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PoliticsRe: Again, Obidient Busted Trying To Pass Off Private School As Peter Obi's Lagacy by Bobloco: 5:40am On Apr 28, 2024
PressMyButton:
Must you lie to promote a fraud?
Where is the lie

Isn't it another day of Peter Obi this, Peter Obi that, for you and your ilk?
PoliticsRe: Why Is No Body Talking About Tinubu Photographer? by Bobloco: 5:36am On Apr 28, 2024
StOla:
Is it Tinubu that domiciled Anambra state funds in the bank where he has interests and was former board Chairman?

Is it Tinubu that invested Anambra state funds in the brewery he was a part owner?

You are not concerned about State Capture, you only wish it was your flawed candidate that became President, but we already know his standard is of the 18th century.
Tinubu built a blueprint conduit pipe connecting the coffers of Lagos state Treasury to his personal company milking the entire common wealth of Lagosians for over two decades and counting.
PoliticsRe: Again, Obidient Busted Trying To Pass Off Private School As Peter Obi's Lagacy by Bobloco: 1:05am On Apr 28, 2024
Another day, and begining from 1200hour, another time for Tinubu apologists, Agbadorians, and Bulabans to flood the social media spaces and Nairaland with Peter Obi contents.

In this Tinubu calamitous era, Tinubu, their drug lord is bad content, while Peter Obi is providing great content for them to cash out.

God bless Peter Obi.
PoliticsRe: Why Is No Body Talking About Tinubu Photographer? by Bobloco:
Tinubu is a notorious narcotics drug trafficker engaging in criminal state capture

The photo is what it is and how it should be. Tinubu cannot be whitewashed. No photographer can do anything about it
PoliticsRe: Minimum Wage: Amid Hardship, Workers’ Hopes For Pay Rise By May Day Dashed by Bobloco(op):
Tinubu is not capable of achieving anything positive
PoliticsMinimum Wage: Amid Hardship, Workers’ Hopes For Pay Rise By May Day Dashed by Bobloco(op): 12:34am On Apr 28, 2024
•Old wage expired March 31

•Abia, Taraba, Zamfara still paying pre-2019 wage


There are strong indications that workers will wait for a longer time to receive a new national minimum wage as negotiations have stalled amid excruciating economic hardship and mass suffering in the country.
In fact, the delay is allegedly caused by the Federal Government.

This came as Abia, Taraba and Zamfara states are allegedly still in breach of the 2019 National Minimum Wage Act which fixed minimum wage at N30,000 from the previous N18,000.

The implication of the stalled negotiations is that workers’ hopes for a pay rise ahead of the 2024 May Day scheduled for Wednesday have been dashed.

The new minimum wage ought to have taken effect on April 1, 2024, the old regime having expired on March 31.

Meeting
Sunday Vanguard’s checks revealed that the last meeting of the Tripartite Committee on the New National Minimum Wage, TCNMW, tasked with fixing the new wage, was held in the first week of April where stakeholders received the reports of the public hearings across the six geographical zones held on Thursday, March 7, 2024.

It was, however, gathered that the subcommittees have been meeting on other issues as directed by the TCNMW.

According to findings, at the first week of April meeting, members of the committee, that is, the government, labour and private sector employers, were directed to submit their written proposals to the National Salaries, Income and Wages Commission, NSIWC, which serves as the secretariat to the TCNMW.

Sources informed that while Organised Labour, comprising Nigeria Labour Congress, NLC, and its Trade Union Congress of Nigeria, TUC, counterpart, has sent in its demand of N615,000 minimum wages, the Organised Private Sector, OPS, has equally sent in its proposal.

However, it could not be confirmed if the government has sent in its proposal.

Reports
Sunday Vanguard gathered that after the TCNMW received the reports of the public hearings, the NSIWC fixed April 16 and 17 as meeting dates for a review of the reports and probably commence negotiations, but, unfortunately, the dates turned out to be public holidays for Sallah celebrations.

Since then, Sunday Vanguard learnt that it (NSIWC) has not fixed a new date for a meeting where the actual negotiations would start.

Blaming the government for the delay, one of the labour leaders, who is a member of the TCNMW, said until the government through the NSIWC summons a meeting, nothing could be done.

He said: “The last meeting was in the first week of April when we met to receive the reports of the zonal public hearings.

“It was essentially to collate reports from the zones. We as Organised Labour, that is, the NLC and TUC, have sent in a joint proposal or demand if you like.

“We are aware that the OPS has equally sent in its proposal. We are all waiting for the reconvening of TCNMW meeting to know what the government is putting on the table for us to begin negotiations.

“But that is not to say we have been doing nothing or we have been idle. The various subcommittees, in line with the mandate of the main committee, have been working. We have a lot to discuss and negotiate about.

“The hike in electricity tariff is now an important factor. We had sent in our demand before the increase in electricity tariff.

“To worsen matters, the increase was done without stakeholders’ inputs contrary to the enabling Act. In other words, we were not consulted as required by law.

“All these issues will determine when and how long the negotiations will last. One thing is clear, no matter how long the negotiations take, the new minimum wage will definitely take effect by April 2024. Meaning the law will be backdated to April 2024. The implication is that a new minimum wage can’t be announced on May Day.”

Speaking also, the Director-General of the Nigeria Employers’ Consultative Association, NECA, Adewale Smart-Oyerinde said a new minimum wage cannot be announced on May 1.

“We have not actually started real negotiations. The last meeting we had was when we received reports of the public hearings”, he told Sunday Vanguard.

“We were asked to send our proposals to the secretariat of the committee. We have done that as an Organised Private Sector, OPS. We believe others have sent in theirs. We are waiting for the reconvening of the committee for the negotiations to start. We are ready for the negotiations.”

Data
It was gathered, however, that parties are busy collating data across states, sectors and socioeconomic trends ahead of the commencement of negotiations.

A member of the OPS, who spoke on condition of anonymity, said he foresees very robust and interesting negotiations because of the socioeconomic realities on the ground.

He said “As the socioeconomic realities affect workers, so also they affect employers. Nobody is immune to the hardships and socioeconomic realities including the recent hike in electricity tariff. So, the negotiations will be very interesting and robust.”

On his part, the immediate past President of NLC, Ayuba Wabba, who spoke on the delay in concluding the minimum wage negotiations and non-implementation of the minimum wage by some state governments and private sector employers, said “The Minimum Wage Act of 2019 made clear provision on when negotiations should start and be concluded, which is six months to the expiration of a prevailing national minimum wage.

“Also there was a clear provision for enforcement in a court of law including payment of interest rate to the workers that have been denied payment of minimum wage.

“Before I left office in 2023, we had contacted Mr Femi Kuti, SAN, to prosecute Taraba, Zamfara and Abia states that refused to start implementing the N30,000 national minimum wage to any of their employees.
“I am sure they have not implemented as we speak.”

According to him, the process for taking these states to court was stalled because the affected state councils failed to provide the requirements especially pay slips of not less than 10 workers to prove non-implementation.

He added “Then-governors of the three states deliberately refused to implement and we were ready to engage them and test the law.

“We need to test the law to enforce implementation. In fact, we had to sack our state council chairman in one of the states when we discovered that he was conniving with the state government to stall implementation.”

Labour mulls upward review of proposal
Meanwhile, Sunday Vanguard understands that Organised Labour may present a new minimum wage demand following the recent hike in electricity tariff by the Federal Government.

According to sources, the 300 per cent jerk up in electricity tariff has made nonsense of its earlier N615,000 benchmark wage demand.

The Labour centres, NLC and TUC, had, last month, presented a joint minimum wage demand to the TCNMW through the NSIWC.
The joint presentation is contrary to what they (NLC and TUC leaders in the zones) proposed during March 7, 2024, zonal public hearings organised by the TCNMW across four of the six geo-political zones of the country.

One of the sources said: “The recent hike in electricity tariff has made nonsense of the demand we presented to the National Salaries, Incomes and Wages Commission which is the secretariat of the minimum wage committee.

“Both centres had met in March to harmonise our different demands as seen during the public hearings and made a joint demand.

“But with the 300 per cent increase in electricity tariff, our demand is no longer realistic. Therefore, we plan to adjust our demand to accommodate the new tariff hike.

“As you are aware, our demand was based on the socioeconomic indices on the ground at the time we made the demand. But things have changed as typified by the 300 per cent hike in electricity tariff by the government.

“So, we have to adjust our demand by 300 per cent in line with the electricity tariff hike.”

N850,000 wage
Recall that while the TUC demanded almost a uniform figure of N447,000 across the zones, the NLC demanded different figures for each zone with the highest being N850,000.

In the South-West, whereas leaders of the NLC proposed N794,000, those of the TUC proposed N497,000.

In the South-East, the NLC said it preferred the new minimum wage to be N540, 000 and the TUC suggested N447,000.

However, NLC leaders in the South-South proposed N850,000, with their North-West counterparts angling for N485,000 minimum wage.
https://www.vanguardngr.com/2024/04/minimum-wage-amid-hardship-workers-hopes-for-pay-rise-by-may-day-dashed/amp/

PoliticsRe: Reno Receives Man Of The Year Award by Bobloco: 12:16am On Apr 28, 2024
PressMyButton:
Why must Tinubu stoop that low?, he is in the league of his own, Tinubu only gives attention to consequential issues, he doesn't carry camera about and seek attention like Obi does. Many individuals in the same league as Reno have been ignored by Tinubu. There's not too wide a gap between Reno and Obi, both of them can continue their mud fight.
He is doing all but turning the entire country into a huge IDP camp through his thoughtless economic policies
PoliticsRestructuring: EFCC Chair, Olukoyede Appoints Chief Of Staff, Zonal Directors by Bobloco(op): 10:36pm On Apr 27, 2024
The Executive Chairman of the Economic and Financial Crimes Commission (EFCC), Mr. Ola Olukoyede, has named Mr. Michael Nzekwe as his Chief of Staff and appointed Zonal Directors for each of the 14 Zonal Commands of the Commission.

Nzekwe, a distinguished investigator, lawyer, and former Commander of the Ilorin Zonal Command of the EFCC, holds the rank of a course one officer within the Commission.

He boasts a wealth of experience having served across various departments, including Legal and Prosecution, Operations (now Investigations), Internal Affairs (now Ethics and Integrity), Servicom, and Asset Forfeiture.

The commission made the announcement in a post on its social media handle on Saturday.

With a rich background in administration, Nzekwe has undergone numerous domestic and international training programs, notably including the Advance Defence Intelligence Officers Course organized by the Defence Intelligence Agency (DIA).

His appointment is effective immediately, and he has already assumed his duties.

Olukoyede, in his restructuring and repositioning of the EFCC, equally upgraded all the Zonal Commands of the Commission to the status of Departments, with each of them headed by a Director. To this effect, 14 new Directors have been appointed to head each of the Zonal Commands.

Additionally, to bolster and fortify the security architecture of the Commission, the Security Unit of the EFCC has been upgraded to a Department with a seasoned officer appointed as Director, Security and Chief Security Officer.


A new Department has also been created in the Executive Chairman’s office and it is headed by former Makurdi Zonal Commander of the EFCC, Mr. Friday Ebelo, who also doubles as Director and Coordinator, Special Duties at the corporate headquarters of the Commission.

The former Department of Internal Affairs has been renamed Department of Ethics and Integrity and minor reshuffling effected in some Departments at the headquarters.

“An important component of the restructuring is the creation of a new Department to drive the Preventive Mandate of the EFCC. Olukoyede, in an unprecedented move, created the Fraud Risk Assessment and Control Department to handle this all-important work of the Commission. The Department has commenced operations and its impact would be felt more across the country in a short while.”

Olukoyede says that the ongoing restructuring is meant for the repositioning and strengthening of the EFCC to deliver on its assigned mandate optimally.
https://tribuneonlineng.com/restructuring-efcc-chair-olukoyede-appoints-chief-of-staff-zonal-directors/

PoliticsRe: #pbatquoteoftheday by Bobloco: 7:52pm On Apr 27, 2024
Pbatmedia:
President Tinubu's call for unity and collaboration resonates deeply as we strive towards a brighter future together. Let's heed his words, listen attentively, learn from each other, and discover common ground.
Na quote we go chop
PoliticsRe: Reno Receives Man Of The Year Award by Bobloco: 7:40pm On Apr 27, 2024
PressMyButton:
No court of law has ever declared Tinubu guilty of any crime both home and abroad.
No schools, no power projects, no monorail project, no primary healthcare center, no housing programme. Obidients should be ashamed supporting and repackaging a failure.
If that's the case what then stops Tinubu from instituting a libel case against Reno Omokri
PoliticsRe: Trending Picture Of The Neatest School In The Lagos Tinubu Built by Bobloco: 6:05pm On Apr 27, 2024
mobisonkk2:
Destroyed him? You be mumu oo, Tinubu that is in Aso Rock? I know stupidity comes to you naturally.
So being in aso rock automatically means he can't be destroyed

Aso rock isn't immune to destruction. Ask Abacha and Yar Adua, also ask Reuben Abati, he too made mention of evil spirits in Aso rock.

Tinubu is destroyed reason his calamitous economic policies have ensured that the country is being ran aground
PoliticsAPC Calls For Cancellation Of LG Poll In Oyo by Bobloco(op): 5:33pm On Apr 27, 2024
The All Progressives Congress (APC) has called for cancellation of the local government election in Oyo as it described it as a “sham which is capable of causing the pacesetter state untold disrepute if allowed to stand”.

It, thereby called on the Oyo State Independent Electoral Commission (OYSIEC) to cancel the exercise and reschedule it for another day when it is ready to conduct a free, fair, and credible poll.

Reports from across the state indicate that cases of non-availability of election officials, disenfranchisement of eligible voters, shortage of voting materials, violence, and threat to life were recorded while the electoral commission appeared helpless to rescue the situation even as voters waited endlessly in most the places affected.


In a statement issued today and made available to journalists in Ibadan by its Publicity Secretary, Olawale Sadare, Oyo APC regretted that “another opportunity to deepen democracy and return power to the people at the grassroots has had to be missed due to the insensitivity and insincerity on the part of the ruling class in the state.

“With what is happening at the moment in most Polling Units across the state, Gov. Seyi Makinde has again disappointed the whole world. He promised the people that their votes would count today but the opposite is the case. The good people of the state desired to participate in an election to elect a new set of council officials but what they are experiencing is nothing but a sham.

“Even if OYSIEC comes out later to declare all the candidates of the APC, we would not rate this election as credible and acceptable as it falls below the minimum global standard of election conduct.


“The best thing is for the Commission to suspend the exercise and choose another date for proper conduct rather than continue to connive with a few anti-democratic elements in the ruling PDP to perpetrate electoral fraud and desecration of democracy in the land.

“For the avoidance of doubt, OYSIEC started with back and forth position on the need to deploy the Bimodal Voter Accreditation System (BVAS) the for the conduct of the poll.

“Few days ago, the Commission recruited PDP members as its adhoc staff and this same set of people were saddled with the responsibilities of conduct today’s poll and they have been carrying out the script given to them by the powers-that-be in the state. What could be the rationale behind taking 500 pieces of ballot papers to a Polling Unit where about 1,500 registered as eligible voters?


“OYSIEC failed to mobile officials to attend to prospective voters in key polling units while it also released inadequate voting materials to virtually all the polling units. In most Polling Units, officials of the Commission did not arrive untill 12 noon when most voters had left for their respective homes in frustration. This aptly validated the suspicion that the PDP had handed a script to the Commission to implement in their favour.


“In the 10 local government councils of Oke-Ogun, the official result sheets known as Form EC8A were withheld by OYSIEC’s Electoral Officers while political thugs were unleashed on some members of the opposition who asked questions in places like Kajola, Olorunsogo, Itesiwaju, Ibarapa East, Lagelu, Ido, Oyo East, Atiba, Oluyole among others. The chairman of our party in Ibarapa East, Mr. Segun Ojediran, was violently attacked by the PDP thugs in Eruwa and he is now receiving treat in a private hospital.


“OYSIEC has failed to accommodate more than 80 per cent of the eligible voters in the state today and there is no way the meagre 20 per cent of people who were lucky to cast their votes in a lawful manner can decide the fate of the vast majority. Obviously, the Commission allowed a few people to cast their votes at the polling units while the balance of majority rights to vote was secretly handed down to the PDP. Any electoral victory given behind close door is illegitimate, tainted and unacceptable. Therefore, we call for the total cancellation of the whole exercise as it was done today,” APC alleged.
https://tribuneonlineng.com/apc-calls-for-cancellation-of-lg-poll-in-oyo/

PoliticsRe: Reno, We Will All Vote For Peter Obi Again, So Kil Yaself by Bobloco: 5:24pm On Apr 27, 2024
seunmsg:
You and who? Only senseless obidients will vote Peter Obi again and as usual, their votes are inconsequential and can’t make the Gbajue man president.
suenmsg, If you call Peter Obi 'Gbaju e', what will you describe Tinubu who is a notorious narcotics drug trafficker, a guinea pig student of government college lagos used to test run the school four years before it was founded?

PoliticsRe: 2027: Politicians Plotting To Undermine Tinubu's Reelection, Says AYCF by Bobloco: 5:10pm On Apr 27, 2024
Tinubu undermine himself through the calamitous economic policies he implemented
PoliticsRe: Trending Picture Of The Neatest School In The Lagos Tinubu Built by Bobloco: 5:07pm On Apr 27, 2024
ZombieTAMER:
Tinubu is a drug dealer
How can he charge Reno to Court

I'm sure he shares it to his supporters
Because I don't see any reason someone will spend eight years praising Buhari and cap it up with Tinubu
It's quite pathetic
PoliticsRe: Tinubu's Minister, Dele Alake Hosts Company Found Guilty For Fraud By UK Govt. by Bobloco: 5:06pm On Apr 27, 2024
Kingsmeal:
Glencore? During my training with a multinational fin. institution, this company came up as a corrupt company with cases of bribery. Big questions : Why is this government in bed with all known corrupt entities in the world? Na wah oo!
You don't ask this kind of questions

This is a government run by a Notorious narcotics drug trafficker engaging in criminal state capture for Pete's sake. Tinubu is corruption personified
PoliticsRe: Trending Picture Of The Neatest School In The Lagos Tinubu Built by Bobloco: 4:54pm On Apr 27, 2024
mobisonkk2:
The last kick of the dying horse after Reno Omokri single handedly destroyed obidient miscreants.
Tinubu is yet to charge Reno Omokri to court after he single handedly destroyed him

PoliticsRe: Sanwo-Olu, Abiru Visits Umahi To Express Appreciation For Ikorodu-Itokin Road by Bobloco: 2:50pm On Apr 27, 2024
huh
PoliticsRe: What Is Iragbaji Ranking In WAEC, NECO And JAMB? by Bobloco: 2:08pm On Apr 27, 2024
helinues:
You people should stop being petty.

Why do you like to over do things?
Two can play the game, you know.
PoliticsRe: Peter Obi Investment Vs Lagos Govt Investment by Bobloco: 2:06pm On Apr 27, 2024
mohims:
Go and take your pills. That's my only advice to you
Is that the answer to the question the Op asked
PoliticsRe: Reno Receives Man Of The Year Award by Bobloco: 2:04pm On Apr 27, 2024
PressMyButton:
Surely, nobody else comes close to Reno. Reno Omokri singlehandedly demolished the lies and propaganda of Obi and his Obidient puppets, they have been crying hot tears everyday ever since Reno destroyed them.
Peter Obi built no schools, no power projects, no primary healthcare center , no airport, no housing estate, no monorail, name it. Obi believed what Anambra deserved was a beer company with a $30million investment capital of the state's treasury. Today, the investment brings no returns to the state. Imagine what $30million would have done if spent on critical infrastructure in the state.
Nigerians are earnestly waiting for Tinubu to take this challenge thrown at him by Reno Omokri

PoliticsRe: Biggest Looter Challenge: Tinubu Vs Ganduje by Bobloco: 1:52pm On Apr 27, 2024
Both are looters of gargantuan proportion, but I give it to Tinubu for holding captive the entire common wealth of Lagosians for over two decades and counting.
PoliticsRe: Where Is Amaechi As Rivers Political Leaders Take Sides In Wike, Fubara Rift? by Bobloco: 1:47pm On Apr 27, 2024
The Lion of Ubima is a man of high principle
PoliticsRe: How FG Borrowed Over N3.8trillion From CBN In 6 Months by Bobloco: 10:17am On Apr 27, 2024
huh
BusinessWas Naira’s World Record A Fluke? by Bobloco(op): 10:13am On Apr 27, 2024
Mahmud Kirikasamma (not real name) is one of the over 100 personnel of the Central Bank of Nigeria (CBN) who were recently disengaged.

In a conversation penultimate week with another disengaged staff, Idris Jimoh (not real name), Mahmud disclosed his plans to convert a considerable part of his savings from naira to dollar.


When Jimoh asked Kirikasamma why he planned to do that, he replied, “Because this cheering rise in the value of the naira is not sustainable.”

Kirikasamma is convinced that the naira will soon drop to N1,600/$.


This conviction by the former CBN employee that the value of the naira will soon begin to depreciate again may not be shared by many Nigerians. However, millions of citizens are quite apprehensive and do not seem to believe that the recent sustained rise in the value of the Nigerian currency may not after all be sustainable for a long period. Those who hold this view cite a number of reasons.

The widely publicised statement about the syndicated $3.3 billion crude oil prepayment facility deal between the Nigerian National Petroleum Company Limited (NNPCL) and the Africa Export Import Bank (Afreximbank), whose objective is to help the federal government of Nigeria in its fiscal and monetary policy reforms aimed at stabilising the exchange rate market, may end up being a fluke.

Part of the reason for this fear is that Nigeria had in the months of February and March, 2024 failed to meet its production quota.

And it is expected to pay for the Afreximbank loan by utilising about 200,000 barrels of crude being extracted. More so, the payment terms are believed to be skewed at a great disadvantage to the country.



Last month, a crypto-currency trading platform, Binance yielded to the pressure from the Nigerian government to discontinue all naira services in the country. This came on the heels of a clampdown on its operations and officials by Nigerian regulators.

The Special Adviser on Information and Strategy to President Bola Tinubu, Bayo Onanuga, had urged the CBN and the Economic and Financial Crimes Commission (EFCC) to take action against platforms that attempted to manipulate the value of the naira using crypto-currency exchange platforms.

Onanuga recommended that crypto-currency channels be outlawed in the country because “this bleeding of our currency will continue unabated,” according to a statement he posted on his X handle.

Two senior executives of Binance, a US citizen, Tigran Gambaryan and British-Kenyan, Nadeem Anjarwalla, were both charged and remanded in custody by the Nigerian authorities before the later escaped from Nigeria to Kenya. He was expected to be repatriated back to Nigeria after he was last week arrested by the Kenyan police.

Still in an effort to strengthen the local currency, the chairman of the EFCC, Ola Olukoyede, said on Tuesday that the commission had frozen 300 illegal forex accounts trading on a peer-to-peer platform.

Olukoyede explained that over $15bn passed through one of the forex platforms in the last one year, outside the financial regulations.


He said the EFCC took the action to ensure the safety of the foreign exchange market and protect the economy.

Also, only recently, media reports revealed that the country’s external reserves were excessively drawn, and there were speculations that the hastily drawn down reserves were utilised to stave off depreciation of the naira. Although the CBN governor, Yemi Cardoso, tried to deny that, many Nigerians do not believe him.

And just as the debate raged about the veracity of the claim by the apex bank governor, the news was broken on April 22, 2024, that the value of the naira fell “to a low of N1,234.49/$” at the NAFEM window, according to data obtained from the FMDQ.

That was a sharp depreciation from the official exchange rate of N1, 169.99/$ recorded on April 19, 2024. According to Nairmetrics, “The latest drop appears to coincide with the remarks of the apex bank governor, Cardoso, who stated that the intent of the bank was not to defend the naira, when asked about the sudden drop in external reserves by $2.16 billion between March 18 and April 15.”

In a seemingly panic reaction, the apex bank, on Tuesday released a circular to Bureau De Change (BDC) operators, notifying them of direct sales of US dollars at a discounted rate of N1,021 per dollar. The operators were told to sell to end users at N1,036/$.

In reaction to CBN’s directive, the naira, on April 23, depreciated in the Nigerian Foreign Exchange Market, NAFEM, to N1,300.15 per dollar, exceeding the parallel market rate by N45.15 as the instability in the forex market continues.

Data from the official trading platform of the FMDQ Exchange, a platform that oversees the Nigerian Autonomous Foreign Exchange Market (NAFEM) revealed that naira also lost ground to the greenback on Wednesday as it depreciated by 0.64 per cent or N8.37 to close business at N1,308.52 to the dollar.

This development coincided with the issuance of an International Monetary Fund (IMF) advisory to Nigeria, on the path that could lead to a sustainable stability in the exchange rate of the country’s currency.

In prepping its advisory, the IMF noted that the cheer about the continuous rise in the value of the naira after the strong performances of the past few weeks “could be a pipe dream if Nigeria does not take on a fundamental approach to rejuvenating its economy,” warning that “the country’s economy could be at risk if it simply fails to produce.”

Short-term solution not sustainable – Experts

Daily Trust Saturday sought the views of some experts on the debate on whether or not the rising value of the naira that has been noticed in the past few weeks is actually sustainable in the long run.

According to the chief executive officer of Finance with Muktar, Muktar Mohammed, the action of the CBN is to provide a short-term solution to stabilise the naira in the forex market.

He said: “You look at the short-term, medium term and then long-term solutions. Now, the immediate term solution is to make sure you bring down dollar rate against the naira to make sure you maintain stability and ensure your rate doesn’t go as high as what we experienced some months ago. The immediate solution is also to increase stability in your FX market. And how do you want to create it? You create it with short-term measures like what the CBN has done. Look for inflow, hike interest rate and attract foreign portfolio investors into the market.

“Also include a lot of international organisations’ funding. Those are the short-term measures.

“The medium-term will be to come up with a product and go for Eurobond, which may be oversubscribed by foreign investors,” Mohammed said.

On the possible forex scarcity in a long-run, Mohammed said the CBN was looking for other means to attract investors by making commercial banks strong through the recapitalisation announced last month.

“Most of these banks will depend on forex from foreign investors that want to invest in Nigerian banks. Remember, Nigerian banks are one of the best performing in Africa, so those could be the medium-term solution. Medium-term solution also will have to play a major role because the CBN alone cannot create stability in the FX market. So, the physical side also has to compliment the CBN with its own strategy as we need both of them to operate in synergy.”


The chief executive officer of Cowry Assets Ltd, Johnson Chukwu, said it is impossible for the CBN to sustain this policy, given that we are not producing anything; our only major sources of earning foreign exchange comes from crude oil, and we have no control over its price.

He said the artificial gain we are witnessing in the FX market is only supported by monetary policy, which cannot sustain consistent capital flow into the economy

Chukwu said, “The fact that the monetary authority is intervening and selling $10,000 at a discounted rate to 1,583 eligible Bureau de Change operators means that the volume of intervention is not so much, it can only amount to $15.38 million, which is just like a drop in the ocean, given the size of Nigeria’s economy.

“We saw naira lost ground last week Friday and on Monday, so coming to the market to sell now at N1, 021/$ at a time where other exchange rate window like NAFEM is selling at over N1, 250 clearly showed that the naira is being subsidised by the CBN. It would be tough for the apex bank to sustain this measure without an improvement in the foreign exchange earnings by way of exports of other raw materials, apart from crude oil.

“Currently, the proceeds from foreign direct investment are very poor and diaspora remittances are on the decline. Given the limited sources from forex earnings, the CBN would soon run out of reserve.”

On the projections by the IMF and other finance institutions, Chukwu said their assessments were inconsequential to the realities on the ground, adding that it is ridiculous for any institution (internal or external) to rate the naira as the best performing currency when it has lost more than 30 per cent of its value over a period of four months.

“The naira can only strengthen if we focus on the most important thing, like increasing crude oil production to, let’s say, 1.250 million barrels per day. And getting a long-term inflow of foreign capital, the naira could return to where it was last year or even better,” he added.

Ayodele Akinwunmi, Corporate Banking Division, FSDH Merchant Bank Limited, said what is happening in the forex market is based on the forces of demand and supply.

“The Central Bank doesn’t manufacture dollars, so we have to earn it through production and exportation of goods and services. Crude oil accounts for the bulk of our export earnings at the moment, and with improvement in crude oil sales as we are witnessing now, it is expected that the country would earn more forex to support the local currency.

“Another way of earning foreign exchange is through foreign portfolio investment (FPIs) or Foreign Direct Investment (FDIs) into equities and fixed income market, which has grown in the last few months on account of policies the CBN is implementing, like the increase in monetary policy rate, which has affected government securities, and foreigners partaking and earning high yields of those fixed income securities,” he said.

Akinwunmi aligned with the argument that the recapitalisation of banks by the CBN is another strategy to bring more forex into the economy.

He said foreign investment would be attracted into the banking sector, which means more supply of dollars through banking recapitalisation.

“Talks are ongoing between Nigerian banks and foreign investors, who are already taking positions in our banking industry.

“The new CBN directive that banks should not use dollars as collateral for naira denominated loans would allow for more dollar sales to the market and improve the value of the naira,” he said.

He said the government was also making efforts by clamping down on illegal miners, while many companies are now building refineries for local refining of solid minerals for export and bring in forex into the economy on the supply side.

On the demand side, Akinwunmi said initiative investment like the Dangote Refinery, which has started operating, would reduce the demand for foreign exchange because now, marketers are buying diesel, Jet A1 and petrol very shortly in naira.

“You know very well that fuel importation accounts for more than a quarter of our FX demand, and now that we can meet all those demands locally, with some modular refineries also coming up, the demand for foreign exchange will drastically reduce,” he said.

He added that with another World Bank loan of about $2.25 billion at a one per cent interest rate expected, there would be enough dollar supply in the economy to reduce the pressure on the naira. He also said that in a short while, the naira would be selling below N1,000/$.

Ambrose Omordion, the founder/chief research officer at Invest Data, said that for naira to maintain the current stability against the US dollar, the federal government must ensure that our crude oil export quota is maintained, while ensuring that we develop the value chain of our cash crops for onward export to the international market.

He said it was too early to pre-empt CBN policies, adding that by the end of the second quarter, we would know whether the policies are sustainable or artificial.

“With crude oil now selling above the benchmark set for the 2024 budget, it may be good for the government, the economy and the market in the long-run,” he said.

A former advisory partner and chief economist at Price Waterhouse Cooper (PWC Nigeria), Andrew Nevin, said that obviously, Nigeria needs foreign exchange to import things that cannot manufacture, like cell phones and other things that are required for the country to function.

“In order to finance that, we need the inflow of foreign exchange; and the most important source of Nigeria’s foreign exchange earnings is still crude oil proceeds; and obviously, the remittances from Nigerians in the diaspora.”

Nevin added, “The problem with defending a currency is that we haven’t seen oil production increasing; in fact, it has decreased with the latest available numbers in the month of March, which showed that oil production declined to 1.2 million barrels per day. It is difficult to solve economic issues without adequate revenue, that’s why the authorities must do everything possible to stabilise crude oil production.”

He said he expected stability in the foreign exchange market, urging the CBN to apply the resources at its disposal properly.

There’s limit to what the CBN can do – BDCs

BDC operators alluded to the fact that there is a limit to what the CBN interventions can achieve.

One of them, Ibrahim Tanimu, who is the chief executive officer Morison BDC Limited and the zonal secretary, North-Central of the Association of Bureau De Change Operators of Nigeria (ABCON), while declining to comment on whether the current trend in the foreign exchange market is sustainable, said despite that some speculators got their hands burnt recently, many of them still believe that what is going in the forex market is purely artificial, and in a short while “status quo will return.”

He said: “Sharp practices by some unpatriotic citizens were responsible for the recent decline in the value of the naira. Naira is depreciating because about five commercial banks last week embarked on bulk purchase of dollars from both registered and non-registered Bureau de Change operators.”

Tanimu, therefore, called on the CBN to put mechanism in place to monitor the unpatriotic action of some citizens, who are bent on undermining the laudable policies of the government.

He said the government only approved the sale of dollars with specifications “like Personal Travel Allowance (PTA), Business Travel Allowance (BTA) and others, but the demand in Nigeria is far more than that.”

Other demands, such as excessive importation, travelling for tourism, holidays, purchase of materials by traders and business people, are not provided for by the government.

“The only window available for this group of people is to patronise the unauthorised operators that still exist in the forex market,” he said.

He said the activities of online trading platforms were affecting the value of the naira negatively because their transactions were not captured by government authorities responsible for such role. He added that the exit of Binance was a respite for the naira, although the impact is minimal.


https://dailytrust.com/was-nairas-world-record-a-fluke/
PoliticsRe: Good Morning Ooo, Please Wake Up, It's Time To Talk About Peter Obi by Bobloco: 9:22am On Apr 27, 2024
Another day, another hour for Reno Omokri, Tinubu apologist, Agbadorians, and Bulabans to flood the social media spaces and Nairaland with Peter Obi contents.

In this Tinubu calamitous era, Tinubu, their drug lord is bad content, while Peter Obi is providing great content for Reno Omokri and his ilks to cash out.

God bless Peter Obi.
PoliticsRe: Jegede Confident Of Pdp’s Victory In Ondo Gov’ship Election by Bobloco(op): 8:09am On Apr 27, 2024
sad
PoliticsRe: Welcome To Another New Peter Obi Day by Bobloco: 7:53am On Apr 27, 2024
Another day, another hour for Reno Omokri, Tinubu apologist, Agbadorians, and Bulabans to flood the social media spaces and Nairaland with Peter Obi contents.

In this Tinubu calamitous era, Tinubu, their drug lord is bad content, while Peter Obi is providing great content for Reno Omokri and his ilks to cash out.

God bless Peter Obi.
EducationRe: State Of Eric Moore Junior High School In Surulere, Lagos In 2017 by Bobloco: 2:25am On Apr 27, 2024
helinues:
Make una stop being George Finidi wey get starting but no finishing.

Trouble go dey sleep dey snore, but una wan dey wake am up by force.

Make una stop this cheap pettiness
But that is an eye sore in Tinubu's Lagos
EducationRe: 2023 National Schools Mathematics Championship by Bobloco: 2:22am On Apr 27, 2024
Peter Obi has nothing to prove.

Tinubu, the Lagos blueprint builder, is the one trying, albeit failing woefully, to prove that he is not a notorious monumental catastrophe, the worst president Nigeria will ever have.
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thesicilian:
Do you even know the meaning of woke? Obidients never disappoint
Were you not one of those who claim that Peter Obi couldn't win because he wasn't voted for by the north, most especially the north east and north west? Here you are shifting ground again, saying that even if the north supports him, he won't still defeat Tinubu.

Does it make sense to you? 

I thought this north is your Lord, Alpha and omega
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VinnyBaba:
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All Tinibu's Y0ruba Appointees Looks so INCOMPETENT. embarassed sad
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