors - which will only give us short term succor but with long term devastating effect, because the target of any portfolio investor is instant benefit and once they make the profit within a twinkle of an eye they would pull off their investment thereby worsening our already deplorable economy.

FG should continue to resist all pressures and speculations from the west and its agents. They're nothing more than manipulators.

9japrof:


I don't support buharis style of leadership Buh I think I support his stance on devaluation. Devaluing wouldn't help matters or make things better than it seems.

from the moment you start receiving bailouts from these stupid European nations, you are doomed forever ask Greece.

my reservation is these "thiefing" politicians

TonyeBarcanista:
I don't know who is advising President Buhari but his insistence on not devaluing the Naira to reflect present reality is one decision he would live to regret. The false sense of value we are giving to the naira is not helping anybody neither is political consideration more important than the economy. The suffering we would experience through devalued naira won't be compared to the hopeless situation we are now. in fact, if the country is pragmatic enough, the devalued naira policy would turn to be a blessing.

TonyeBarcanista:

The benefit are enormous though not immediate, it outweighs the suffering we are subjected to at present

TonyeBarcanista:

SAP flopped because IBB mismanaged the whole thing for his selfish interest.

Already, businesses are operating on a value of the naira that is over 100% more than the official value. in fact, the naira is technically devaluated due to scarcity of the dollar. What we are saying is for the government to allow the naira to be officially devalued so that businesses can freely operated. This will even boost our export as our goods would be cheaper in the international market, and that would help local economy.


however, it will make import more expensive but we can't depend on import forever

adconline:

Aren't prices of goods already pegged to the black value of the dollar?

adconline:

Who are the beneficiaries of CBN rate of N197/$1? Publish their names every week and what they have imported with the allocation

TonyeBarcanista:

The benefit are enormous though not immediate, it outweighs the suffering we are subjected to at present

manny4life:


This must be some kind of joke right? Do you export what you're self sufficient at or what you think are just basic products? We have rubber yet we import furniture and other household goods. We're sufficient in timber yet toothpicks is one of the banned products because of the large importation. We're sufficient in fruits but Nigeria is one of the largest importer of fruit juice... Again, is this some kind of joke or are you serious?