Ofunaofu:
One of the most foolish decision ever made by this calamitous Tinubu government is the exchange rate unification nonsense


Instead of putting measures in place to drag the parallel market exchange rate down from 750/dollar to meet the official exchange rate of 460/dollar, the government move the official exchange rate up to meet the parallel exchange rate masking it as exchange rate unification.


After he must have removed subsidy from petrol without any single local refining capacity


How did we get here as a Nation

orohbirodeysmel:


If I have never defrauded you or anyone close to you or anyone here on Nairaland...
may your accursed soul rot in hell.
May your pains be excruciating at your death bed.
May you drown in the deep blue Mediterranean sea...
May sharks feast on your corpse....
May your kids and future generations know nothing else but poverty...

Get out of my mentions demented bastard. keep moroning, while I make my money...just closing gold trade to come here to see your useless mention. Check date, and time ebola👇👇👇👇👇

Treadway:


https://www.bloomberg.com/news/articles/2023-08-09/nigerian-naira-drops-to-record-as-black-market-dollar-rate-soars

We warned and warned, but y'all didn't listen. The chimps up there have learnt nothing from 2015/2016 when Buhari made this same shitty call to remove subsidy and float naira in one fell swoop in a country like Nigeria. Now they have successfully FAILED, yet again. A move from officiall/parallel rates of 450/720 to 750/1000(in a few days) is a very successful FAILURE. Smh

linearity:


Chief Economist,

What should they have done differently to drag the black market rate to be at par with the official rate?

The true and accurate Naira rate is the black market rate, that is the rate determined by the forces of supply and demand.

The so-called ‘official rate’ was an artificial one prop-up by Government subsidy to enrich a few persons at the top who get cheap money from government and go sell it.

Nigeria problem is endemic and cannot be solved overnight, we gotten into this over many decades and even if you start getting it, it will take years if not decades to dig ourselves out.

The first and foremost thing is to totally rid out corruption, introduce public firing squad and zero tolerance on corruption especially on public officials.

The trial should just be three months, if you can’t give account of your stewardship, it should be firing squad straight.

After establishing that, we should then start looking at good policies.

Zain007:

Which broker are you making use of for your trades? Thanks

tesppidd:
Till today no palliatives.

They say we should tighten belt but Tinubu is increasing ministers because he wants to compensate people.

Our representatives in Government at the National Assembly are receiving stress allowances for staying extra 2 weeks inside AC and be doing the very stressful work of shouting Aye and Nay.

Thunder fire anybody telling us Tinubu has hit the ground running, rather he hit the ground and landed on quicksand.

Zain007:

Which broker are you making use of for your trades? Thanks

orohbirodeysmel:


OctaFX

Treadway:


https://www.bloomberg.com/news/articles/2023-08-09/nigerian-naira-drops-to-record-as-black-market-dollar-rate-soars

We warned and warned, but y'all didn't listen. The chimps up there have learnt nothing from 2015/2016 when Buhari made this same shitty call to remove subsidy and float naira in one fell swoop in a country like Nigeria. Now they have successfully FAILED, yet again. A move from officiall/parallel rates of 450/720 to 750/1000(in a few days) is a very successful FAILURE. Smh

VeeVeeMyLuv:

Bro you are good

Have you exited the trade? It is still going up. Though CPI is coming up 1.30 pm. Better to exit

orohbirodeysmel:


Am not a bro o🙄✌️

VeeVeeMyLuv:

Wow are you serious?

It is rare to find female Forex traders. Really amazing. Nice to meet you.

Check this thread: https://www.nairaland.com/7504926/forex-trade-alerts-season-23

othermen:
When employees of the Central Bank of Nigeria (CBN) themselves engage in speculation, how can they effectively engineer interventions that truly serve the public interest? In the absence of a well-considered game theory approach, is it reasonable to expect that adversaries of the Naira wouldn't take actions to counteract the objectives of such interventions?

Consider individuals in the diaspora who start as students but, upon gaining employment abroad, benefit from the depreciation of the Naira, making them wealthier. Similarly, individuals within Nigeria who hold well-funded foreign accounts may not find it advantageous for the Naira to appreciate. Even employees in commercial banks, especially those in foreign exchange roles and upper management, have profited substantially from the Naira's decline. With their personal funds stored in dollars, it's unlikely they would support policies aimed at strengthening the Naira, as such measures might diminish their personal wealth. Instead, they tend to hoard available dollars or purchase them, deliberately creating scarcity and driving up demand, which in turn elevates the dollar's value, allowing them to capitalize on this difference in the black market.

The inability of the government to stabilize the exchange rate implies a lack of economic stability for international trade. And yes they know that what is required is an economic environment that fosters a steady demand for the Naira, yet they continue on a path of abject ignorance which is mostly pretentious as to the means of accomplishing such.

The solution may not lie in adhering to academic suggestions such as using interest rates to stabilize the Naira's value or relying on non-existent savings from subsidy removal to bolster our reserves. Instead, we need to address the issue of conflict of interest, reconsider the Dutch auction system we employ, explore alternatives to the dollar (Why would we continuously rely on the dollar when the economic conditions between Nigeria and the USA significantly differ, causing undue strain on the exchange rate due to these disparities?) , again, explore alternatives to the dollar, and develop policies that better suit Nigeria's unique economic circumstances. This includes recruiting talented minds from the bureau de change sector and compensating them generously, thereby aligning their interests with a stable Naira. Collaborating with capable experts abroad is essential. The CBN should be transparent and institute mechanisms for employees to disclose their conflicts of interest. Furthermore, establishing a body comprised of astute bureau de change operators, accomplished CFA charter holders, seasoned economists, and proficient professional accountants with expertise in the FX market is necessary to engineer effective policies.

While we build such a team, we must recognize that the knowledge possessed by this particular group is informed by perspectives and insights originating from perhaps our adversaries, who just by having the interest of their country at heart becomes our adversary. Acknowledging such will help mitigate a possible situation where the knowledge held by CFA charter holders as a result of their certification is notably influenced by the finance and economic orientations prevailing in the Western sphere to be in their service. Hence, an alternative category of developmental economists and sociologists, who experts in research, should evaluate different options beyond the existing systems of knowledge. I believe that the existing systems often require we apply established knowledge in a manner that further disadvantages us.

Our Central Bank of Nigeria (CBN) should serve as a hub for researching alternative approaches, focusing on evaluating studies that diverge from conventional Western textbooks. It's disappointing that despite the resources at the disposal of Dr. Michael Adebiyi, the Director of CBN's Research Department, only one or two studies with similar conclusions—centering on domestic market focus to impact the exchange rate—exist.

The CBN must also fund studies that explore potential international markets for local products and examine how current institutional knowledge serves the interests of those seeking to exploit nations like ours so as to build mitigations. Instead, ‘No’ we want to be excited in the emergence of smooth talkers and private profit oriented achievers like Taiwo Oyedele, who however his best interest operates in a mind framework not necessarily in our interest.
Even with Okonjo Iweala's Harvard degree and international expertise, her knowledge might not fully align with safeguarding our independence from both international and local economic disruptions.

The CBN needs to cultivate a suitable mindset and ideology. So, offer grants to bright members in Nigerian universities, for research aimed at alternative economic development frameworks. So, do away with recruitment practices plagued by cronyism and nepotism for over a decade that has forced our most talented minds into the hands of our adversaries.

In essence, achieving a more stable Naira requires a holistic approach that addresses conflicting interests, revisits existing systems, and taps into the expertise of professionals from various fields, while considering evaluating scopes beyond the narrow “Essential Economics or Advanced/Strategic Financial Management or even a CFA which emphasizes more of portfolio management or private wealth management that may be an adversary to the knowledge required for the advancement of our national economy.

Only through such comprehensive efforts can the CBN work towards a fair and equitable economic landscape for Nigerians. Not the existent approach that makes a class in middle class pray that the Naira is entirely jettisoned for perhaps Yuan, and yet another class prays that the Naira continue to weakens.

Ofunaofu:
One of the most foolish decision ever made by this calamitous Tinubu government is the exchange rate unification nonsense


Instead of putting measures in place to drag the parallel market exchange rate down from 750/dollar to meet the official exchange rate of 460/dollar, the government move the official exchange rate up to meet the parallel exchange rate masking it as exchange rate unification.


After he must have removed subsidy from petrol without any single local refining capacity


How did we get here as a Nation

Treadway:


https://www.bloomberg.com/news/articles/2023-08-09/nigerian-naira-drops-to-record-as-black-market-dollar-rate-soars

We warned and warned, but y'all didn't listen. The chimps up there have learnt nothing from 2015/2016 when Buhari made this same shitty call to remove subsidy and float naira in one fell swoop in a country like Nigeria. Now they have successfully FAILED, yet again. A move from officiall/parallel rates of 450/720 to 750/1000(in a few days) is a very successful FAILURE. Smh

AustineE1:
Welcome to the world of Tinubonomics...the world bank and the west now has a puppet in place,watch how Nigerian economy will be ruined and keep going down the drain until naira will be as worthless as tissue paper. All you get from your government will be economic jargons and semantics.

tesppidd:
Till today no palliatives.

They say we should tighten belt but Tinubu is increasing ministers because he wants to compensate people.

Our representatives in Government at the National Assembly are receiving stress allowances for staying extra 2 weeks inside AC and be doing the very stressful work of shouting Aye and Nay.

Thunder fire anybody telling us Tinubu has hit the ground running, rather he hit the ground and landed on quicksand.

promise4040:
Idiot like you! The rate of crime in lagos and ogun state by yorubas alone is enough for God to destroy them with fire and brimstone.

Ofunaofu:
One of the most foolish decision ever made by this calamitous Tinubu government is the exchange rate unification nonsense


Instead of putting measures in place to drag the parallel market exchange rate down from 750/dollar to meet the official exchange rate of 460/dollar, the government move the official exchange rate up to meet the parallel exchange rate masking it as exchange rate unification.


After he must have removed subsidy from petrol without any single local refining capacity


How did we get here as a Nation

JasonNOTStatham:
I really don't understand how a country can have two exchange rates, regardless of that... Is it possible to undo the unification? even if it's 500 a USD and 1000 a USD each things are expensive.

bjdon:

Every Niara and Kobo spent on your education was a total waste!
How exactly is a govt supposed to strengthen the currency in the way you propose? Do you even understand how the FX market works? The Niara is weak because we IMPOTRT practically everything. Not only goods but now also services like Education (Parents paying school fees for wards abroad) and Health services (Paying for treatment in US, Europe, India). The former parallel market was nothing but a big scam, where connected individuals were getting FX at an artificially low rate (Subsidized by you and me) and then selling it on at the Black Market. What you see know is the TRUE value of Niara set by demand and supply.
There are winner and losers here, importers will suffer but exporters will enjoy, and that is what we need. Also foriegn investors will be encouraged to invest as their Fx will go further. I know a lot of Nigerians in the diaspora who are now looking at coming to invest in real estate and the stock market, as they money will now go further.
Nigerians must understand that a bit of pain is essential to reform this country. I say that as somebody who detests Tinubu, but the truth is if it's Tinubu, PO, or Atiku, Nigerians would still need to undergo some pain to get the country on the right track.

Revolva:
I bought just now 940 per dollar morning ..in black market abonki told me its now 970 dis evening ....

They said by saturday morning it make hit 1k per dollar

Which way nigeria ...which kind wahala be this

Treadway:


https://www.bloomberg.com/news/articles/2023-08-09/nigerian-naira-drops-to-record-as-black-market-dollar-rate-soars

We warned and warned, but y'all didn't listen. The chimps up there have learnt nothing from 2015/2016 when Buhari made this same shitty call to remove subsidy and float naira in one fell swoop in a country like Nigeria. Now they have successfully FAILED, yet again. A move from officiall/parallel rates of 450/720 to 750/1000(in a few days) is a very successful FAILURE. Smh

Yankee101:
We don’t export much besides a centralized oil market

So this is combined poverty loaded through devaluation and hyper inflation coupled with low wages and outright low/unemplyment