I still find it funny that most people don't know why Nigeria economy went into recession, they love the incompetent lies of Lai Mohammed about the past government ruining everything. It's also myopic to think that if Jonathan were to still be in power, we would be worse off.

The truth about Nigeria's recession is this; it was caused by the president's unguided rhetoric and uncultured body language.

Firstly, there is nothing we are buying today that we weren't buying 5 years ago, therefore it's not our purchase that put pressure on Naira but withdrawal of funds by foreign investors.

After the election, the president created instability with his unguided statements about how everyone is corrupt and how everyone is going to jail. The instability made foreign investors to liquidate their investment and change their money to dollars. In the process of trying to flee, they were willing to buy dollars at any price, which lead to high exchange dollar rate.

Even though some of them were not ready to run away, but want their money in dollars to save their investments from devaluation, the president gave a bad signal by banning deposit of foreign currency into dormiciliary accounts. That was enough for free market believers to see the draconian handwriting on the wall, that was the beginning of dollar rush.

To make matters worse, the president came up with another outrageous policy of rationing dollar to certain sectors and blocking many sectors out. That was the nail in the coffin which facilitated the emergence of free FALL.

In the end, foreign investors took over $80B out of the economy within a short period and everything went down to free fall.

To those who believe it will be worse if Jonathan is still there, you are all wrong. Policy continuity and political stability will not let billions of dollars leave our shores within such tiny time frame. Even though the government might have income shortage, the private sector will weather the storm by their confidence in the market.

The fear of the unknown created by PMB is responsible for the economic downturn not low oil price. Interest rate in America is currently at 0.5% while it is 12% in Nigeria. JP Morgan Chase will not mind borrowing $50 billion from Feds at 0.5 and put in Nigeria for return of %2000 profit. Citi bank will do the same, likewise US Bank Corp. Chase gave Buhari warning about the repercussions of his fixing policy before they pulled out, but his illiterate cyber warriors and misseducated e-soldiers said JPMORGAN can go to hell, they no longer believe in economic metrics since their messiah is in charge. Funny enough they are all suffering today because of the stupid policy, but they find relief by blaming it on past administration and Gucci appetite of average Nigerians.

For your information, if your president "kontunu" with his unguided rhetoric, Naira will go down to N1000/1 $. But we thank God, he is no longer talking.

why nt also explain why saudi-arabia and venezuela are in recession or is buhari also their president.

When your a President of a nation like Nigeria, u speak like a Father ( Obama) and not like a regional leader (pmb) or a racist ( Trump). Because your words are no longer mere words,they have ripple effects.

SUPERPACK:
why nt also explain why saudi-arabia and venezuela are in recession or is buhari also their president.

I stand to be corrected. Saudi is not in recession, and Venezuela practices socialist kind of economy while our darling country was suppose to be a free market. These three countries are quite different economically .

Op, you rightly stated that our consumption of foreign goods has not increased, but refused to state that our income from oil has drastically fallen.

Quick analogy, you have a job that pays you 500 thousand naira. You inherited 10 million naira from your late father. You decide to spend all your inheritance and your 500 thousand naira salary on wine and women. It is your money, so why shouldn't you spend it. You die a leave 200 thousand for your son. Your son gets the same job you got, but unfortunately only makes 100 thousand a month as salary through no fault of his.

Do you blame your son for not being able to live the extravagant life you lived. If you had invested your father's money well, maybe your son will have a business that will earn him 1 million a month.

Taich:

I stand to be corrected. Saudi is not in recession, and Venezuela practices socialist kind of economy while our darling country was suppose to be a free market. These three countries are quite different economically .

lecture the empty head

Taich:

I stand to be corrected. Saudi is not in recession, and Venezuela practices socialist kind of economy while our darling country was suppose to be a free market. These three countries are quite different economically .

http://uk.businessinsider.com/report-saudi-arabia-to-launch-an-international-bond-2016-5
.
www.forbes.com/sites/dominicdudley/2016/07/12/saudi-recession/#65591cf4615e
.
https://www.oilprice.com/Energy/Energy-General/Even-The-Saudis-Need-To-Borrow-To-Survive-Oil-Price-Slump.html

SUPERPACK:
why nt also explain why saudi-arabia and venezuela are in recession or is buhari also their president.

I dont blame u, i blame ur knowledge base. Try to find out what kinda economy those practised b4 comparing seemingly and absolutely dissimilar situations and countries. Did i hear u say Saudi is in recession? God Punish the devil
Venezual is nothing liKe Nigeria, if we have a good govt in Nigeria, even if there is no more oil, the market will still operate and private business will still thrive, but ur mumu uncle had made three terrible policies terrible policies thats presently destroying our economy and not issue of oil prices.
if it were oil price, is the dollar not supposed to be improving from when oil sold for $34 and now that it sells for $48. Pls go back to school.

Bethelwealthy:


I dont blame u, i blame ur knowledge base. Try to find out what kinda economy those practised b4 comparing seemingly and absolutely dissimilar situations and countries. Did i hear u say Saudi is in recession? God Punish the devil
Venezual is nothing liKe Nigeria, if we have a good govt in Nigeria, even if there is no more oil, the market will still operate and private business will still thrive, but ur mumu uncle had made three terrible policies terrible policies thats presently destroying our economy and not issue of oil prices.
if it were oil price, is the dollar not supposed to be improving from when oil sold for $34 and now that it sells for $48. Pls go back to school.

and is the country exporting in full capacity currently, and are u more knowledgeable than CHUKWUMA SOLUDO in economics, or did he nt predict todays economic hardship to be beyond Buhari or you Hero Jonathan.

SUPERPACK:

http://uk.businessinsider.com/report-saudi-arabia-to-launch-an-international-bond-2016-5
.
www.forbes.com/sites/dominicdudley/2016/07/12/saudi-recession/#65591cf4615e
.
https://www.oilprice.com/Energy/Energy-General/Even-The-Saudis-Need-To-Borrow-To-Survive-Oil-Price-Slump.html

Borrowing doesn't
Mean that the Saudi's are in recession. Governments and businesses all over the world do borrow money to shore up their interests, that doesn't mean that there are in recession. The last administration borrowed and we weren't in recession then.

Taich:

Borrowing doesn't
Mean that the Saudi's are in recession. Governments and businesses all over the world do borrow money to shore up their interests, that doesn't mean that there are in recession. The last administration borrowed and we weren't in recession then.

borrowing heavily, mass retrenchment, budget cut, inflation are all indicators of recession. read the following report pls
.
https://www.bloomberg.com/view/articles/2015-09-02/if-oil-prices-keep-slipping-recession-could-follow
.
www.vanguardngr.com/2012/11/i-pray-for-our-oil-to-dry-up-ezekwesili/

SUPERPACK:
borrowing heavily, mass retrenchment, budget cut, inflation are all indicators of recession. read the following report pls
.
https://www.bloomberg.com/view/articles/2015-09-02/if-oil-prices-keep-slipping-recession-could-follow
.
www.vanguardngr.com/2012/11/i-pray-for-our-oil-to-dry-up-ezekwesili/

But in our case, our budget was increased. I have read the Bloomberg article and there was no mention of the Saudi in it. Our problem of today is that of common sense. A president of Nigeria is the president of all not a section of the country, the president erred in most of his earlier statements when he was elected, that was when the tone of his tenure was formed. He was sounding like someone going to a war and someone coming to lead. Bush was able to fight wars because there was money made by a Clinton to be spent. You don't go to war without money. You threaten people, jail them on newspaper, jail them without trail, that is a very serious sign of instability and that increases the risk of doing business in such an environment. So foreigners will take their naira and change to dollars before push comes to shove. The economy has always been under management in previous administrations. If you mismanage it, the result is what we are witnessing.
But is never late for the president to change the way he thinks and speaks. The president should preach love, unity and oneness of the nation. Then he will witness prosperity in the land, because am sure he is feeling the heat too.

Taich:

But in our case, our budget was increased.am opening the article.brb

Thats a big mistake by the govt, because the never planned for the NDA oil pipe vandalization.

SUPERPACK:
Thats a big mistake by the govt, because the never planned for the NDA oil pipe vandalization.

At that level of governance,when the destiny of 160 million plus people are in your hands, there are no room for a mistake. So therefore, if the government made a mistake in our budget, all of them involved should resign so that we can have competent people in charge. But that will not happen. Instead the same incompetent people are sitting down and are planning our next year's budget. Then tell me how do make progress when after paying our tax , it goes to incompetent people. Incompetent people making decisions for competent people. I pray for Nigeria.

Taich:

At that level of governance,when the destiny of 160 million plus people are in your hands, there are no room for a mistake. So therefore, if the government made a mistake in our budget, all of them involved should resign so that we can have competent people in charge. But that will not happen. Instead the same incompetent people are sitting down and are planning our next year's budget. Then tell me how do make progress when after paying our tax , it goes to incompetent people. Incompetent people making decisions for competent people. I pray for Nigeria.

actually mistakes in govt is common and nt limited to Nigeria only, Obama also made a mistake by introducing various health care packages that increased Usa's debt by 6 trillion dollars in just 7 years, What matters nw is how to correct them.