₦airaland Forum

jpphilips:
Where did you get that 22% from?

The 22% is not sacrosanct. It's more like 20% upwards depending bank and client.

Chukzyfcb:
inter bank rate is 14% not 22% to start with.
loan rates at bank is about 27-29% so I don't know where you conjured up 22%.
secondly CBN governor cannot coerce the bank, the bank will only lend to those they feel are credit worthy or have tangible collaterals, why? their non performing loans are steady rising
thirdly you don't know how tax incentives help the poor?
the commodities that the poor purchases will reduced if the manufacturer will produce it at a cheaper price
the road side sellers will be freed from those small small payments they do in the market, etc
fourth, talking about salary is where CBN has urged the f.g and state govts to improve in.
since July MPR was raised to 14%, 1billion dollars was realised through foreign inflows. reducing it now will chase away those inflows; what CBN has been struggling to get since
what we need most importantly is HUGE FOREX INFLOW.
reduced interest rate has been tried before with nothing to show for it, its nothing new under the sun. we need fiscal policy, trade policy, and other sectors to come together. you cannot clap with one hand bro!

Actually the CBN can coerce the banks given guarantees.
There's a CBN agricultural product loan which is 8%, this can be extended to manufacturers too.

Speaking of manufacturers, one of their biggest complains is the high interest rate.

http://independentnig.com/manufacturers-decry-high-interest-rates/#

Remember the country also suffers from a high unemployment rate and the best way to take care of that is by encouraging people to start small businesses.

It's a case of being between the devil and the deep blue sea and in my opinion, the best way is to reduce interest rate.

blueto:
Buhari is indeed a socialist. How can you compel the banks to reduce interest rate and suffer lost? This will no longer motivate banks to give interest rates, is like doing business that isn't lucrative, with time you abandon such business. I thank God that Emefiele and the 10 committee members stood their grounds and declined such irrational directives from the “poorly qualified” finance minister.

Dude this topic is way above your intelligence. I suggest you spend more time in the romance section. You might have a clue about what they are discussing there.

Chukzyfcb:
its also a pity you don't understand the relationship between inflation rates and inter bank rates?
i don't know what is wrong with you people, didn't you read where emefiele said he once reduced rate and nothing happened? do you think you are more brilliant than he is or you are suggesting something new?
if you cannot understand that emefiele is doing you a favour by retaining the rate thus having a negative net interest of 3% then I am sorry to say you don't even understand the topic at all. you stylishly want to run away from further discussion because I have opened the flaws in your comment.
Is monetary policy the only key driver to the economy , what about the fiscal policy. how does adeosun intend to help the economy. how?
because you and I know that they key reason inflation is high today isn't truly because of the interest rates but simply lies a lot on the forex.
once forex floods into the market, cost of items will reduce.
like I said: interest rate was once reduced, yet inflation rose. but then I don't expect you to know that because you neither trade in the money market nor follow the trend, you just jump on the bandwagon to abuse this govt.

Actually, you are the one that is wrong. There's no way the economy can move forward at 22% interest rate.
What the CBN governor should do is reduce interest rate, coarse the government into allowing banks that lend to the real sector have access to funds in the TSA.
The poorest of the poor(hawkers and market women) in this country don't pay tax so how does reducing tax help them?
Most states have not paid salary so even if you reduce tax, it doesn't help people who will not see the money.


We need to generate jobs and improve the manufacturing sector, we can deal with inflation later.

idupaul see the reason why i support the full implementation of TSA and say the full implementation of TSA is not part of the recession?

Banks were getting free money from the government and rather than lend to SME's and manufacturers they were using it to trade forex and bonds.


If the banks are not going to use Government money to help the citizens, then government shouldn't give them any money.

proeast:
Are you one of the zombies APC unleashed on nairaland? what the hell are you talking about, do you even know that Nigeria is largely under banked per capita Your first paragraph is disgusting to sane minds!!!! Fyi, even the SME's are closing in drooves not because of lack of funding by banks but simply due to very harsh operating environment brought about by government policies, lack of basic infrastructure like electricity, good roads, affordable fuel etc. Tell me a single plan of action Buhari is taking to revolutionize agriculture, industries or infrasture Buhari is as confused as those almajiris in the streets of Kano

Have you finished ranting?
I'm not the cause of your frustration.

OBAGADAFFI:
And where will they get the monies from?

Were banks all over the world get it from.

phemocheee:
Government needs to come to the aid of commercial banks in this trying times. Just like it happened in the US few years ago, government intervention was what saved the day...

The banks don't need government. They need to do real banking, support small scale industries with cheap loans.

They had free government money for years and rather than help small scale industries, they were using the money to buy government bonds hence the large profits they were earning.

It's time for them to work for there money.

ehie:
find the companies now, is it Nigerian companies that you frustrate with high tax rate, high interest rate and no capital injection, is it the small scale entrepuneurs that government demolishes their business premises, do they actually aid small scale business in tyhis countries, or foreign companies that would rather be in Bein or Togo, find the millions that will take their place now i dare you..yeye dey smell..mumu government who wish that 2 +2 will equal 10 instead of knowing wishing and daring are different from reality

They are 170 millions reasons why companies want to come to Nigeria. If you've ever tried to do serious business, you'd know that.

ehie:
they are thieves, they are these, that they are that, yet their dollars make your economy, their companies give your country men jobs,their presence develop your economy, shebi 30 percent have gone, and the economy is already down on its knees. we are no longer the beautiful bride that suitors come for, oil is cheap, America is producing shale, th west got rid of the leaders and created factions and instability that make Libiya and Iraq sell oil cheaply, so what else is the lure of Nigeria, Instability, Insecurity,Bad economic policies and environment, multiple taxatilon, lack of power, unskilled labor, what makes u think we are so special, if you still think so, you are living in past glory

I get your point, lets just tell them to do what they like and they can pay whatever they feel like as taxes abi?

ehie:
replaced by who, how much was pulled out after the MTN fine by the multinationals, is it not why your president is junketing around bowl in hand looking for the illusionary aid..

Lesson 1 of life:
Nobody is irreplaceable. If Total and Agip pull out, lots of companies including local ones will take their place.

After the fine, why has MTN not pulled out?

ehie:
push them hard enough and tehy will call your bluff

And they will be replaced.
Is our self esteem so low in this country?

The EU just taxed Apple $14 billion.

http://www.nytimes.com/2016/08/31/technology/apple-tax-eu-ireland.html?_r=0

Izonpikin:
let states provide their own electricity...

what kind of country is this??...how can we continue to do the same thing and expecting different results....??


no minister of power, not even fashola can ensure we have electricity 247 without efforts from the states or regions...lets just scrap this central system abeg...

States can provide their own electricity.
The only thing the FG does is transmission which in my opinion should be broken down into 3 or 4 units.
Generation right now is in the hands of private companies.

osinbanjoisaliar:
One of
them said that the way out is for the President to
declare a general amnesty for the so-called
corrupt and encourage them to start spending lo­
cally to boost economic activities and to fight
corruption in a decent way without necessarily
declaring a war.

This last part tells you all there is to know about the writer of the article...

Bujumbura:
Can you imagine how you are glorifying a Thief. What business does that thief do that she can afford such Watch

She actually owns a beauty spa.....
Just saying.

idupaul:
Yes exactly and that's why the think tank that came up with the TSA recommended it be done phases to ease the financial that might arise from an instant removal ..this is where Buhari erred he failed to take that critical advise and pulled the rug 100 percent at the wrong time .

I support what Buhari did as regard the TSA. The banks were making a killing at the expense of the country.

I also think the recession is a good thing for the Country, our economy has a faulty foundation and this recession is a chance to reset the economy. Whether we get it right or not is a topic for another day.

idupaul:
1: He shouldn't have spent more than six months choosing his ministers and team ..Knowing that we were in an era of low oil revenues Buhari should have hit the ground running in a manner that will inspire confidence in the NIGERIAN economy but he didn't rather he left the country without a policy framework or directionfor 6 months .


Bro I can go on and on ..the truth is that Buhari can never make a great leader and will never .he doesn't have that vision and prefers knee jerk action to well thought out solutions

This is your only point that is agreeable, others are debatable.
I'll speak on the TSA.
The banks were getting free money from the government and loaning back to the same government at 15% interest rates, they were also lent to the real sector at 20% and above interest rate which is terrible. The government was loosing money by this arrangement and also the free money was not used by the banks to help fund SME's. I wholly support this move by the government.
Once forex racketeering is dealt with, the banks will have no other option than to go back to core banking.

If Africa is to develop, we need to do more trading among ourselves..

Sunglass20:
Wetin be this I beg... I have actually been wondering, if a leader cannot prepare a speech himself, it means what he reads as promises are just promises/ speeches made by others. He can never fulfill them because they were/are actually not his words. Nigeria, we import goods, we import speech! Issorait!

All leaders have speech writers.

UmuEri:
So all the way from Zamfara you have suddenly become a Deltan?

Please tell me my state of origin you illiterate.

CoCoLav:
Azed1

Seen and noted. I experienced something like that yesterday.

uchelvlink:
Osogbo boy am i speaking for you?



Pls concerntrate on Ibadan and Oyo State. I am speaking for myself and families that were unjustly added to their usless Urhobo and Ijaw Delta State.

We have mouths and can speak for ourselves. Speak for your family.

uchelvlink:
when the time comes, we shall join our kins that was wrongly seperated from us by the oppresssive Nigeria state and thereafter placed us in their imaginary Delta State.

Asaba, Ukwu-ani, Illah, Ogwuashi-ukwu, Okwe, Okpanam, Anwai, Ebu, Akwu-Ukwu, Onitsha-Ugbo, Oniysha-Olona, Idumuje-Uno, Idumuje-Ugboko, Igbo-Uzo, Umunede, Agbor, Oko, and many other towns i can not mention are Igbo cities and will continue to be. nothing can change that.

Why don't you speak for yourself?

ifyalways:
Question 1: they are owed over 85Bn by the Fed gov for the past 6 months. Why ?

Question 2: the federal government claimed they pumped in some funds to improve power; federal govrrnnent intervention funds, oyibo man said and i quote " we dont have any money". Which cartel shared the money? Im sure zombies lauded them and pissed over themselves when they read of the phantom and media propaganda of fed government interventiob funds which obviously only exists on the media

APC is baba scam, PDP are just but learners i swear.

Actually what the man said was

They didn’t give it to us; what they paid to some of the generation companies was what they owed them. It wasn’t guarantees; it wasn’t financing; it wasn’t loans. It was simply the obligations that they owed us; but then, we haven’t got any money. We are still waiting for it.

Which means some companies got the money and they see it as their entitlement. Not everything should be view with a political lens.

So many of the owners came and they were thinking that they were going to be reaping some sort of returns after the first three years

This is the bane of the problem with the power sector. Most thought that could just come in and reap profits almost immediately. They used the example of telecoms sector to show why (SincereNigerian)

This is not a PDP or APC issue and the longer we play politics with it the longer we stay in darkness.
Issues with the power sector

1) The private investors: Many of them came in unprepared. Power is capital intensive with a low profit margin. To invest in power, you should budget at least 10 years before you start reaping.
2) Transmission: This is the only part of power sector that government controls (for a reason) and it is the weakest sector by design. We run a centralised distribution network (same structure as the country) and that needs to be broken. It should be decentralised along regions and either given to the states or sold to private investors. Again , this is capital intensive.
3) Pricing: power is actually cheap and consumers don't want to pay more (there's a chicken and egg scenario here and it's what I believe Fashola should solve)
4) Vandalism: we all know this one.




PS: there's really little Fashola or anybody can do right now as regards power generation and the power ministry is one ministry that should scrapped.

Before anybody says Barth Nnaji, remember at his time the government was in charge of generation.

Agimor:
Where is Okowa come and seen what your mate is doing.

He's waiting for Ibori to give orders.

Longevo:
It's really embarrassing to know that my president can't even write his speech. He should go back to school and learn some of these things instead of embarrassing Nigerians like that.

Can you point out a leader that writes his own speech?

Before you say Obama, here's his speech writer.
https://en.m.wikipedia.org/wiki/Cody_Keenan


You need to go back to school.

Kasich:
Eyah.... No wonder you cannot make a sound judgement, you feel everyone is as lazy as you are.. Other Presidents do it when they need to address the public.

Google it up n u see Obama, Putin and the like with their speech writers in a room brainstorming...

Please get a life and stop dragging this issue, a mistake has been made, efforts should be made also in order to forestall its reoccurrence, not by sacking the guy who drafted it, rather employ more hands that will work effectively

When you are smart you can be lazy.
And your hard worker mentality tells the best way to combat plagiarism is to employ more hands?

Oh year, the mistake has been made and the best way to forestall it's reoccurrence is to fire the guy who drafted.
If you don't know that plagiarism is a crime then you have no business being a speech writer let alone a presidential speech writer.

Kasich:
in as much as I'd like to ignore you and your comments for lack of understanding and foresight, I'll enlighten you a little on this issue

When u proof read it doesn't necessarily means you are checking just only grammatical errors and language structure, rather it entails d act of checking for the overall soundness of your write up, does it make sense? Will my listeners and readers grasp the idea? Am I communicating? Is the content original? And lots and lots of other things are considered too

For a campaign of such social magnitude one would have gone through the speech with whoever wrote, thereafter if accepted, you ask your special advisers to check for plagiarism, which is even easy to to detect with advanced search through google.

Am not asking him to write his speeches, all am saying is that he could have avoided the whole drama if he had shown a little seriousness towards this ' Change begins with me' campaign.

Proof reading cannot detect plagiarism that's why there are specialised softwares for that.
You can read a text a hundred times and not know if it was plagiarised.

The government pays people to write speech, if they cannot do their jobs properly, they should be sanctioned.


Lol at the President should have gone through the speech with the writer....

You should also tell him to go through flight plans with his pilot or go through cooking plans with his cook to make sure the salt is not too much.

Kasich:
OMG!!!


Must u keep blaming everyone for your ineptitude

How's this an apology Shifting the blame to an overzealous staff, why couldn't u just proof-read the material yourself or have Garba Shehu himself go through it before going on air

So in your mind, proof reading is a way to detect plagiarism abi?
Are you sure you know what plagiarism is?

blueto:
It was like how Buhari fired 22 Directors from Budget office and exonerated himself.

Was he saying he failed to scrutinize the budget as the president before submitting it to the senate??

Zombies are very gullible.

If you think a President goes through the budget line by line, then even TB Joshua can't help you.

TrueSenator:
Stop attacking people's opinion ......if you don't like their perspective, then write yours

If I say Buhari is a woman, you can call it my opinion but it's stupid and I should be told.