₦airaland Forum

If the images of what Israel is reacting to isn't bad for the Gazan people, let Israel continue to media coverage of their defence.

sameoldguy:
Dollar/Naira is going down, but prices still remains high in Nigeria.

goods were produced when dollar rate was high so expect prices to crash very slowly.

helinues:
So it's no longer about consumption and production bah?

Una go just dey change narratives anyhow

the demand and supply of dollar is still built around consumption and production. Spmeone wants hair extension and goes to buy forex so they import it. Another person needs to scale up his farm and applies for forex to buy tractor or sheets, that's production.
These things are too complex for numbskulls.

See him white mustache. The politicians are the number one hoarders.

Secret society and their various departments. Una ndoo o.

Take it easy bro. It is all about demand and supply equilibrium point. The price for point has to be discovered by varying price over a wide range and then noting where demand seem equal to supply. Anything below that price is what constitute defending of naira or fixing of the naira. Above it is roundtripping.

Jakumo:
Chinese nationals are utterly destroying the rivers, forests and air quality throughout Africa and the rest of the developing world. Chinese timber thieves are the single greatest threat to forests worldwide, and Chinese industries in Africa treat their African workforce like slaves.


https://www.youtube.com/watch?v=Zxh8R14kUEc

Meanwhile, Russians are looting natural resources in Mali, Niger, Central African Republic, and other nations that were foolhardy enough to welcome Russians into their countries


https://www.youtube.com/watch?v=qEftR0k7Bbg&pp=ygUgV2FnbmVyIEdyb3VwICBtYXNzYWNyZSBpbiBBZnJpY2E%3D


https://www.youtube.com/watch?v=5sDQAW_VGg0&pp=ygUgV2FnbmVyIEdyb3VwICBtYXNzYWNyZSBpbiBBZnJpY2E%3D

Mozambique too. It is the Russians versus the Arabs.

helinues:
Read and comprehend buddy and stop being incoherent on my mentions

for your mind. You don yarn.

helinues:


Watch the west running Helter and skelter about this news

your hate has made your brain cake.

West will even support them with illegal migrants. They are looking for skilled hands and not social liabilities.

cleared of ties to ...

Love and greed.

Noted. At least them no sell you.

The Bank will engage its food processing customers for the purchase of food items at affordable prices while also working with all the State governors for the sharing/donation of the purchased food items.

The state govs will prefer to play politics with it. What is the use of a federal database with NIN if govs will be entrusted with palliative to deliver them?

BOI is purpose specific bank so what are they doing with food?

Putindbutt:
Go and play with sand, olodo.

what works for you may not for me. Now embrace your sand play alone...

Blackfire:
Don't let the Muslims catch you saying this o

... wetin dem go do?
Which hajj dem papa & dem mama go?

Blackfire:
If private money , no problem







If government money, problem dey

both have problems o. They are both capital flight.
Has anyone anywhere died for lack of hajj or pilgrimage before? Or fallen sick or remain stunted in growth?

If left to me alone, I will cancel all govt involvement in hajj and pilgrimages generally. That money can start processing of cocoa into chocolate and conversion of cassava into garri and starch to reduce losses by farmers.

Putindbutt:
See mental laziness at its peak, Lol. it is no longer importation that is driving demand for dollars, it is manufacturing abi?

both. Local manufacturers use forex for hiring of experts, raw materials, machinery and repatriation of profit. Your brain won't see that because you have been rewired through kola nut oaths.

forgiveness:
Selling lower from speculative figures?

Is the FG also into speculation or sell according to the real value?

the real value is arrived at when demand starts pushing supply, once the govt goes beyond that price, defence of naira is fully back.
One thing favouring the defence is limited cash to buy manufactured goods and thus fewer manufacturérs to demand forex. Some manufacturers even have goods already produced that they are trying to sell and just sitting idle in warehouses. The reduction in forex demand means naira can be artificially strengthened a little after hitting its true value.

magoo10:
Who are we to believe now,CBN said ₦1,269 yesterday.
Despite all the dropping prices of commodities remain high .

That's the price they are selling to BDC. BDCs will add their own profit according to the margins CBN has set and sell within range.

forgiveness:
Kudos. For those who don't understand. This is without defending the naira.

You are deeply ignorant.

It is being defended already technically. The govt sells so low and are always willing to go lower in order to keep inflation in check.

Here we pamper them and claim that whatever happens in the south(amnesty) must also happen in the north to balance up as if the country is constitutionally divided into northern and southern halves.

Hausa, Fulani and their conquered minority are holding the country back in so many ways walahi.

As loan or as what exactly?

helinues:
Who did you ask? Definitely not me.

So why not direct your epistle to those you asked?

did Tinubu your master and god hold them accountable or he held GEJ for everything?

God, who do he blackman like this?

Reelmii:
Make we hear word abeg

Approval without showing working....

the devil they say is in the details...

Vague trash and ambiguous error.

grandstar:
You can not mention a single economist you admire and yet, you come hear bragging about something you know absolutely nothing about.

disciple of big man. Intellectual godfatherism is affecting your brain bros. Go and eat dog meat pepper soup with your dogmatic ways.

grandstar:
Do you know how much the country is spending monthly subsidizing petrol? 907bn. That is almost N11trillion. What was the federal budget this year? 28.7tr. That is almost 40% of the budget!

You said subsidies are deadly when used wrongly!

Subsidies are generally frowned upon by economists. As Hamilton said, "The existence of subsidies can not be divorced from abuse."

Countries that have no subsidies have faired much better than those who have have.

Singapore, a tiny island state with very little resources and Malaysia, a resource rich one were the same country in 1965 when they split.

Malaysia has a lot of populist subsidies such as for food or oil while Singapore has only for investment.

Today, Singapore is 5 times richer than Malaysia

Refined oil subsidies have been a big bane to economies that have them because they are simply too costly to implement and the only thing stopping their removal is that their governments are petrified of mass protests or even regime change.

Food subsidies are just as bad. They are common in Arab countries. These subsidies have always been a curse to the Egyptian Pound which seems to take a pounding (lol) every couple of years. Populist subsidies such as for food and oil are simply there to make the people happy.

If you want productive subsidies, perhaps supplying subsidized power to companies in an Export Processing Zone, even then, it should be for a time period

Oil and food subsidies are a completely no-no.

If I want to know a country that would not do well, I just have to take a look at the number of subsidies it has.

The 11tr for petrol subsidies just isn't there. The government will have to borrow every dime of it, leading to more malign inflation and currency.

I am certain that the petrol subsidy was the primary cause of the ballooning debts, that is now so expensive to service. In 2023, debt servicing was to gulp 96% of government revenue. This was simply insane. That was why Tinubu was determined to end petrol subsidies. Unfortunately, he did not go far enough by fully deregulating its price. The price of petrol is never stable internationally and the Naira is a currency prone to depreciation.

Due to the depreciation issue, the gradual removal of the subsidy on petrol is a non-starter, especially with this government which has shown a depressing tolerance of high inflation.

If the market price of petrol is $1 per litre and the exchange rate is $1- 600, and petrol sells for N600 per litre, there's no subsidy.

If the Naira depreciates to N700 and the market price for petrol still remains at $1, and petrol is still fixed at N600, that means there's now a subsidy. Why? Because the price should now be 700 per litre. There's a subsidy of N100 per litre.

In addition to why gradual subsidy removal isn't tenable is that with every new price increase, there's a new demand for a wage increase. This new wage increase further compromises the value of the naira further.

What I'm advocating is shock therapy. Removal of all subsidies once and for all and fully deregulate the price for both petrol and electricity. Countries that have gone the shock therapy route have always faired better than those who dragged their feet.

Price deregulation changed the telecoms industry forever. The GSM operators were allowed to charge whatever price they wanted and MTN and Econet(now Airtel) both charged 50 per minute while Mtel charged 22 per litre.

This enabled MTN and Econet to invest billions of dollars to roll out millions of lines. Mtel meanwhile faded into oblivion. Today, there are over 100m phone lines compared to the 400,000 available in the Year 2000.

Imagine if the operators were compelled to charge only 22 per minute like Mtel, I doubt the nation would have more than 10m lines and it would be most likely for the rich and Middle class and with phone call operators everywhere catering to the poor.

Petrol deregulation would also lead to massive investment in the downstream sector of the oil industry. If price deregulation had been carried out in 1980s, I am certain by now the country would be refining as much as 3m barrels per day.

If investors are not allowed to charge a cost reflective price for their products, they would be discouraged from investing.

Dangote seems to only want to start production with diesel and kerosene. He is forgoing petrol for now. It is a pointer to what I said.

You always argue senselessly in the short term but silently recant and readjust your doctrine to accommodate superior logic and argument you have rejected in the past.

Subsidy is best for productive uses and not for personal leisure activities. That's sums it up and so no need to be typing useless epistles about facts you can barely interpret 5% of.

Some landlord behave like gods of the land.

phemmie06:
What a pity, greener pasture turn to grave yard. May we continue to enjoy the protection of God over all that pertains to us.

his benefits won't be held from his family unlike the green pasture republic.