.

the talk too much, make he remove the tin make we see wetin go happen!

First of all, let us be clear :

Fuel is not subsidised. Meaning that consumers are already paying per litre more than it cost Nigeria to produce fuel.

Why the government is being so deceitful by calling fuel price increases, "subsidy removal" is beyond me.

Perhaps they think by calling it "subsidy removal", there would be less protest as presumably people would believe that government is simply withdrawing a "gift" (the supposed subsidy)  they had given us .

Well during his era, Obasanjo continually hiked fuel prices (upto  N75 /litre)  under the same pretence of "subsidy removal" and said he would use the money on "other things". In the end, he could not show what he use all the revenue realised for.

And the same old fool Obj  is here lecturing GEJ not to "remove subsidy" even though current fuel prices at N65/litre is less than what he had imposed on us before he left office.
This old fool Obasanjo has no shame!

The truth is that IMF have instructed our government to impoverish Nigerians further and the fuel hike is going to go hand in hand with the devaluation of the Naira. That is the real reason for the price hike, so do not be expecting any revenue from it to be available to be spent on "other things".

You would realise that what devaluation does is to cause price of almost eveything to increase (rise in inflation). Since the government does not compensate the masses with an equivalent adjustment or rise in wages, what it  effectively means is that everybody effectively takes a massive pay cut (mass impoverishment).

So since it seems that government is proposing N140 /litre , this would indicate that the devaluation would eventually be about 50% - which means price of most things is likely to double and the exchange rate could reach $1=N320

Fellow Nigerians prepare for the latest round of our impoverishment!!

God bless us all and Nigeria !

Reggie2:

Something extraordinary must happen for this country to move forward. Everyone's life appear to dangle upon oil, yet some countries do not possess it. Let subsidy go! If fuel dries up, are we not going to live? Do you abort a pregnancy for fear of what the child will become? Jonathan and his cabinet have a mandate, posterity is theirs whether good or bad. Obj ought to shut up because his best was not good enough for Nigeria.

Reggie2:

Past rulers of that country forced many of us on self imposed exile. No one likes likes to live away from home.

TRue talkssss

Subsidy should go.

“Chief Obasanjo did not mince words in telling the President to drop his plan of removing fuel subsidy. He told the president that the nation already has enough problems to contend with, and removing fuel subsidy at this time could compound the problems,” the source said.

The problems he OBJ massively contributed on and forced on the masses. He should go away joorr.

They say, if our 4 refineries are working at full capacity, there wont be any need for subsidy whatever.
Now, i ask- why aint the govt talking about repairing these four refineries?
will it cost a trillion dollars to get them working?
I remember the sound pro arguments for SAP before IBB launched it. Naira is where it is today becos of that decision.

rexokemute:

Nigeria is ranked as the 129th country in the world were fuel is cheapest.

Also see this link

http://www.nationmaster.com/graph/ene_gas_pri-energy-gasoline-prices

Menh its the other way round, Nigeria is the 129th country where fuel is more expensive

kayci_d77:

Menh its the other way round, Nigeria is the 129th country where fuel is more expensive

Your brain is perfectly working, how comes you grasp this measurement?

If OBJ agrees to join the masses in protest if the subsidy is eventually removed, then I will believe he's a changed man.

OBJ had the opportunity to set the records straight, but because of selfish interest (third term agenda) he failed. The same Iweala that advised him is the one advising GEJ. Is there something she told OBJ that she did not tell GEJ. I appreciate OBJ for his concern but the truth is, time has changed. Incurring debt to run the budget is neo-colonialism. Removal of fuel subsidy is a better option.

GenBuhari:

First of all, let us be clear :

Fuel is not subsidised. Meaning that consumers are already paying per litre more than it cost Nigeria to produce fuel.

Why the government is being so deceitful by calling fuel price increases, "subsidy removal" is beyond me.

Perhaps they think by calling it "subsidy removal", there would be less protest as presumably people would believe that government is simply withdrawing a "gift" (the supposed subsidy)  they had given us .

Well during his era, Obasanjo continually hiked fuel prices (upto  N75 /litre)  under the same pretence of "subsidy removal" and said he would use the money on "other things". In the end, he could not show what he use all the revenue realised for.

And the same old fool Obj  is here lecturing GEJ not to "remove subsidy" even though current fuel prices at N65/litre is less than what he had imposed on us before he left office.
This old fool Obasanjo has no shame!

The truth is that IMF have instructed our government to impoverish Nigerians further and the fuel hike is going to go hand in hand with the devaluation of the Naira. That is the real reason for the price hike, so do not be expecting any revenue from it to be available to be spent on "other things".

You would realise that what devaluation does is to cause price of almost eveything to increase (rise in inflation). Since the government does not compensate the masses with an equivalent adjustment or rise in wages, what it  effectively means is that everybody effectively takes a massive pay cut (mass impoverishment).

So since it seems that government is proposing N140 /litre , this would indicate that the devaluation would eventually be about 50% - which means price of most things is likely to double and the exchange rate could reach $1=N320

Fellow Nigerians prepare for the latest round of our impoverishment!!

God bless us all and Nigeria !

I just read through your write up. However, I'll like to correct some misconceptions you've made. Basic macroeconomics is the basis of my argument. Increase in the price of fuel = Increased Inflation which leads to the CBN putting in place monetary policy to curb high inflation as a result of deregulation. The monetary policy action by the CBN would require reducing money liquidity in the economy by increasing interest rates and making it  expensive to borrow. Fall in liquidity for the common man will mean more hardship. God helps us revolution next.
There are 2 major groups in any society, the nationalist and the reformists. Let me put it this way, the nationalists fight for the state to be more powerful and for the rule of law to apply to all. They want competition in all markets except for markets dominated by the market. Reformists prefer a laissez-faire economy where public companies are sold off and the ruling elite are above the law. Buhari heads the nationalists and Tinubu/OBJ the reformists though they're of different parties but they share the same ideology.
The reformists are trying to make the labour market competitive so hiking prices would mean shrinking of the upper middle class, increasing the lower middle class as well as further increase of the poor class. What this effectively does in 2013 is to reduce the recurrrent expenditure budget and probably increase the capital budget but since the reformists in power since 1999 except for a brief nationalist reign(Yar' Adua) have always increased the allowances of their croonies, the recurrent exp. budget is always larger than capital expenditure.

Some people don't understand the meaning of removing fuel subsidy.
Removing subsidy does not mean stopping fuel importation.
Importers will still import, increase the price, make more money at the expense of the masses. The 1.4 Trillion naira that is supposed to go for subsidy will be LOOTED as usual, why those in support of subsidy removal will be waiting endlessly in pains for the MAGIC infrastructural developement that will CHANGE the LIVIES of the people.
Mr President, Govt can no longer pay for subsidy and you think the masses can pay the increase plus the Inflation that will follow. The thought of building and maintaining our local Refinaries is not in your agenda because you are into the OIL BUSINESS as well. We are waiting sir.

@sleekman
I do not see the misconceptions you refer to.

sleekman:

I just read through your write up. However, I'll like to correct some misconceptions you've made. Basic macroeconomics is the basis of my argument. Increase in the price of fuel = Increased Inflation which leads to the CBN putting in place monetary policy to curb high inflation as a result of deregulation. The monetary policy action by the CBN would require reducing money liquidity in the economy by increasing interest rates and making it expensive to borrow. Fall in liquidity for the common man will mean more hardship. God helps us revolution next.
There are 2 major groups in any society, the nationalist and the reformists. Let me put it this way, the nationalists fight for the state to be more powerful and for the rule of law to apply to all. They want competition in all markets except for markets dominated by the market. Reformists prefer a laissez-faire economy where public companies are sold off and the ruling elite are above the law. Buhari heads the nationalists and Tinubu/OBJ the reformists though they're of different parties but they share the same ideology.
The reformists are trying to make the labour market competitive so hiking prices would mean shrinking of the upper middle class, increasing the lower middle class as well as further increase of the poor class. What this effectively does in 2013 is to reduce the recurrrent expenditure budget and probably increase the capital budget but since the reformists in power since 1999 except for a brief nationalist reign(Yar' Adua) have always increased the allowances of their croonies, the recurrent exp. budget is always larger than capital expenditure.

If eventually this boy called Jonathan removes the subsidy, are nigerians ready for resistance in any form?

@GenBuhari Sorry I didn't finish that. Reduced liquidity essentially means a stronger currency and an increased FDI(Foreign Direct Investment) due to foreign investors having d impression that there is a better investment climate in Nigeria. Removing d so called subsidy makes Nigerian economy attractive to foreign investors. Dat is why OBJ increased d price of fuel so many times so as to grow the external reserves and made d economy much more attractive externally. Fuel price increase is a form of contractionary fiscal policy by govt. It's also meant to create an artificial economic environment to show big time investors the d economy is in redistribution and dat d multiplier effects of monetary policy of d CBN would make earnings on their investment worthwhile.

@sleekman
Obasanjo is a big theif any action he took was to help him loot more or to please his IMF masters.
I do not agree with you, because fuel is not subsidised, fuel prices are increased because when Naira is devalued, prices of everything needs to increase including fuel. But government wants to be deceitful because they want us to continue paying the same amount on fuel (dollar value ) without necessarily adjusting wages to take account of the devaluation of the Naira. Hence they are calling subsidy removal.

The problem stems from the unjustifiable devaluation of Naira. It is criminal!

sleekman:

@GenBuhari Sorry I didn't finish that. Reduced liquidity essentially means a stronger currency and an increased FDI(Foreign Direct Investment) due to foreign investors having d impression that there is a better investment climate in Nigeria. Removing d so called subsidy makes Nigerian economy attractive to foreign investors. Dat is why OBJ increased d price of fuel so many times so as to grow the external reserves and made d economy much more attractive externally.

I agree with u that there is an initial inflation but d inflation is shortlived because of CBNs actions 2 curb inflation. It's all about the multiplier effects of these actions. Once money is reduced from circulation and aggregate demand falls the govt profits big time. Once a new market equilibrium is reached the value of local currency becomes stronger. This is why d IMF is against the deregulation. I'm a fan of Buharinomics and I know Buhari would have made d refineries work to curb d exchange rate increase but then given that recurrent expenditure is 77% of D budget even Buhari would allow d inflation to bring down recurrent expenditure to about 40-50% of D budget. In order that GEJ be re-elected he shot himself by allowing 18k minimum wage. When u consider what d political class is earning and d civil servants then u see d need for allowing inflation to set in.

^
I am also a fan of Buharimonics.

Buhari rejected devaluation of the Naira

Buhari never increased fuel prices

Buhari never took any loans from IMF

Under Buhari inflation fell from 39% to 3%

Our National debt was paid and we had decent quality of life and real spending power.

All this ended when Babangida overthrew Buhari

What a shame!

Wow this is 2011 now we are in 2020... It's funny how life moves

kokoA:


Former President Olusegun Obasanjo at the weekend told President Jonathan to forget the idea of ending fuel subsidies for now so as to allow stability to reign in the country, sources told Daily Trust.
Obasanjo met Jonathan at the Presidential Villa in Abuja on Saturday at the instance of the president, apparently in continuation of his series of consultations over the plan to remove fuel subsides beginning from January.

A source who is privy to the meeting told Daily Trust that the former president cautioned Jonathan that removing fuel subsidies could ignite chaos in the country.

Jonathan last week announced the Federal budget for 2012, making no provision for fuel subsidies, apparently in line with his plan to scrap the support regime. But finance minister Ngozi Okonjo-Iweala said on Wednesday that the president was still holding consultations on the matter.

Labour unions and civil society groups have been warming up for confrontation with the government in the event the subsidy is cut. The Nigeria Labour Congress is to meet tomorrow to decide on ways of staging protests.

But the president seems bent on implementing the plan, arguing that cutting fuel subsidies would free up more than a trillion naira yearly for infrastructure development.

During their meeting, Obasanjo, according to our source, told Jonathan that subsidy removal may destablise the nation and the resultant trouble may be too much for the president to handle. He urged the president to put the plan on hold.

Daily Trust could not confirm what the president’s response was.

“Chief Obasanjo did not mince words in telling the President to drop his plan of removing fuel subsidy. He told the president that the nation already has enough problems to contend with, and removing fuel subsidy at this time could compound the problems,” the source said.

Presidential spokesman Reuben Abati did not reply to a text message sent to him seeking for comments yesterday.

A source close to Obasanjo confirmed that the two leaders met but said the meeting was held behind closed doors and so “nobody can say what they really discussed.”

It was not clear why Jonathan invited Obasanjo for consultations, having earlier rejected the former president’s roadmap for peace with the Boko Haram sect.

Obasanjo in September offered Jonathan a plan to end the Boko Haram violence, which included amnesty and compensation for the sect, but Jonathan has not implemented the plan.

Our source said an angry Obasanjo has not visited the Villa since that time until Saturday.

President Jonathan had over the past months met separately with Federal lawmakers, civil society groups, private sector operators, student unions, political parties and media owners to try to persuade them to buy into his subsidy ending plan.

His meeting with labour unions billed for last week Monday was postponed because of the absence of the Trades Union Congress. It is due to hold this week.

http://www.dailytrust.com.ng/index.php?option=com_content&view=article&id=150276:obasanjo-to-jonathan-dont-remove-subsidy&catid=2:lead-stories&Itemid=8

GenBuhari:
^
I am also a fan of Buharimonics.

Buhari rejected devaluation of the Naira

Buhari never increased fuel prices

Buhari never took any loans from IMF

Under Buhari inflation fell from 39% to 3%

Our National debt was paid and we had decent quality of life and real spending power.

All this ended when Babangida overthrew Buhari

What a shame!

Are you still of the same opinion , how have u enjoyed 5 years of Buharinomics

infofta:
Some people don't understand the meaning of removing fuel subsidy.
Removing subsidy does not mean stopping fuel importation.
Importers will still import, increase the price, make more money at the expense of the masses. The 1.4 Trillion naira that is supposed to go for subsidy will be LOOTED as usual, why those in support of subsidy removal will be waiting endlessly in pains for the MAGIC infrastructural developement that will CHANGE the LIVIES of the people.
Mr President, Govt can no longer pay for subsidy and you think the masses can pay the increase plus the Inflation that will follow. The thought of building and maintaining our local Refinaries is not in your agenda because you are into the OIL BUSINESS as well. We are waiting sir.

Your buheri has removed subsidy and still not fixed a single refinery

GenBuhari:
First of all, let us be clear :

Fuel is not subsidised. Meaning that consumers are already paying per litre more than it cost Nigeria to produce fuel.

Why the government is being so deceitful by calling fuel price increases, "subsidy removal" is beyond me.

Perhaps they think by calling it "subsidy removal", there would be less protest as presumably people would believe that government is simply withdrawing a "gift" (the supposed subsidy)  they had given us .

Well during his era, Obasanjo continually hiked fuel prices (upto  N75 /litre)  under the same pretence of "subsidy removal" and said he would use the money on "other things". In the end, he could not show what he use all the revenue realised for.

And the same old fool Obj  is here lecturing GEJ not to "remove subsidy" even though current fuel prices at N65/litre is less than what he had imposed on us before he left office.
This old fool Obasanjo has no shame!

The truth is that IMF have instructed our government to impoverish Nigerians further and the fuel hike is going to go hand in hand with the devaluation of the Naira. That is the real reason for the price hike, so do not be expecting any revenue from it to be available to be spent on "other things".

You would realise that what devaluation does is to cause price of almost eveything to increase (rise in inflation). Since the government does not compensate the masses with an equivalent adjustment or rise in wages, what it  effectively means is that everybody effectively takes a massive pay cut (mass impoverishment).

So since it seems that government is proposing N140 /litre , this would indicate that the devaluation would eventually be about 50% - which means price of most things is likely to double and the exchange rate could reach $1=N320

Fellow Nigerians prepare for the latest round of our impoverishment!!

God bless us all and Nigeria !

Just looK out how this oldman dreceived himself