mrvitalis:
Yes it is painful but i feel Buhari should allow the naira get her true value and allow market forces to determine price.. Cbn should stop selling dollars cheap... They should sale at the market price

When it cost more to import the to produce here then no one will tell the importers and investors to start producing here and this will create employers

Ever wondered why foreign firms with far much more wage bill and tax produce cheaper goods?? Because we had an over priced currency

grandstar:
The proper economic tool to use is a float of the currency and it must be as clean as possible. That means that the exchange rate must be determined by market forces with little intervention from the government.

The CBN float does not make the cut. It's extremely dirty with the government fixing the rate at below 310. It had earlier dropped to 360 in June but the government intervened and made it less than 310. The huge disparity between the official and black market is the biggest signal that the float has been corrupted.

Buhari's mishandling of the forex market is the primary reason why the economy plunged into a recession. I have written off the economy due to his lamentable understanding of economics and his refusal to allow technocrats do their job.

olamirewaju6190:
how does this helps change price of rice for market??
the pure truth about buhaha and our own economy is dat …a president who could not generate wealth for himself in his private business cannot generate wealth for you through government business. A president who had to take bank loan to buy his nomination form would definitely have to take another bank loan to fulfill his campaign promises!
so Nigerians brace yourself, he don talk already say make Nigerians who get any country way He FT go make dem run o

olamirewaju6190:
how does this helps change price of rice for market??
the pure truth about buhaha and our own economy is dat …a president who could not generate wealth for himself in his private business cannot generate wealth for you through government business. A president who had to take bank loan to buy his nomination form would definitely have to take another bank loan to fulfill his campaign promises!
so Nigerians brace yourself, he don talk already say make Nigerians who get any country way He FT go make dem run o

LoveDecay:


Sidon there China has been manipulating the Yuan value in this same manner for years.

The US does not have such issue because the dollar is in high demand it will always be of high value. Countries like Nigeria et.al have to play hard ball if they want to survive and defending the naira is not much different from defending Nigeria's territorial integrity.

olamirewaju6190:
how does this helps change price of rice for market??
the pure truth about buhaha and our own economy is dat …a president who could not generate wealth for himself in his private business cannot generate wealth for you through government business. A president who had to take bank loan to buy his nomination form would definitely have to take another bank loan to fulfill his campaign promises!
so Nigerians brace yourself, he don talk already say make Nigerians who get any country way He FT go make dem run o

olamirewaju6190:
how does this helps change price of rice for market??
the pure truth about buhaha and our own economy is dat …a president who could not generate wealth for himself in his private business cannot generate wealth for you through government business. A president who had to take bank loan to buy his nomination form would definitely have to take another bank loan to fulfill his campaign promises!
so Nigerians brace yourself, he don talk already say make Nigerians who get any country way He FT go make dem run o

martineverest:
was really surprised to see them devalue their pounds...the recession is really bitting harder in many countries........nigeria is still better compared to others

onatisi:
The bitter truth is This buhari government has created more serious problems for the nation than it met on ground. Now the dullard is going for a whooping $30 billion loan , debt servicing issues will crop in soon. In about 3-4 years time ,Nigeria will be back to the pre obasanjo era

Edoblakky:
Why other currencies are being devalued in relation to the dollar is what I'm yet to comprehend. When will the dollar be devalued in relation to other currencies?

Egypt's reserve was $16B while ours was almost $30B before this administration came in. How come Egypt had a lower reserve in comparison to ours yet their currency had a higher value. How much were we spending to defend our currency and how much was Egypt spending to defend theirs?

grandstar:


Do these countries have a differential between the official and black markets of 50% like Nigeria.

The present policy isn't working. Intervention must respect the market and not ignore. That is the problem.

grandstar:
The proper economic tool to use is a float of the currency and it must be as clean as possible. That means that the exchange rate must be determined by market forces with little intervention from the government.

The CBN float does not make the cut. It's extremely dirty with the government fixing the rate at below 310. It had earlier dropped to 360 in June but the government intervened and made it less than 310. The huge disparity between the official and black market is the biggest signal that the float has been corrupted.

Buhari's mishandling of the forex market is the primary reason why the economy plunged into a recession. I have written off the economy due to his lamentable understanding of economics and his refusal to allow technocrats do their job.

deenee:
Naira is already free floating.


The main reason why there is still a wide margin between the official rate is as follows:

Corrupt politicians who steal money and covert to FX for storage at any cost. These morons now know that it is almost impossible to keep their stolen loot in Naira or even in any bank (all thanks to BVN) so what they do now is steal naira, get the aboki guys that sell dollar to mop up dollar at any cost for them and then they keep the dollar cash stashed away in various secret locations.

Importers that still patronise the black market esp those that import some of the items on the list of banned items that CBN won't allocate dollar for. Top of this list is fish, rice, tomato paste, frozen turkey/chicken furniture just to mention a few. I read a report somewhere (can verify if the data is true though) that Nigerians smuggle raw eggs worth over 8billion monthly through our borders. 30 billion naira worth of fish monthly. I don't even want to start quoting the figure for rice These figure is true are quite alarming. I just can't begin to imagine how much jobs we are creating for the countries where these food items come from. Jobs that should be in Nigeria. Hopefully the govt's efforts at self sufficiency will help reduce this trend.

Finally fuel importers and I pray Dangote's refinery will help solve this as over4 40 percent of our FX needs is channelled towards fuel import.

God bless Nigeria

LorDBolton:


It's about the "source of forex"

Egypt has a thriving tourist industry amongst others, they have a lot of locally produced goods & possibly there closeness to trade partners (oil rich Arab states) helps trade flourish.

Sir EXCEPT for oil, what is our main source of revenue? If i'm not mistaken the custom service generates our highest internal revenue? Abi na FIRS?

Oil is the reason why our naira is crashing

AntiWailer:
Buhari has scattered Egypt too.


Signed,
Wailers.

deenee:
Naira is already free floating.


The main reason why there is still a wide margin between the official rate is as follows:

Corrupt politicians who steal money and covert to FX for storage at any cost. These morons now know that it is almost impossible to keep their stolen loot in Naira or even in any bank (all thanks to BVN) so what they do now is steal naira, get the aboki guys that sell dollar to mop up dollar at any cost for them and then they keep the dollar cash stashed away in various secret locations.

Importers that still patronise the black market esp those that import some of the items on the list of banned items that CBN won't allocate dollar for. Top of this list is fish, rice, tomato paste, frozen turkey/chicken furniture just to mention a few. I read a report somewhere (can verify if the data is true though) that Nigerians smuggle raw eggs worth over 8billion monthly through our borders. 30 billion naira worth of fish monthly. I don't even want to start quoting the figure for rice These figure is true are quite alarming. I just can't begin to imagine how much jobs we are creating for the countries where these food items come from. Jobs that should be in Nigeria. Hopefully the govt's efforts at self sufficiency will help reduce this trend.

Finally fuel importers and I pray Dangote's refinery will help solve this as over4 40 percent of our FX needs is channelled towards fuel import.

God bless Nigeria

sekundosekundo:
God I can't thank you enough. You hv blessed me without measure. I SAY THANK YOU. As I aged with GRACE.

mrvitalis:
Yes it is painful but i feel Buhari should allow the naira get her true value and allow market forces to determine price.. Cbn should stop selling dollars cheap... They should sale at the market price

eejo:
lies Egypt devaluation of it currency is a condition for imf loan it has nothing to do with cbn policy

tinsel:
Some people are still pressing for further devaluation of naira.