₦airaland Forum

Seriously, this is madness. It is unfortunate that we've allowed religion to take over our sense of reasoning. Issues that requires logical approach now requires spiritual interpretation. How do you motivate populace to dream, to set goals, plan, persevere when all we do is tell them to pray their way out of everything. While I am not against any religion, nor I'm I against praying. But, I believe common sense should prevail when we are crafting our laws; what kind of society we envisioned, the attitude of people towards their dreams and critical path required in the attainment of this dream. Do we want to create innovative, entrepreneurial, futuristic society or do we want to create a stagnating society where people are easily manipulated to just follow orders. The choice is ours to make. Our future will be shaped based on the policy structure, systems, culture we put in place today.

I encourage everyone to read "Start up nation, The story of Israel Economic Miracle" by Dan Senor. The story about how the culture of excellence, meritocracy, entrepreneurial spirits transformed Israel from a struggling nation to a first world country. How they became the top innovative country in the world.

Speculators

FemoPolitics:
These guys you mentioned, they are BOTH FRAUDS, they cant do anything, NOTHING, except corruption

Tell me one leader that is not a fraud or corrupt by Nigerian standard. The next Nigerian president must possess these characteristics;
1. Vision
2. Courage
3. Discipline
4. Character
5. Commitment
6. Communication
7. Competence
8. Decisive
9. Patriotism

I believe the combination of these two exemplary leaders will deliver above characteristics and their impending results. I think they both complement each other

Godisfaithful:
If the government float the damn foreign exchange rate today, so many investors will be confident to bring in their currency and we will see tremendous FDI and FPI...

I respectfully disagree with you. What was the reason why CBN agreed to manage float naira in the first place? Because foreign investors wanted it. What happened afterwards, investors shifted the goal post by saying the currency market is not flexible enough, hence the reason why they cannot bring in their currency. If CBN decides to fully float naira today, these investors will still not invest and will only engage in speculation of naira. They will find other ratinale to justify their position. Most investors will not commit their capital because Nigeria is still grappling with high trade imbalance, high inflation rate and other critical macro challenges. Fix these macro problems without devaluing your currency and see how foreign investors storm our economy in droves.

FASHOLA / RIBADU

Fashola/ Obiano

Based on their pragmatism

This election is closer than i thought... I thought Hillary will win this election by landslide

locodemy:
who knows what is really happening inside maybaker?.....is like something is cooking there....

I was about to ask the same question. 23 million units exchanged hands today. What's really going on?

If that's your childhood friend, why do you need to publicize it.

This action is highly laudable and commendable. However, this should not be subject to southeast part alone. Corruption is not only a southeastern affairs, it's a Nigerian affairs. Coalition should be built to replicate this initiative all of over the 6 zones. Our Yoruba and Northern thieves should be exposed and shamed in the same manner. Let us all support the objective of eliminating corruption, in respective of its ethnic colouration.

This is interesting. Now that the price of crude oil is trending up, Dubai based asset manager see this as the best time to speculate on banking stocks. Why now? Why not a year ago or 6 months ago when the price of crude oil was trading at $26. That was when their trouble was more pronounced because of their debt exposure to oil and gas.

Non of these banks will fold up, worst case CBN will be forced to recapitalize them. I'm not worried at all

Misplaced priority. Imagine building bio-refinery when the price of crude oil is at $50/barrel. Conventional economics dictates bio-refinery feasibility at around $80/barrel. Why not channel that money to revamp current refineries.

I thought world Bank already gave their verbal commitment for whatever loan they promised. Also, why is IMF part if this story? I thought we passed on IMF because of their high covenants and high rates.

It looks like our leaders have box themselves in a corner, they will now be forced to accept IMF expensive loan and also be forced to accept all the restrictions that comes with it including famous "EPA" agreement. God help us

Can someone educate me on the necessity of black market rate? Why can't we just eliminate this completely? What's wrong with having just government rate?

I think all these arguments about our economy deteriorating because we are not buying made in Nigeria products is a little bit exaggerated. While i agree that we need to produce more, and we need to patronize made in Nigeria's products. I think there is a concerted effort by some foreign and local interest to reduce, or eliminate completely Nigerians economic, operative and industrilizing competitive advantage. I think Nigerians are helping more in advancing their objectives based on the story we tell ourselves. For example, why would our media continue to manipulate and speculate on naira? There is a reason why country like UK will continue to manipulate there currency and not allow it devalue further even when they're not part of the EU. Because it protects their competitive advantage. This same reasoning is why China will continue to manipulate their currency to protect their competitive advantage. So, why should our case be different?

By agreeing to float our currency, when our economy is not ready is one of the primary reason why Nigeria is in this conundrum today. Now we have to go through currency instability. Currency instability leads to vulnerable economy. Vulnerable economy leads to high inflation. High inflation leads to high interest rates. High interest rates leads to short term business planning, high importation rates, low manufacturing planning, closure of manufacturing facilities, contraction of ecojomic activities, job losses and others.

We need to protect our country from going into economic oblivion. Nigeria needs a positive story. A believable story that can rewrite our fortune. A story that will galvanize all Nigerians to be upright and forthright in their actions, and be more patriotic in their dealings. A Nigerian story strategized by government, promote inherently by media, echoed and re-echoed by Nigerians.

"Nigerian change strategy, planning, implementation and survival begins with me".

Agreed, it will create jobs. Would it stop militancy...? I don't think so. There has to be a united effort spear headed by the locals and the federal government to de-risk the Niger Delta and make it attractive to investments. It is only when the structure, system and fundamental business culture is permissive that you'll attract needed investment.

Nice one...thanks for sharing

Dream on. President of World Bank will always come from US, while IMF presidency will be from Europe. This arrangement is not going to change.

PETERiCHY:
Good decision

Why is this good decision?

This is really nice. BRF is a rare gem. I like the way this guy articulate policies, reels out stats, shares his knowledge of cities in the country and their needs, conveys the direction of government and governance. I hope minister of transportation, mines and natural resources, finance, petroleum, agriculture and other high profile ministries can do this on a continuous basis. We want to hear from them. Reading about policies, strategies and plans on the faces of newspapers is one thing, but hearing these information directly from them is another. Sharing these stats, results from the horses mouth add credibility, makes it believable and it adds to the urgent yearning of the people.

alphabanks:
FBNH 2.95

I don't get this at all. When is this deliberate attack on FBNH going to stop. I thought the risk profile of FBNH has gone down significantly. This is evident based on the debt rates that dropped from ~22% to ~16%. Why is the share price still heading south?

After the devaluation of naira, raising of interest rate, the next pressure and propaganda from the foreign countries is to cajole and force the Nigeria to sign the EPA agreement. The plan was to remove our industrial competitive advantage, once that is done...the short term economic incentives to import European products and others will resurface and kill our industrialization growth.

The government should, as a matter of national priority and importance not sign this agreement. By signing this agreement; it will make our economy more import dependent, weakens our industrialization exercise and further increases the probability of job losses due to industry retrenchment.

I like the initiative, long overdue. Like the vice president, Osinbajo said in one his speech. Nigeria has never lack ideas. Our problem has always been in its implementation, commitment to result. This initiative will work if it is backed by the necessary zeal, commitment, consistency and leadership it deserves. Leadership is by example, not just by some rhetoric or some paper policy. It enshrine doctrines of accountability, transparency, communication and openess to accept constructive criticism.

As a country, we need to also understand that we cannot reorient people on the surface alone. Creating one slogan of "change begin with me", or other media manipulation strategy alone will not solve our problem. The approach, planning and implementation has to be holistic. The structure, system and institutions has to be in place so that our attitude and culture can be cultivated and internalize once and for all.

Focus;

1. Emphasis on attitudinal and moral changes. How do we as a society define great attitude and quality moral standard? What are those standards? How do we educate the society, so that they can follow them all the time? A total paradigm shift from old way to new way of life.

2. Any country working against itself can never progress. Emphasis here is to create patriotic citizens.

Solutions;

1. Celebrate Nigerian heroes in all walk of life; in business, sports, politics, education, military and others. Objective should be to celebrate people with unblemished characters, personalities, attitude and great moral standard. Lets educate people about what make them stand out. Let's make movies, books about these people. Let's name institutions in there names.

2. Nigerians need to know about their history and how government works locally and nationally. State and national history, government should be a mandatory subjects for all primary, secondary and university students in Nigeria. "We cannot think beyond and above our imagination and exposure". The same way, we cannot be influenced by the history and governance we dont know. And also, we cannot patriotically defend the history and system we know. It is an embarrassment to us all when Nigerian students don't know their history or governance, but are so quick to recite Americans, British or French. I believe that by mandating these subjects in our educational institutions, it will go a long way to reinforce positive attitudes within the system, improve convictions of students about Nigeria as a country worth fighting for.

phetty:
Gurus in the house, good evening!

I would like to know how to calculate the intrisic value of a stock. Thanks

Can you do a DCF (Discounted Cash Flow) analysis? That should help you determine the intrinsic value of any stock.

This is nice...competency, experience, character should always be the primary yardstick for appointment.

phetty:
I seconded the bolded

They can use their depositors money to buy government bond at no risk. Easy money right...

davide470:
MPC Meeting:

Interest rate (MPR) up +200bps (now 14%)

Liquidity ratio still 30%

Cash Reserve Ratio still 22.5%

The end of industrialized Nigeria...back to the Era where banks don't have to work for their earnings. Era of free money. Let's kill the economy so the banks can survive.

24hourNigeriane:
Operatives of the Nigerian Navy Ship (NNS Delta), Warri, Delta State have arrested and paraded suspected members of the Niger Delta Avengers. The Commander, NNS DELTA, Commodore Joseph Dzunve, while parading the suspects, gave their names as Felix Ibiador and Prince David. They were arrested on July 10th with new 11 motor batteries and electric cables allegedly used for bombing oil and gas pipelines in the state.



“They are suspected members of the Niger Delta Avengers. Ibiador was the supplier of the equipment used for the bombing of oil pipelines. David was the mechanic who repairs their boats which they use in conveying these materials whenever they run into problems. Further investigations would be handled by the appropriate quarters who will review the extent to which they partook in criminal activities in the region” Commodore Dzunve said. [b][/b]During interrogated, both men denied claims they were members of the militant group. When asked why they were in possession of bomb making materials, they could not give any reasonable answer. [b][/b]Also paraded were four men who operated illegal refinery in the region. All the suspects have been handed over to the NSCDC for further investigation.
More info @
Source

http://www.dianaplay.com/2016/07/photos-nigerian-navy-parades-suspected.html

They were not NDA members, but could not explain what they were doing with bomb making materials. Interesting...

feelamong:
http://nairametrics.com/boom-naira-hits-n319-at-the-interbank-mid-day-trading/

Your naira is really Floating now...

where are the men in black?

And the naira story continues...these foreign investors will not invest until naira hit 400 naira. After significant rise in inflation, interest rate, job losses and reduction in other economic competitive advantage that we have.

EDUECO:
It is 34 Kobo not 60 Kobo

60 kobo is correct... investment gain inclusive

feelamong:
Flat Result bar the sale of their Insurance...

so where is their Interim div na?

They should be able to pay interim dividend. 1.5 billion gain from the sale of investment should be paid out as interim dividend. That's about 25k per share

Chukzyfcb:
I still maintain my stance bro. The upward trajectory of our debt has been because of reduced revenue. Oil price reduced by 50% so funding budget will be tough, that's why people suppprted devaluation. In devaluation govt can make up for the loss of revenue from Oil price. Currently 1barrel of Oil trades for $49 & we export bout 1.9-2.3million barrels per day whereas the 2016 Budget projections say we need 2.2million barrels & a price of $38 per barrel. So as you can see we are even doing better than the projections, with the profit from devaluation it means we should even meet the demands. Don't forget our GDP-Debt ratio according to kemi adeosun is among the lowest in the world, so it gives them more leverage to borrow more

Based on the federal government's 2016 budget, they proposed to spend about ~1.5 trillion naira to service our debt. I'm not exactly sure of the breakdown of the debt, what is local or foreign. My point is that at the end of the day, we will spend more than 1.5 trillion to service our debt. The dollar denomination part will have to be adjusted based on devaluation.