₦airaland Forum

As usual another anorexic looking model.

pennyforthought:
Foreign reserves are phenomenally easy to acquire for a resource based economy, especially one that relies on oil. Literally exporting of crude earns you dollars. Nigeria is far weaker than South Africa in every other metric be it economic development, diversification, infrastructure, literacy, wealth per person, etc.

Indeed, hence why this news isn't a course for celebration.

aribisala0:
Simple question

Can you give one example where Foreign exchange reserves have EVER been used as a collateral?

Why should I reply an unintelligent troll who supposedly knows more than BOE, has refused to read the information provided but instead spread his ignorance. Please get off my mentions and welcome to my ignore list.

aribisala0:
You can be confident I won't be visiting your little blog.

Take home points

Foreign exchange reserves are not government reserves or funds
They are CBN assets used to maintain value of naira and support international trade
They cannot be used as a collateral FOR ANYTHING
Governments do not routinely provide collateral to investors ,I have never heard that before

Can you give one example where Foreign exchange reserves have EVER been used as a collateral?

Just One

Read below, Bank of England definition of FER and equate it to the junk you've been writing. FYI, FER is not only exclusive to your highlighted comment.

This conversation is definitely going nowhere, so knock yourself out if the link below can't cure your ignorance.

https://www.bankofengland.co.uk/-/media/boe/files/ccbs/resources/foreign-exchange-reserves-management.pdf

aribisala0:
collateral for what? what nonsense are you talking about?

Can you tell me one example from anywhere where foreign reserves have been used as collateral?

If they are not even used as collateral for borrowing cash how can they be used as collateral for investors. An asseet that des not belong to government which is highly liquid and volatile? guy you really are out of your depth here and do not know what you are talking about

Crashing of ruble is irrelevant to FDI discussion we are having here and is just a gratuitus diversion.


FDI and Foreign reserves have no correlation.

Investors are interested in genuine opportunity ,security and rule of law not foreign reserves

You Nigerians never fail to amaze me. A quick Google search will cure your ignorance (see below).

https://www.economicshelp.org/blog/853/currency/foreign-currency-reserves/

Have a read or continue in your ignoramce. Investing in third world countries are normally deemed high risk. Therefore, your need a degree of credit worthiness to attract significant investment.

aribisala0:
Can you give me one example of an investment just one, where Foreign reserves have been pledged as securty to ensure investment security? ANYWHERE in the world

Seriously.... You do not know what you are talking about and you are talking to someone who can see through your bluster.

Guy you are talking jazz

Use your brain man. Without high Foreign reserve what collateral does Nigeria have? You think CBN is just piling on cash for nothing?
In literal sense you don't go to investors with just high FOR but it's part of what will give an investor confidence in your economy.
Without high Foreign reserve Russia rubble would have crashed due to U.S. and EU sanctions.

aribisala0:
Foreign reseerves attrct FDI

How exactly does that work?

High Foreign exchange reserves (FER) is really important for the developing countries. Because investors in developed countries like UK/USA etc. often require developing countries to provide high-value U.S. financial instruments as collateral to ensure the safety of their investments. That's one of the reasons Nigeria tries to export to U.S. and other western countries so as to accumulate large reserves, with which they can buy western countries financial assets (such as bonds).

It's not the end all and be all tbh, but it does help.

Looks great. This is the only mega project in Nigeria I can't confidently class as world class. However, things seems to be moving slowly?

Seun how could you allow these intrusive pictures on your site? This is beyond disrespectful not only to the dead but to the family of the dead man. I am sure the parent are going to feel better when they see the internals of their child floating on the web.

I am getting close to deacticating my account.

Rip but on another note, it's still concerning how Fulanis one of the minority tribe, always end up as the president. They are way too over represented in politics.

This might be out of place, but it should be a concern to everyone as I can alsi see the candidates being proposed for 2019 are also fulanis.

Why not create a regional police? I do agree that state police is susceptible to abuse but I think regional police will provide a better solution.

fabre4:
People that don't know what restructuring is are even talking

I can guarantee he probably knows more about it than you do.

Without restructuring a collapse is inevitable as the system is flawed.

Substation in free air on fire? That's a sign of an overloaded substation, which is even more bizarre as it looks like it's a primary substation.

Raaar..... that hurts

Irrespective of where you stand politically, labelling all fulani herdsmen terrorist is a bit unfair and unhelpful. Yes, Nigerian does have a problem with significant sections of fulani herdsmen but not all.

What I do agree with is that Buhari appears to be taking a tribalisitc soft touch approach toward his fellow tribesmen.

I find it brave of the family to come out with this statement. RIP Man

It's not useful in Nigeria anyways.

TITOBIGZ:
ayo am falling,am slippin
l can't get up,
ago am falling,am slippin,
I can't get up,
nna get me back on ma feet
so I can tear d sh*t up.


;'(

DMX? Tired of y'all .

Boss13:
Not true

A lot of Billionaires do take the tube, I am not sure about the bus though.

Kudos to Lagos state govt. I am extremely happy to see Lagos with a functional (partial) emergency unit. It's a start.

Interesting.

In view of the nl front page news, i must say this has been an Interesting read indeed.

tensazangetsu20:
Never say never. People said the same about the Japanese automakers when they started and look at them today. Also look at how a young tesla is changing the auto industry. Nigerians all need to support innoson doing business in this country is very hard and he should be applauded for even taking the initiative especially in a field like manufacturing. Mind you Nigeria has no viable steel industry.

Apparently, his cars are much more expensive than the foreign ones. That tells me two things, most of the part are sourced abroad and tue poor infrastructure in Nigeria is working against him.

The only way to support him is to do what Japanese did by becoming a closed market for a while and raising imports duty to astronomical levels.

supereagle:
Their vehicles are expensive more than imported, Nigerians are not patronising them.

There's no way he can compete with a foreign automaker as business practices in Nigeria are too inefficient.
He's got to battle bad electricity, transport, infrastructure, foreign exchange (expensive foreign parts) etc.

NO CHANCE!

Wow! They must have had an insane turnover/profits. Good luck to all those applying.

This is not right IMO. LAGOS is not kogi. What's the economic benefits of this move? I wonder how this politicians reason sometimes.

I remember Telegraph publishing a news about how tube strike cost london £500 million per day.

I won't be surprise if lagos lose a tenth of that over two days.

MIKOLOWISKA:
grim for you maybe

Looool. Whatever happens in Nigeria has little or no effect on my future from a financial point of view. Sadly, all the resources wasted by politicians are potential profits from investments, that could have employed millions of Nigerians and subsequently the standards of living.

Anyways, all the best

Nigerian youths are conquered species. The immediate future looks grim for the next generation.

I dont get why Xi is so powerful .... I dont see what's so special about him compared to his predecessors ... if anything he is standing on a mountain built by the hard work of others since Deng .... The Chinese would be stupid to turn him into a reform era Mao ... and it would be completely undeserved - at least Mao earned his position - this guy is mostly an inheritor.



It seems that ultimately countries return to type and China prefers to have a somewhat figurehead, somewhat executive leader at the head of a bureaucracy ... rather than an oligarchy operated through the structures of representative democracy, as the West seem to prefer.

Why would you go to Mexico in the first place

Me think this guy needs to get over himself