₦airaland Forum

Nice!! only driven the school racing car once,joined the bloody motor racing society only to be shifted out systematically- I wasn't a mechanical eng student

ss there are some here, not exactly everyday but might just do Lagos skyline and I'm sure you've seen the other one.

LAGOS (Reuters) - Investors in Nigeria's burgeoning stock market are seeing danger signals that the recent rally is turning into a bubble.

Concerns focus on banks, where share price growth has been spectacular since a wave of consolidation in 2005. Most bank stocks have more than doubled in value this year alone -- some have risen by more than 500 percent -- and the majority now trade at more than 20 times their expected 2008 earnings.

Investors say these multiples are unsustainable, even for a fast-growing "pioneer" market like Nigeria, where investor confidence has been growing steadily since economic reforms began in 2003.

"All the indicators of a market going out of control are here," said Jonathan Chew, head of Imara Asset Management UK Ltd, which has $25 million in Nigerian securities.

"When the entire retail sector is talking about stocks and shares, you know it is getting toppy," he added.

Reforms introduced by former President Olusegun Obasanjo won the country debt relief and a BB- credit rating in 2005. Optimism was fuelled by a peaceful transition from one civilian leader to another in elections in April -- a first for Nigeria -- despite widespread vote rigging.

President Umaru Yar'Adua has promised to extend Obasanjo's reforms and the All-Shares Index is up 68 percent in the 12 months to Aug 15, while the naira currency has strengthened against the dollar.

Fears of a bubble in the banking sector have mounted on reports that some banks are engaged in highly leveraged share purchase schemes through stockbrokers.

One senior bank executive said he knew of one case where a capital market operator borrowed 6 billion naira from a bank to invest in that bank's shares.

Bismarck Rewane, a consultant with Financial Derivatives Co. in Lagos, said the practice was widespread.

"Margin trading is the biggest gamble in town right now. It's very dangerous," he said.

'UNBRIDLED RISKS'

Godwin Obaseki, managing director of brokers Afrinvest, said banks have extended big loans to brokers, perhaps as much as 20 percent of the whole country's credit. But he said he did not know of cases where banks insisted on the loans being used to buy their own shares, which would be illegal.

© Reuters 2007. All Rights Reserved. | Learn more about Reuters ; http://africa.reuters.com/business/news/usnBAN547936.html

http://naijablog..com/2007/08/big-brother-africa.html na wetin u na dey wash be this?? make daddy adebayo and imam rasheed come cash u

they say it has no negative /positive impact so i guess it also means inflation wont be affected-no movement?
so what exactly is the point?

what is capital account transfer?

video editing software

a proposal for what? tv programmes, ideas?

oh puhleaseeeeeee! so we should continue paying till they sort themselves out? why don't they return the money anytime they fail.
when you invest 10b you should make sure everything is in order before the kick off
this is business not some nation building exercise.

noice!! nice!1 that's what I'm on about!! real performance car!

seems they guy likes American dollar too much!

The currency changes apply to commitments Nigeria has made under International Monetary Fund (IMF) rules regarding currency transfers.

bbc

Let him do what he thinks will work. If it doesn't work, well too bad, but atleast he tried. But if it does work, we can move to doing other things to strengthen our economy.

I'm sure you'll hate to think of what will happen if it doesn't work, they better start their annual road show this month!

will there be N1 notes or it will be coins? i guess bank will have to re-programme all their ATMs

aisha2:
I was hoping that since this issue has been clafiried some people will come and appologise for making false and inflamatory statements.
Well, i just have to welcome myself back to the world. Those peole are not concerned about Nigeria's progress, they sit and wait for any bad thing to happen in Nigeria so they can insult their own country to justify the sorry state they have unfortunately found living in.

you are one brave lady o!! apologise? apologise?? i cant believe it !! you are asking for their right eyes lol, ignorant people are too big for themselves you know

try using the following words in any of your sentence and you will see them flocking in here like its Xmas - hausa, Muslims, sharia,

the NDLEA are doing well o, they are really catching those couriers, i hope they catch some big wigs too, well done to them!

@Disguy
Yaradua is a current GED of NNPC and the most senior official after the out gone GMD. So, until the new political appointment is announced, he should rightfully be the acting GMD. And yes he is from Katsina state.

I know, i was responding to babasin who said he was appointed because he is hausa and from katsina. babasin is a conspiracy theorist i think

azorjiu:
N20 will be equivalent of 20k
The nigerian police should brace up for the challenge.

and if they and the agbero refuse, do you have any choice?

My own opinion on the issue is to wait and hear from analysts that understand the economic benefits viz a viz its implication via the dollar.

if you read the papers, some 'experts' also have issues with this policy

azorjiu:
$100 today = N12500 today = N125 august next year = $100 august next year.

How then will nigerian in diaspora be the ones to suffer the effect?

the money is the same just the zeros are different

a. Inflation control: For example, items in Nigeria hardly jump from N1000 to N1014. Under the new regime with the use of coin, such an item will cost N10 and can easily be N10.14k. The point is prices of things change but the increment is actually tied to the currency denomination available. Items can now change from 5k to 6k (that is N5 to N6 as of now which not possible, it will rather jump to N10). This is a very positive development because with low inflation, you get a stable economy, with stable economy a lot of good can follows.

when the N1,N2 coins were introduce, i'm sure the CBN said the same thing, goods will be priced N71, 66.50k and so on at the moment people don't do this, since they introduced it they should follow it up with 'pricing' ( i do not know if they are responsible for this though)

5. Improved Currency Span: Once we start using coins, life span of our currency will definitely increase reducing how much we spend on the long run on printing and replacing old notes.

they just introduce the coins and N1000 early this year or last year citing the US model as well. the governor said something like if a cashless society like the USA can have $1000 bill i don't see any reason why we shouldn't'

The intrinsic value of the Naira can only increase if the economy improves. Perhaps the minister of economy should have concentrated on that aspect first!

Yup!

Dr. Biodun Adedipe, former consultant to the World Bank. "The policy shift was done for the re-alignment of the economic fundamentals. Generally speaking, this kind of policy shift is adopted by an economy that is a net importer because the demand for foreign currency is always high.

"The market is erratic and the currency needs to be strengthened and that was why the custodian of the currency, that is the CBN will have to adopt an appropriate policy.

"But everything will have to depend on the value adopted after revaluation as so many things will have to be considered. For instance, capital account derivation."

Lawson Omokhodion of the defunct Liberty Bank Plc said: "It is nonsensical. It won't work. This is sheer prevarication because, they will go up and go down. Was it not Soludo that introduced the N1,000 bill?

"Even in the U.S. we have $1,000 bills and in the UK (United Kingdom) there are �50, �20, �10 and �5 bills, not to talk of Nigeria where cash is King. N20 note the highest denomination in a country where they do not honour cheques?

He said that the economic implication theoretically is that people will be forced to spend less.

Whereas in reality, he asked how would that stand taking into consideration the cost of production as seen glaringly in dilapidated infrastructure, among other sundry problems we were currently facing.

"The CBN should be planning to take us to the status of America and other advanced economies of the world instead of relegating us to the levels of Ghana, Malaysia and other lesser economies," he said.

guardian

Were are all those economic students self

will this improve the economy?
are accountants having problems with calculating the Naira as it is?
Is this to ease the weight of cash in our wallets?

as it is people hardly use the N1,N2 coins, Nigerians love huge currency and reducing the 'number' will be a psychological blow to some people

Even though it is sort of infringing on people's rights it is however necessary to be appropriately dressed for work.

and you also said it is necessary to dress appropriately for work

here after directed that hence forth ladies should dress appropriately while going to the office

I don't really see how this is infringing on people's rights, im 99.9% sure those workers are not graphic designers that can wear anything the feel comfy in

To be honest we don't even have any evidence that he Benue state government did anything in the first place i think someone or some people just misinterpreted what the governor said according to this

The people in Lagos don't take shyte from anybody apparently but hey the state govt and police are coming down hard on the 'very educated' women , they are grumbling but not complaining

Story. . . of course it's never their fault, in this town people don't own up to anything bloody money suckers!

Anyone think that DSTV will reduce their price? N10,000 for that and another N4000 for (S)HITV is too much!

yup they real shyte!

UPRISING:
this is just the begining , very soon
it will spread to all the state in nigeria.
how i wish they will start in lagos and
abuja, well na them sabi

where have u been? check the other threads next stop enugu state

every likkle game counts- 3 points all the same

_{mukina2, uche is supporting our very own Danny Shittu}

have you seen the prospectus? _{come tell us where exactly did you get this your crystal ball? the boot sale?}

and who is OBI? why wasn't he rejected when he made the application? and passed the screening he has a degree and met all of the requirement advetised

they say you should be patient and since you are paying a low price you dont have the right to complain- well not this loudly

https://www.nairaland.com/nigeria/topic-61371.0.html

when companies start selling their products based on sentiments/patriotism then you should know there's something wrong

Thanks Hakir, you are doing a great job in here

• Evidence of advance payment from the seller

what percentage of the value is the minimum one will be required to pay in advance?

santony2k, it will be in phases it is actually a 25year project so some sections wil be completed well within that time-hopefully