AstraDroid:


Not really. Naira will loose value against USD rapidly. The reason being that many of those who stashed up cash for electioneering and vote buying will not just take the naira back to bank because EFCC and CBN will be monitoring inflow especially for those who have minted the naira.

So the easy strategy is to buy USD and stash them pending when the new notes are in circulation to buy back for the campaigns

The Law of Demand and Supply will lead to scarcity of the dollar. And a commodity is scare, the value goes up.

Those whose businesses pay in USD will be Tin Gods in the next few months leading to April because the system resets again.

Where will they get the USD from?
Crypto?

Mynd44:

This is distressing to those who have stashed up large amounts in cash as they will be faced with the trouble of replacing the cash.

CBN and thieves playing chess

A sledge hammer scenario.

Checkmate

Reyhzor:


I said it's the last problem we've now.
You only talked about advantage, you're not checking the cost of printing New notes and destroying the old ones

Nooo na, These are reoccurring cost for the CBN already. They print new notes and destroy old ones intermittently before now, why you no understand this thing na...one of the fundermental problems to solve right now is to give the economy a boost using this kind of fiscal policy of redesigning the currency.

Not all old notes will make it back to the CBN for exchange...so they save a lot from destroying such notes whose liability remains with the owners that failed to bring them for exchange/destruction.

Hence a transferred liability for a legal tender is firmly established on anyone holding such note beyond the stipulated time, remember nobody owns the currency except the government...this is the only legal means to make the owners of such note pay if they fail to turn them in... Which will eventually happen. So a bumper harvest awaits the government, even though they won't emphasis this as the main reason.

New notes reduces burden of intermittent printing, In the long run they save costs on printing any notes of that denominations for months because they are brand new notes

Old notes will no longer be acceptable from 31 January

AstraDroid:


Not really. Naira will loose value against USD rapidly. The reason being that many of those who stashed up cash for electioneering and vote buying will not just take the naira back to bank because EFCC and CBN will be monitoring inflow especially for those who have minted the naira.

So the easy strategy is to buy USD and stash them pending when the new notes are in circulation to buy back for the campaigns


The Law of Demand and Supply will lead to scarcity of the dollar. And a commodity is scare, the value goes up.

Those whose businesses pay in USD will be Tin Gods in the next few months leading to April because the system resets again.

The bolded still won't work as expected. Whether they like it or not, the money is going back to the bank as deposits. Remember dollar is scarce already... There's a limit o how much dollar can be spent from an account . There's also a limit to how much in dollars banks can give out.

These people stashed multi-millions... Some buried this money. Where would the dollar bills - to serve them - come from?

So dey one copy Uk. Make dey put bubu face

VeryWickedMan:



Anybody wey stash up naira notes suppose wear chain for Yaba left.

certain cash are not taken to the banks, especially those stolen ones. But they're mostly in hard currency though.

This move might be to frustrate such people and force them to deposit or lose the money.

Buhari did something like this because of Umaru Dikko.

And how is it going to turn around our economic misfortunes? Will redesigning the currency restore it value?

Kasssandra:


You didn't answer @iFESTAC680

@kassandra, how do you feel when you answer questions with questions?

iFESTAC680:

@kassandra, how do you feel when you answer questions with questions?

Back at you.

Kenmatt:
Emefele why didn't you redesign the one hundred naira note that this administration has failed to print new note ever since her administration.

It seems the claim that it's intentional the PMB has refused to reprint it simply because it doesn't feature Arabic writing.

However, I am not a religious fanatic and I am not an ethnic extremist.

But truth is to be told in most cases.

Na this one tire me pass.

Kasssandra:


Back at you.

I see!! this is quite impressive. You're very logical in your expression

SamuelLoch:


The bolded still won't work as expected. Whether they like it or not, the money is going back to the bank as deposits. Remember dollar is scarce already... There's a limit o how much dollar can be spent from an account . There's also a limit to how much in dollars banks can give out.

These people stashed multi-millions... Some buried this money. Where would the dollar bills - to serve them - come from?

Exactly, there is a limited volume of dollars in the economy, so the price of the scarce dollars will go UP and except you fly in more dollars, which is not likely, then naira keeps losing value in comparison.

I feel for Obi, cos production from consumption is great, but the artificial inflation which will occur will lead to some level of discomfort, if he works extra hard, the change will be noticed in his second term, yet the old oligarchs will make him extremely unpopular in an illiterate country, but he will be doing the right thing, and in the end, we will be greater than we are now.

AlphaTaikun:

Where will they get the USD from?
Crypto?

You do not earn USD ?

hmmmm....redesigning the naira note is now our problem in this country

Won't be surprised if the new notes have Arabic littered all over it.

AstraDroid:


You do not earn USD ?

I earn primarily in USD... Lol.

I was just asking where those folks in Nigeria will get there USD from at such a short notice?

All the best.

AlphaTaikun:

I earn primarily in USD... Lol.

I was just asking where those folks
Nigeria will get there USD from at such a short notice?

All the best.

They buy from BDC

Instead make dem. Improve d Country economy and infrastructure dem. Dey change currency design which will cost money to do

Cjrane2:


Why would anyone stash Naira of all currencies? A currency that depreciates daily? I mean N100k can buy you a TV set in the morning and by the next morning, you will need N150k for the same TV! So why should you save your money in such unstable currency?

I found myself in the situation you described above.

Why keep naira sitting in your account when it depreciates daily?

AstraDroid:


Exactly, there is a limited volume of dollars in the economy, so the price of the scarce dollars will go UP and except you fly in more dollars, which is not likely, then naira keeps losing value in comparison.

I feel for Obi, cos production from consumption is great, but the artificial inflation which will occur will lead to some level of discomfort, if he works extra hard, the change will be noticed in his second term, yet the old oligarchs will make him extremely unpopular in an illiterate country, but he will be doing the right thing, and in the end, we will be greater than we are now.

The panic to remit the stashed up Naira for dollar is one of the expected outcomes of the redesign by CBN. Why should majority of the citizens abandon their domestic currency just to hedge on the dollar thereby make it scarce and more valuable? Nigerians just like reacting to panic, which eventually cost us more.
Well, it is expected that they fly in some more dollars just to entice their targets

If it's eventually Obi, I really feel for him too because the people would still lament of his incompetence even if he works very very very extra hard. These things aren't magic actually, but we want him to break the jinx.

Stabilizing the economy by becoming the source of raw materials to producing nations seems to be a cheap way to break through the foreign markets as a more producing/less consuming nation because it's not easy to rise and become a producing nation. Not just that but a nation that other nations have to trade their currency with on a daily.

What do you think?

SamuelLoch:


The panic to remit the stashed up Naira for dollar is one of the expected outcomes of the redesign by CBN. Why should majority of the citizens abandon their domestic currency just to hedge on the dollar thereby make it scarce and more valuable? Nigerians just like reacting to panic, which eventually cost us more.
Well, it is expected that they fly in some more dollars just to entice their targets

If it's eventually Obi, I really feel for him too because the people would still lament of his incompetence even if he works very very very extra hard. These things aren't magic actually, but we want him to break the jinx.

Stabilizing the economy by becoming the source of raw materials to producing nations seems to be a cheap way to break through the foreign markets as a more producing/less consuming nation because it's not easy to rise and become a producing nation. Not just that but a nation that other nations have to trade their currency with on a daily.

What do you think?

This is the normal approach for any country that wants to reduce the pains while altering consumer economic model towards production models, but the 4 year political terms are too short to ease the discomfort while transitioning the Economic Model to pro-Productivity. So I expect Obi to simply stop pleasing me and you, and go head on, in fully implementing his desired change from Day 1. The worst thing is that our country is broke. I expect nothing less than magic and miracles from Obi. If I was Obi, I wouldnt have contested, cos this is a messed up economy at the moment and only a miracle will save us all from what these illiterate and powerful maniacs have done.

I am prepared to face the hardship so my kids can have a better future, so there is no point of following the roadmap of transitioning us from Consumer to Raw Material exporters to Production. Lets jump the middle step and import machineries that produce the manufacturing machineries then reinvent manufacturing.

It is very hard, but we must and should face it.

AstraDroid:


This is the normal approach for any country that wants to reduce the pains while altering consumer economic model towards production models, but the 4 year political terms are too short to ease the discomfort while transitioning the Economic Model to pro-Productivity. So I expect Obi to simply stop pleasing me and you, and go head on, in fully implementing his desired change from Day 1. The worst thing is that our country is broke. I expect nothing less than magic and miracles from Obi. If I was Obi, I wouldnt have contested, cos this is a messed up economy at the moment and only a miracle will save us all from what these illiterate and powerful maniacs have done.

I am prepared to face the hardship so my kids can have a better future, so there is no point of following the roadmap of transitioning us from Consumer to Raw Material exporters to Production. Lets jump the middle step and import machineries that produce the manufacturing machineries then reinvent manufacturing.

It is very hard, but we must and should face it.

Solid points!
I'm just really thinking about the 4yrs or 8yrs...
Setting up companies... Building/acquiring storage facilities, warehouses, workshops... Then importing machineries, recruiting skilled-experts & training, proposing multinational deals & fulfilment, importing raw materials, manufacturing, testing, and launching. Then, finally, trading!

If it were a private company, it would have been easier to work with a time frame but it's not. There would still be other pressing matters too

It would really bother Nigerians that he starts and couldn't launch something at the end of the day. That was why I said raw materials - the cheapest method

Well, let's see. The man got the vision, he definitely knows how to make it all workout in the borrowed time.

SamuelLoch:


Solid points!
I'm just really thinking about the 4yrs or 8yrs...
Setting up companies... Building/acquiring storage facilities, warehouses, workshops... Then importing machineries, recruiting skilled-experts & training, proposing multinational deals & fulfilment, importing raw materials, manufacturing, testing, and launching. Then, finally, trading!

If it were a private company, it would have been easier to work with a time frame but it's not. There would still be other pressing matters too

It would really bother Nigerians that he starts and couldn't launch something at the end of the day. That was why I said raw materials - the cheapest method

Well, let's see. The man got the vision, he definitely knows how to make it all workout in the borrowed time.

Nigeria needs at least 20 yrs of 247 hands-on Economic, Social and technical engineering to become a Tier 1 Economy.

Bros, there is no way Peter Obi can complete the revamping of the Economy in 8yrs, but he is the best start up team player you have among those contesting.

Please note that I do not have a PVC and will not vote. I am not interested in what is going on in Nigeria apart from keeping my Empire safe.

I wish you the best, cos I am tired of the system. I am merely suggesting and appealing to those who care about Nigeria that Obi loves Nigeria, I do not. I do not care.

There's already a high inflation rate, and this redesigning will give the CBN control of our hard earned money, limiting our control of the use of money(limited withdrawals), which will definitely lead Nigeria into a depression...

This is something we are not used to and it will lead to many more bad things, even with the flooding and food scarcity, don't be surprised to see a high theft rate.

johnydon22:
Why?

.

Igboslayer:
They will actually save money because not all the currency in circulation will be exchanged and they can have a tighter control of the Naira In circulation to help stem inflation .

How far now