₦airaland Forum

saasala:
After fvcking countless d1cks... I know this Chika cant afford this house with the meagre 400k per movie she gets, and we all know she has no good endorsment.

Nice realistic comment. Sad people don't investigate properly. She cannot afford this with her acting job. Either she pushing drugs, into money laundering or has some sugar daddies or even the combination of all three

NOI - we really do not want to hear that name

hollandis:
Unlike most people ,I love the free fall of the Naira .In fact I hope it gets to 500 Naira ASAP.
Imagine having 10$ and being 5000Naira richer .Sounds good
The bad economy of Nigeria is advantageous to me .Thanks Nigerians for voting in mediocrity the biggest scam called change .It is helpful after all
Long Live Buhari
Long live Afeecee

Are u spending your $10 in Nigeria?

Bevista:
Ordinarily, I should not comment on this thread since Ubah has not mentioned how he would go about it. However, for the benefit of those who might get swayed by his cheap claims, I'll say something.
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The exchange rate (PRICE of dollars) is determined primarily by SUPPLY of dollars (through exports, FDIs, foreign borrowing, etc) and DEMAND for dollars (through imports, payments of foreign school fees/medical bills, online purchases, etc). The NET flow of these transactions determine the Balance of Payments (BOP) account with the Central Bank. Elementary economics tells us that when demand exceeds supply, prices go up!
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Coming back to Nigeria, it is well known that oil accounts for 95% of our FX earnings. As oil prices have collapsed from ~$100 in 2014 to ~$30, our supply of dollars has dropped tremendously. This is even worse when one considers that our cost of oil production is ~$20/bbl, meaning that our dollar revenue from oil has dropped from ~$80/bbl to ~$10/bbl. On the demand side, the request for imports are increasing. With such supply shock and increasing demand, there is only one way for the exchange rate to go. This is basic economics and has nothing to do with Emefiele or Buhari, except you are simply being mischievous or grossly ignorant.
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When oil collapsed from around $147 to $38 due to the 2008 Global Financial Crisis (GFC), Nigeria had a Foreign Reserve of ~$62bn. The then CBN Governor had to spend ~$20bn from the Reserves to meet import demand thereby preventing devaluation/depreciation. Between 2011 & 2014, oil price was above $100, meaning that the administration never had a dollar supply problem and so could maintain a stable exchange rate. Fast forward to late 2014 when oil prices slid to ~$60, the CBN had to devalue the Naira twice within a period of 6 months (Nov 2014 & Feb 2015) because the Reserves were too low (<$35bn) to deplete to support imports. Now in 2016, oil prices are around $30/bbl while FX Reserves is less than $28bn. The supply shock has reached unprecedented levels, yet demand for imports has not decreased. There is absolutely no way that the exchange rate can stay below N250/$. Simple economics says that price will continue to move till a new equilibrium is reached where demand equates supply.
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There is no policy from Emefiele, Soludo, Greenspan, Bernanke or any other Central Bank governor that can strengthen the Naira in the near term. Except we want to completely deplete the Reserves or go to the IMF to borrow SDRs just to meet import demands. Brace up folks, if oil price collapses to $20 (thereby increasing the supply shock) the exchange rate shall hit N1000/$ and I repeat, this has nothing to do with Emefiele or Buhari but simply economic forces. The only thing that can save the Naira is either for SUPPLY of dollars to increase (through high oil price) or DEMAND to reduce. Since we do not have control over the supply side, we can at least focus on managing the demand side.
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So Mr Ifeanyi Ubah, you have zero knowledge on what you are talking about. With all the money you made from the last government, you can start by building a refinery or some other manufacturing facility (like Dangote) to help us substitute for imports. That would help the Naira more than you seeking cheap consultancy from the government. Or except you want to broker a deal for the government to give amnesty to your Dasuki-Gate friends, so they can bring out stashed up dollars from soakaways and graveyards to support the economy.

You could not have said it any better

SonOfEl:
Same old propaganda. No sane person will buy your cock and bull stories. America had an economic meltdown in 2008 like never before in their recent history, when obama came in with his policies (obamacare, increased debt ceiling, bailout fundings, etc), look at where they are now. Their economy has recovered. He was not blaming George bush for anything.

Seasoned economists warned buhari about his economic hogwash, but no, IMF and foreigners wants to "enslave us" again... Bla blah blah.....you and your President Buhari in chief should sit up and fix the mess you have plunged Nigeria into.

I don't understand your comment. Nigeria has been in recession since 1984, we showed a glimpse of recovery during the Obasanjo tenure and rather than continue with the same policy, Jonathan took us back to 1984 and even worst off.

We are yet to see the economic blueprint of the Buhari administration. The budget is yet to be signed. We only hope it will alleviate the sufferings placed on us by the ineffective Jonathan. I am not a supporter of Buhari and I will cut him no slack if there are not positive economic blueprint. Though, I don't expect the economy to recover anytime soon, but a blueprint or plan would suffice for now.

On the other hand, we expect naira to hit N500 per dollar in the parallel market. This point maybe the equilibrium point expected.

TheGoodJoe:
[b]You find also that the same debt that she said she cleared, is what we are again almost back into. In addition to that, debt is being aquired at rates which even a standard six person as Minister of Finance should not accept.

Why would you borrow to fund government activities at 12 to 15 per cent? How could you be Minister of Finance at a time that your President is going to China as President Jonathan did about 18 months ago or so to borrow $1.5billion from the Chinese for transport and other infrastructural development, and simultaneously on the same trip to China, your Central Bank Governor on the trip was asked, “what are you doing in China,” and he said he was looking for ways to invest the CBN’s foreign reserves.

How could you have a Finance Minister and the Coordinating Minister of the Economy who cannot put the two together?

How could you have a Finance Minister who, during the fuel subsidy upheaval of early 2012, did not know the level of rot in the subsidy business? She is not just the Finance Minister, but also the coordinating Minister of the Economy![/b]


https://www.nairaland.com/2588787/okonjo-iweala-failure-henry-boyo

Great comment! If you check my previous timeline, you would be able to find out where I largely criticised NOI. To me, she was a payment minister. The country had no economic blueprint, the economic management team was made up of businessmen who only thought of their interest and not that of the country. Import quotas were distributed to friends. The country lost money on relief on custom duties.

TheGoodJoe:
There was a windfall of dollars during GEJ's reign which would have been the best time of Nigeria's growth. Instead, we recorded the worst times in the country. Even Gen. Abacha performed better than these people.

I strongly agree with you on this, in respect of Abacha, though he operated a fixed exchange rate of N27/dollar which never changed throughout his regime and did not portray the true economic realities. However, the looting was only limited to a small number of people and not pervasive like that of Jonathan's era. I have not seen where the treasury was so accessible to everyone, even to the Janitors.

Jonathan was surrounded by stupid people and implemented stupid ideas. Examples includes, delaying to find the Chibok girls, delaying to fight Boko Haram with the view that the sect would decimate the North-East, hence increasing his chances of winning the 2015 elections. Under-funding the military in the fight against Boko Haram, implementing Ethnic-religion and partisan politics, paying for prayers etc. What a clown we had as President - I remember one of his famous statements - "Stealing is not corruption".

A lot of ignorant people would want to blame President Buhari for the economic hardship and nosedive of the naira. However, this economic issue was created by the Jonathan Administration, where the main politics was sharing monies to cronies - The "South Africa Cash Airborne" comes to mind here. There were no proper accounting of public funds. The CBN was actually crediting accounts of PDP members. Even Pastors and Musicians got a piece of the National Cake. During the Jonathan administration, the price of Oil was at an unprecedented high of about $186/barrel. What did our darling President do - he squandered the cash receipt from oil sales, he also supervised oil bunkering for personal enrichment. If we do an estimate of what our federal reserve should be when Obasanjo left, if Jonathan truly cared, it would be estimated in trillions of dollars, large enough to sustain the economic in this period of oil price decline, large enough for importers to continue with their normal lazy way of importing toothpicks into the country. However, the present administration met an empty treasury. However, we should be grateful that the government is no longer borrowing to pay workers. A disastrous effect that would have boomerang if Jonathan had continued as President.

We thank God!

^^^^^ Before you start a thread, the first thing is to consider how knowledgeable you are with the issue you intend to discuss. What do you really know about devaluation?

The president has explain this term in plain terms and yet people continue to have concerns. I find it very disturbing that some Nigerians would want devaluation of the naira. I will only understand of this concerns come from foreign investors or Nigerians in diaspora and not Nigerians living in Nigeria. What do we really manufacture in this country.

Let me help you out - devaluation is the deliberate attempt to reduce in value a country's currency. This attempt is to reduce price parity between -a country's goods/produce comparable with other countries. That is, to make your export product cheap. Now, if we devalue, we majorly export oil and some few cash crops and import a whole lots of goods. We also have some market irregularities such as currency speculators who intend to cash in on devaluation e.g BDCs and Mallams.

Also, the President is the chief executive officer of the economy, the buck stops at his desk. He gives the final say and make decisions in the best interest of the country

simplycarro:
We've seen how well that your godess managed ( mismanaged ) the economy even with the best prices in crude oil.
Just accept that she supervised the greatest heist in modern history of Nigeria,
You can keep mastubattingg over her achievements, however the records are in public space.
Joanthan would be regretting the day she agreed to make her dis-coordinating minister of the economy as she just allowed all sort of economic rent seekers a free reign and assault on our treasury.
You should be ashamed to be defending such a useless and grossly incompetent bufffoon of a minister.

I really do not enjoy commenting about NOI, but her tenure as finance minister and coordinating minister of the economy is extremely shocking. Our present predicament is as a direct consequence of her actions. During and after the Obasanjo regime, we had no debt, infact there was surplus. The federal reserves was bolstered with about $43billion, please note, not million.

During NOI, the government was borrowing money to pay salaries. That is a huge indicator of calamity and in her own prudent way of lying, she said the economy is in good shape. The economy can never be in good shape if you borrow to pay salaries, which means your expenditure is more than your income. Now, we are back to huge debt.

Also, another astonishing issue about NOI competence was that, when the US started their shale oil cracking, there were indications that the US would discontinue or reduce its oil dependency in other countries, this woman, with her Harvard degree and world bank experience, should have forecasted an economic tsunami about to hit Nigeria. We saw it coming and we knew oil prices would drop. If I had bet against the Nigerian economy at that time 2011, I would have been sleeping in my Banana island mansion now. She did nothing, but indirectly supervised the looting of the federal reserves and even borrowed to sponsor election in the guise of fighting Boko haram.

Let's be honest, if Jonathan had won the election, NOI would have forced Emefiele to devalue the naira and possibly the naira would be N1000 to a dollar. Throughout her tenure, her interest aligns with that of world bank. To me, NOI was a voodoo economist and the worst finance minister so far. I say this without prejudice or ethnic bias, we even belong to the same ethnic group.

Ngozibotic:
Dunce.... ....each body decides the terminology they employ to describe certain classifications of expenditure...or income. In her use of capital, overheads and salaries...she accurately caught all the relevant classes to drive home the import of her message.

Nope. She even stuttered with the terms. I do not appreciate the name calling and especially when you, yourself do not understand the terms. What you are saying is that I can call a motor vehicle a steering wheel mover, since steering wheel is part of the component of a motor vehicle. Please examine yourself when expressing your opinion. She used the wrong term. Though I don't fault her for that, but when the Economists and Bloomberg are writing about the technical abilities of the minister and you observe errors like the ones mentioned, it only gives one concerns. Nothing more, but concerns.

simplycarro:
Bros sorry, what exactly do you mean by REVENUE EXPENDITURE ?
I know of Capital and Recurrent expenditures but not Revenue Expenditure.
I would rather judge this woman at the expiration of her tenure.

Apologies I used the commercial terms rather than the fiscal term - it is actually Recurrent expenditure

I watched the video clip three (3) times and I am a bit worried. Yes, she was speaking unprepared and gave illustrations, but her choice of words gives me concerns.

She is the minister of finance and must be articulate with budget terms. Rather than N6 billion from the centre. She should have used the agency was allocated N6 billion cash receipt as indicated in its budget. Also she mentioned, capital, overhead and salary. Madam Kemi, it is Capital and Recurrent Expenditure - Overhead and Salaries falls within Recurrent Expenditure. The agency also made N16billion cash proceeds from the public and I think the minister meant N22billion and not N24billion - arithmetic error. This happens, but one begins to judge her competence based on errors like this.

My other concern is if this agency got extra cash receipt of N16billion, was it indicated in their budget as cash receipt, since N6 billion caters for both capital and recurrent expenditures. How was the N16billion utilized in the last fiscal year and only N3million was declared as surplus. I agree with the minister that the agency should be audited to ascertain whether there have be misappropriation of funds.

Overall, these are petty errors and should be excused.

I doubt Pat Utomi said that

modath:
I'm talking real Italian leather not regular high streets shoes...the argument is not about quality, it's the name & catchet "ITALIAN" made.. dazall.

I dont know why people quote & comment without full understanding of the context!!

Nothing is wrong with 3k shoes, I buy knockabout slippers of 2k but do you really believe genuine Italian leather shoes could ever retail at even 10k?

It's like a lady paying 8k for a bag & believing it's real Michael Kors/Coach/Fendi/Marc Jacobs / Channel/ Gucci bag just cos the name is emblazoned on it....

Aba shoes quality is not the Topic, it's the branding...

The process of extracting leather from animal hides is the same. Leather is leather. The difference is manufacturing process. Which can be sorted out by providing adequate finance for the Aba shoemakers.

Also, the names you called are brand names. People patronizing them are paying a premium price for the brand because they want to differentiate themselves. There is nothing so special with the Gucci or Hermes Bag, just the brand and I must admit they have leverage and can employ creative designers into their studio.

Heart2heart:
heading to aba soon to replenish my wardrobe a little. Aba is were i buy clothes, even bespoke ones and it would take me eternity to find another person wearing same thing. I get a lot of admirations for my attire. People wanna know were it was made and who made it. when i say my aba designer, u hear "come on, be serious naa". Me na aba brought up oo, so i know what that city has got.

One day my boss bought Pams for 14k at one boutique in ph, i told him this same pams would go for much less in a boutique i know in A-line and powerline. He rhapsodized how the footwear was italian made. I told him in no disrespectful way, sir this pams is made in bakassi, Aba. He said the quality was just way beyond what can be made in Nigeria. He never knew the ingenuity of those guys in aba...

I strolled into aba and searched for it in those boutiques i know well in my years in ariaria. I got fit for 3k. Took the receipt (something i never do).

Wore it on a friday to office, my boss wan faint. He knows too well that back then i cannot cough out 14k on pams (glorified slippers). He saw the receipt, to even butress my point, i told him you can even speak to the seller on phone since his contact was on the receipt. I think the aba craftmen should just stick to their name and fly it. They are as good as that...people who export their shoes to europe, i wonder why the complex.

I agree with you 100 percent. The creativity of the shoe makers and fashion designers in Aba is out of this world. If promoted, they will compete with the Italians

It all boils down to laziness and lack of creativity. We prefer imported products and would go to all length to procure imported items.

I believe this is an opportunity for us to develop in house. It is only a challenge and not a problem. Only Nigerians can solve its problems. We must begin to make products that the world would love and die to buy and not the other way round.

Devaluation would cripple us.

CastedDude:
nice..see the resemblance.

Where? They were all wearing sun glasses.

nuelzy:
"spraying" ....

Thought I was the only one to see that - these guys need media outfit/publicity to handle their media content. For him to mention it twice depicts word dysfunction.

What is the Nigerian Bar Association waiting for to suspend Ricky Tarfa license? Don't they have Professional Codes of Ethics again? What is the Judiciary Council also waiting for to suspend the Judge? They may be presumed innocent until proven guilty, however, because their actions are bringing discredit to the law profession they ought to be suspended indefinitely at the moment, pending the outcome of the court case, which afterwards proven guilty, disbarred from practising law in the country.

Also a shame to note that this same Ricky Tarfa came to court with over 90 SANs to intimidate the Judge.

MODs this is front page news

godsluvee:
The bank should better return that money. My money they took since November, they havent returned it yet who knows, that might be his last cash

Why should the Bank refund the money. There is the possibility that the man connived with his friends to withdraw the money and he decided to act nollywood with the view that the Bank will reimburse him. Well, he should reconsider. That is why you must protect your banking information and do not disclose to anybody. Even as I write this, people still issue their pin and ATM card to errand boys to assist them with cash.

erico2k2:
Name one goods it won't affect. Then I will tell you how it does affect it then you will recognise what shyte we are in

Cassava. Over to you

Pesuzok:
Even with the exchange rate, food price is still the same, petrol and other necessities are still the same price

The exchange rate should not affect locally produced goods. It will only affect imported goods and services. Hence the urgent need to reduce consumption of imported products.

cheriey:
Com'on ds is bad, what about us, I can't order stuffs online again. Nt happy at all

Yes you can and it should be at CBN rate plus Bank charges which should not be much.

Plus234:
how much is a bottle of beer now ?

Still the same amount because it is produced locally except the bailey which is imported, but I guess it can be sourced via the CBN official rate.

Who are the mad people requesting for devaluation. We have not even devalued and the naira is about to hit the N400 ceiling. Apart from foreign buyers who are desperately calling for devaluation before it would be cheaper to buy our products, any other reason is untenable. We are in a fixed state, a terrible mess and we require an urgent redress of the present situation.

I still insist that the CBN maintains its official rate.

Proudlyngwa:
. it is as long as four local governments and as wide as some states.

Hmm strange indeed. We wish them well and God's protection

One begins to wonder if this Sambisa forest is like an entire state that cannot be entirely combed.

This is a talk ambition. All what the ruling party needs to do is continue to show how much PDP looted in the last 16 years. That's enough campaign to make Nigerians never to vote for PDP again.

I think their career is coming to an end and they need to revive it

From what I heard, I thought Jude was the one who sponsored them and supported them. Now, they are big stars and the artistes now employs the manager. How about Jude owing the company and the artiste are his products like chocolate city. Well I don't know what there arrangement is and probably this is another stunt.

slimmy2005:
Magu is an ignorant skunk. That is exactly why they are trained to do. Defend irrespective of the offence, an accused remains innocent until proven guilty.

Excuse me! It is actually a disgrace to have over 30 Senior Advocates of Nigeria defending one man - where is their conscience for christ sake.