₦airaland Forum

I hear the game is in progress. 5 mins in already. I don't know how true.

Deltamani:
Players of Ivorian 🇨🇮 Club, Athletico FC of Abidjan in the ongoing CAF Women's Champions League

After watching the picture for two hours,I am still looking to find a female among them....

Copied from Mc Mazi

The one at the middle. How is she a woman?

bigiyaro:
so when the 7 billion finished they will start looking for again and the naira will fall. Na life b that?

The problem the CBN has now are forward contracts of crude oil that have been made over the years which prevented them from fulfilling their FOREX obligations since around 2020.

The foreign inflows by foreign Banks and investors in Nigeria have continued to decrease heavily since 2020 because of that and the exchange rate have moved from 360 naira in 2019 to 1130 naira in 2023.

If CBN and Federal Government can do all they can to allow those foreign inflows again and they solve the crude oil problem, then exchange rate would no longer be unstable. It wasn't this unstable from 1999 to 2020 compared to from 2021 to 2023. The reason is COVID and increased crude oil problems from that.

Uchenna Kanu currently on Channels TV.

solonnachi:
OwnGoal reports that Peseiro has selected four players for the top striker's role to be made public when the list is out on Friday. They include Victor Boniface, Taiwo Awoniyi, Sadiq Umar and Terem Moffi.

Gift Orban and Jerome Akor are on standby in case of injury.

Sadiq Umar?? Is he still a viable choice?

Athena6:
Thanks I have already sold it.

I don't regret anyway, at least for the past days I don't feel stressed about whether the dollar goes up or down

Naira would eventually strengthen, so you did the right thing. It's only increasing back because CBN halted their backlog payments which they did on Thursday and Friday.

By the time the CBN receives the 7Bn dollars they are expecting (most likely before December), they would clear that backlog totally and allow regular inflows again.

Good morning Abuja

https://youtube.com/shorts/LfGvTTHBBBo?si=Nb8qHBEh3-o4xn-a

PoliteActivist:
It is different but not "huge". If it were owned by FG that'll be HUGE - we won't be paying ANYBODY to buy back our oil as refined product!

You are right as it pertains to Govt revenue. Yes it won't make significant difference. But speaking of how it affects the naira, it would make a difference because 80% of Dangote's conglomerate is still in Nigeria.

So when Dangote receives Dollars, he would have to sell a huge chunk of it to get naira as well to maintain his other investments in Nigeria.
Right now we are just importing PMS from Hamburg and Belgium and giving them dollars and receiving no inflow from them in return.

This time, we are paying Dangote dollars and Dangote would put back some of those dollars into the financial market in Nigeria when he needs naira. On the contrary, Hamburg refineries we currently sell to, would hardly have any need to buy naira.

PoliteActivist:
I see the difference but I don't see the "huge". We are talking of one private company vs. the currency of a whole big nation. Dangote is the richest man in Africa and all his businesses are in Nigeria yet it's not like if he sneezes our currency will catch cold!

This one is different because PMS is still our biggest import and affects the naira more than cement or anything else.

The only stuff that comes close to PMS imports are Laptops and Phones.

These are the big movers and shakers that can affect the naira when they sneeze.

PoliteActivist:
If Nigeria buys refined oil from Dangote in dollars, what is the HUGE difference between that and Nigeria buying refined oil from Fiji. Focus on the word, huge

The huge difference is what I explained in my first post to you (the one before this one you quoted). I would repost it here.

"Exchange rate strength does not necessarily mean cheaper products. What it means is that:

1) Cost of importation is reduced (so extra dollars saved)

2) The dollars we pay to Dangote to get PMS would likely still circulate within Nigeria.

3) The exports Dangote makes in dollars would stay majorly in Nigeria because Dangote also needs naira for a lot of things. So he would take a huge chunk of his dollars to Nigerian Banks to get Naira equivalent.

All of these strengthens the Naira".

PoliteActivist:
Bottom line: It is easy to forget Dangote is a PRIVATE company. Same way they hired Indians they'd be doing things that maximize profit. An FG owned company will never hire 11K Indians

You still don't get it. Read my post again. Shell controls forcados which produces over 400,000 Bpd of oil that also helps the naira. Is shell not a private company?

What are you saying has little to do with exchange rate.

SouthSouth1914:
Exactly, they were suppose to create atleast 3 diversions. Get him to point A, pick him up be a chopper, get to point B, drop him by a seaport. Point C, he lies lows for a few days for intel.

Each it these points, create multiple diversions. They probably will be working with limited resources. Good for the books he was captured though!

You don watch film tire.

PoliteActivist:
But Dangote is a PRIVATE capitalist company intent on maximizing profit. Example (see below), it hired 11000 Indian workers not Nigerians, and they won't be paid in naira. In other words, just because Dangote happens to be located in Nigeria doesn't mean it will sell refined products cheaper to Nigeria, neither is Nigeria obligated to buy from it if it can find cheaper price elsewhere

Exchange rate strength does not necessarily mean cheaper products. What it means is that:

1) Cost of importation is reduced (so extra dollars saved)

2) The dollars we pay to Dangote to get PMS would likely still circulate within Nigeria.

3) The exports Dangote makes in dollars would stay majorly in Nigeria because Dangote also needs naira for a lot of things. So he would take a huge chunk of his dollars to Nigerian Banks to get Naira equivalent.

All of these strengthens the Naira.

saasala:
I'm one of those people who advised that you buy dollar. I took out 8m out of my savings and bought USDT (Crypto) and now I'm currently losing about 1.4m. So madam, don't sell yet. It's going back up next week. It will first rebound back to where it's coming from and then even go a little higher before crashing back again. Just hold on a little. I promise to give you back your money if you lose. Trust me.

By the way, be careful of broke Nairaland guys who might want to take advantage of you by sending you DMs. They will look for ways to chop the remaining 2.4m

You can't be so sure this time except CBN is yet to get the billions of dollars they are expecting. If CBN gets huge inflow it can't go up this year again.

InvertedHammer:
/
I exchanged US$ for N1165 on October 30th (Monday) and N1060 at exactly 2.37pm on Friday. By the end of the day it was N950. Currently it is at N987. Facts no emotion. Apparently you don't understand how currency performance outlook works and how it is tied to rates and US10Y bond.

/

What was value of naira on Tuesday and Wednesday? Also, what in my post shows I don't understand currency performance outlook and that you understand it?

InvertedHammer:
/
Argue with your keyboard. I just informed you what crashed naira since July and the recovery you witnessed this week.

/

Naira already started appreciating from Thursday before news came out on friday that U.S would be maintaining rate.

Naira is actually currently the best performing currency in the World since Wednesday, moving from around 1300 to around 950.

So the major reason for naira appreciation is the news on Thursday that CBN cleared some backlogs.

skultrick:
Go read about Warren Buffet, his a market maker in the gold market. Also research about market makers.

I can say with all certainty naira can never below 1k by February. Go write it down.

Okay let's remind each other by February.

queenblossom:
Impatient will not kee you. Forget about the dollar crash is just a scam. Dollar will still go up. I remember in 2021 december, I invested 3millionnaira into dollar and I bought the dollar at 500naira per dollar and in 2022 January it crashed to 460 per dollar , I didn't feel bad and I had to buy another extra 500k naira making it 3.5million that I invested in dollar, I left the money there since that 2021 till date. How much do you think is the worth now, over 6million naira now.

Don't ever be in a haste to complain.

The question you fail to ask yourself is this:
From 1999 till 2015, how come there was just little increase of the dollar. Also from 2017 until 2020 (COVID-19), dollar was somewhat stable at around 360 naira.

In 2020 and 2021, Nigeria had trade deficit due to lower exports of oil. In 2022, our oil production was worse. This is what we have been suffering but in 2023, production has been a bit better and the prices have not been that low compared to 2021.

This means if CBN can clear all the backlogs they owed since 2020, they would start intervening hugely in the market again and we go back to 2018 and 2019 stability levels.

So those trading in FX market must follow financial news and not just trade with naira. Not all conditions are thesame.

BluntCrazeMan:
Now we are both saying thing..

I don't think they would meet up.
They never met since 1985.
It's not now that they would suddenly meet up.

They are expecting:

7Bn dollars from NLNG securitisation
3 Bn dollars loan from Qatar
3 Bn dollars from Afrexim Bank
150 million dollars from Abacha
3.5 Billion dollars from World Bank to Health sector.

You still think the CBN would not be loaded enough by December to control things?

BluntCrazeMan:
This is not about news.
.
.
Naira had been going up and down.
The recent gain is because the FG released more dollars to the banks.
It had still not met the demands for dollar in the FX market.
So, the price will still rise again

And you don't think they would be able to meet the demands before december even with all the dollars they have lined up to receive?

BluntCrazeMan:
You're still too weak to be complaining too quick..

Dollar will still reach ₦2,000..

Infact,, it will still climb to ₦1,500 before this coming 31st December 2023.

I doubt. Make una dey follow news. You go lose money oo 😄😂

oliverwrites:
The agreement they had with federal government says so. You are just looking for excuses for things not to work.

They have made it clear they won't sell in naira. I also don't believe Nigeria would supply crude in naira.
Either way, Dangote refinery is still a plus for Nigeria.

Obagreatdatoye:
I can bet you with my life, dangote or no dangote...price will crash to #500 on or before march, 2024.

Definitely, price would crash. Some people nor dey read news.

CBN is expecting 7Bn dollars from NLNG securitization, 3Bn dollars from Qatar, another 3Bn dollars from Afrexim Bank, and 3.5Bn dollars inflow to the Health sector from the World Bank, now 150 million dollars from Abacha.

doggedfighter:
Una don start another one.

She's yet to recover from the one you guys pushed her into.

11 trillion !

Check it out. Market value increased from 27 trillion naira in December to 38 trillion naira presently. This is the best year for the Nigerian stock market.

skultrick:
Stop listening to that guy he's one of the tinubu praise singers who talk without logic.

The first mistake was tinubu floating the naira for a country that's so dependent on importation.

The rebound you seeing right now is also fueled by fear, people are offloading their dollars only for one big man to mop it all up.

I have traded forex and individuals like you and me don't move the market even in our hundreds of thousands. One big man can mop it all up and determine the price.

So, unless you urgently need money now, sell. Otherwise wait, naira is no match for dollar.

No matter how big that big man is, he can't be bigger than the CBN if they clear their backlogs and then decide to control the market.

Athena6:
Thanks for the advice, I guess I will just cut my loses.
It is very painful losing 400k in just a few days 😢

It would likely crash further because CBN is clearing backlogs and Dangote refinery may just start. Oil production is rising and may rise well enough to supply local refineries in naira. If all this happen before March next year, then dollar can never get back to 1300 in the foreseeable future.
When dealing with FOREX, always follow the news and the CBN/finance ministry.

Illegal1:
omoh..........fear not,dollar will kip increasing as long as tinubulation is on the throne.

u shall smile again..

I pity una. You think Wale Edun and Yemi Cardoso would just sit and allow dollar run like that without thinking of ways to control the market? okay oo.

Wujio:
Smh. I recall stating clearly on the orevious threwd not to biy dollar at all at the current rate that it was too late. Do people ever listen at all?


What advice is that. Did i not clearly say dollar to naira value is in uncertain levels and not to attemot buying it. Many of us kept shouting dont buy dollars anymore una no dey here.


Keep your money in your bank account and thats your best investment for now

Or learn about Nigerian stock market and invest in it. The Nigerian stock market is having it's best year by adding at least 11 trillion naira already just this year alone.

Don't just rely on what people say. If you want to do this type of investment, you follow news on finance ministry and the CBN to know how to take your risk and predict the naira to the dollar.

popizaino:
Thanks for the clarification. As a concerned citizen, we've been praying for times like this. My only qualm is that it should be effected in the prices of goods,dollars can't be crashing while having to by goods at astronomical prices.

Even if prices of goods should fall, that can only happen after the previous sales at rates of 1300 naira are done and if the naira stays stable.

Mrfeel:
All these propaganda to make people to rush and sell their dollars won't work, for CBN to release 6 billon dollars to strenghten the naira show the naira has no other source of strength , this is just temporary solution

If CBN clears their backlog then those foreign banks and investors would be allowed once more to bring in hard currency which would stabilise the naira in the long run.

popizaino:
Any insight to why the dollar is crashing against the dollars? Is naira finding its true value which might be sustainable in the long run or the FG is just performing some magomago that would be later crash down?

@GeneralDae

For now it's mainly because speculators are scared and selling because CBN cleared some backlogs yesterday.

But by the end of this month and in December, CBN would pump in some dollars into the market and probably set some new rules as well. It may fall further to that 650-700 naira rate at both parallel and official market and this is what the minister of finance believes is the true value currently.

Dollar is also losing steam today for the first time in 6 weeks due to a pause in rate hikes by the U.S central bank but still the previous hike of the naira was mainly due to speculation and hoarding.