₦airaland Forum

@lalasticlala
@Barcanista
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new2020:
The $2 billion that they would have added to the federal Reserve to increase Naira worth, instead they shared it yesterday pushing the Naira to greater free fall.

‘Nigeria’s Forex Reserves Too Low To Defend The Naira’

http://www.nairausd.com/2015/06/nigerias-forex-reserves-too-low-to.html

kay1one2:
Nigeria will not go down IJN!

Big Amen.

Ezenwammadu:
When will babaonechance make it N1=$1

Are you dreaming

ECOTERRORS:
why should I pray when pMB has a pastor as his commissioner sorry VP.

Understand that you are of this Nation

ECOTERRORS:
My fiful shud be patient It will still rise to 1n,aira

Pray for the nation.

For the betterment of the nation.

This how things ought to be in this COUNTRY.

Proud of you WOMAN. NIGERIANS let commits ourselve for the betterment of the Country.

LOVE YOU ALL

The naira, which rose to 180 against the dollar shortly after the inauguration of President Muhammadu Buhari about a month ago, has fallen to 222 at the parallel market due to a huge demand for dollars by importers and investors.


Increasing business activities have made importers and investors to move their foreign exchange demands to the parallel market, putting pressure on the naira at the segment, it was learnt on Tuesday.

The dollar was sold for between 220 and 222 on the streets of Lagos, Abuja and Kano on Tuesday, while the pounds and euro were sold for 350 and 249, respectively.
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Analysts and foreign exchange dealers said the future of the naira looked bleak, at least at the parallel market.

The Central Bank of Nigeria has been depleting the external reserves in a bid to defend the local currency.

At the interbank forex market, where the central bank intervenes regularly to defend the currency, the naira closed at 199 against the dollar on Tuesday, data from the FMDQ OTC website showed.

The external reserves fell to $29.03bn on June 22, from $29.8bn on May 18, data from the CBN website showed.

Prior to the latest development, the foreign reserves had been stable for several weeks.
Economic and financial analysts said the latest movements in the external reserves meant that the naira was beginning to come under some fresh pressure.

Concerned about the depletion of the reserves, the CBN met with bank officials on Friday to discuss
how to mitigate the pressure on the external reserves.

The CBN has yet to make the outcome of the meeting official but sources said the central bank wanted the banks’ cooperation in order to reduce the pressure on the reserves.

The bank officials, it was learnt, told the CBN that it needed to relax its rules in the forex market and allow the naira to find its level.

The officials, however, promised to take the deliberations at the meeting to the CBN Governor, Mr. Godwin Emefiele.

It is unclear if the CBN will accede to the demand of the banks to relax the rules in the forex market, but the spokesperson for the central bank, Mr. Ibrahim Mu’azu, could not be reached immediately for comments. Calls made to his mobile telephone line were not answered.

Last November, the CBN devalued the naira after spending several billions of dollars to defend the local currency.

The Acting National President, Association of Bureau De Change Operators, Alhaji Aminu Gwadabe, told our correspondent on Tuesday that the naira’s outlook at the parallel market looked bleak, forecasting that the currency might fall to 230 against the dollar in the coming weeks if the central bank failed to deploy measures to curb the increasing dollar demand at the parallel market.

He said, “There is pressure on the naira again. Maturing import bills are making the demand for dollars to rise again. Most importers and investors are saying they could not access dollar at the official market.

“They are now turning to the parallel market, a situation that is now fuelling the demand for dollar and other foreign currencies at the parallel market.”

The Head, Research and Investment, Afrinvest West Africa Limited, a research and investment advisory firm, Mr. Ayodeji Ebo, said, “The CBN needs to do something urgently otherwise it (slide in the value of the naira) will continue.

“If the pressure continues, the CBN may devalue the naira. I think the CBN is also waiting to see the plan of the new government in order to align its monetary policies with it. Once the new government comes up with its plan, the CBN may devalue the naira. If that is done, foreign investors who have been waiting on the sidelines will come in.”

Source:http://www.nairausd.com/2015/06/naira-faces-fresh-pressure-falls-to-222.html

Nume Ekeghe

The Africa Economist/Managing Director, Citi Bank, Mr. David Cowan has predicted a further devaluation of the naira, arguing that the value of the country’s external reserves is too low to sustain the defence of the currency.

Specifically, Cowan said the Central Bank of Nigeria would once more devalue the naira towards the end of the year.

He stated this yesterday at the EuroFinance conference in Lagos.

Cowen said: "What the central bank is battling is to the extent and how much the naira has to adjust. At the moment, the central bank thinks that the naira has adjusted enough, while market doesn't think the naira has adjusted enough."

He believes the apex bank does not want the forex reserves to decline further than its present value. External reserves stood a $29.031 billion as at Monday.

He added: "I still think we are going to see an adjustment to the naira. The fiscal and current account deficit tells us that a lack of real return and I think it is also in the bottom-line they haven't got the reserves in defending the naira. But there is still a long period in this stand-off which would last maybe three four months or longer.

"Whatever happens, I still think that the exchange rate would end up around N220/$1 late 2015, he added.

Responding to questions on the Nigerian economy, on the sidelines of the event, he said: "Nigeria built up a lot of savings for a rainy day, and then it ran those savings down in the last years. When it got hit by an oil price shock, it doesn't have much money that allows it to make a more gradual adjustment that is why the naira came under pressure.”

Furthermore, he said: "The long term solution is to let the naira adjust. If you let the naira adjust, it will increase the amount of revenue going to the government which would help it control its fiscal spending. Yes it would push inflation in the short term but hopefully that should also drive a production response from the agriculture sector."

He also urged the new government to focus on power, pointing out that electricity has the potential to transform this country.

Source:http://www.nairausd.com/2015/06/nigerias-forex-reserves-too-low-to.html

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Exchange Rate for Dollar-Naira, Monday 22th June 2015

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Exchange Rate for B Pound-Naira, Monday 22th June 2015

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Exchange Rate for Dollar-Naira, Monday 22th June 2015

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What is happening in this Country.

Watch and see new episode coming soon because it hasn't ended.

So we have all this and they kept mute. Baba GOD dey watch oh.

Are you sure this is not for cover up. Sha una no no APC way.

atiakatata:
when you import palm oil, how do you expect employment to grow

What did you mean

I think I am in support of this.

The former Federal Office of Statistics, now National Bureau of Statistics (NBS) has been calculating employment/unemployment statistics to guide policy over the years. During the 1960s, data from the then FOS reflected full-employment in the economy. Even when government was concerned about rising unemployment, the FOS from 1983 – 1998 published unemployment rates average as 4.0 per cent signaling full-unemployment.


From 1999 to 2013, the rates of unemployment published by NBS mirrored the concern of government that unemployment was not only a major challenge but also indicated noticeable rising trend among youth unemployment. For example, in 2010, the rate of unemployment stood at 21.4 per cent and rose to 27.4 per cent in 2012 and declined to 24.7 per cent in 2013.

These high rates clearly indicate that the economy has an unemployment problem. These rates are quite at variance with the 5-5.5 per cent full employment rates.

The NBS recently published new rates of unemployment for Nigeria’s economy from 2010 – 2014 based on a ‘new’ methodology, which suggests that the economy is almost at full–employment, as the rate for last quarter of 2014 stood at 6.4 per cent. The rate as at first quarter of 2015 was 7.5 per cent.

One is not so much concerned about the methodology used because they are based on certain assumptions, so if any of the assumptions is relaxed, the calculated rate may be different.

However, what is worrisome is the speech made by the Statistician General, on May 14, 2015 while welcoming the committee on the review of the framework for calculating unemployment rate in Nigeria.

He asserted that the ‘new’ rates of unemployment were based on scientific method and that persons should not be sentimental and ideological over unemployment figures, stating that it was not social science.

He further argued that the new rates were calculated on the basis of accepted international best practices. Is the situation different in the Nigerian economy? Every economy must take into account its own peculiarities in applying the concept and calculation of employment and unemployment.

While one would agree to some extent that sentiments ought to be set aside but the issues of ideology, science and international best practices must be challenged in the interest of knowledge in general and the Nigerian economy in particular. In measuring unemployment, countries have adopted the concept to their peculiarities.

For example, the International Labour Organisation (ILO) considers that a person who works for an hour a week is employed and often adduces reasons to support its position.

The same organisation also calculates the rate of vulnerable unemployment. The USA Labour Agency assumes that if you register as unemployed and did not show up after a week, you must be employed.

The same country considers the frequency, duration and incidence of unemployment in measuring the overall unemployment rate in the country. The USA economy also pays unemployment compensation to workers who lost their jobs among other welfare programmes.

http://www.nairausd.com/2015/06/unemployment-crisis-worse-than-nbs-new.html

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Exchange Rate for Dollar-Naira, Monday 22th June 2015

http://www.nairausd.com/

https://twitter.com/

Exchange Rate for Dollar-Naira, Monday 22th June 2015


http://www.nairausd.com/

https://twitter.com/

Exchange Rate for B Pound-Naira, Monday 22th June 2015

http://www.nairausd.com/

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Chosen1984:
I don't understand! Is it as a result of a job well done OR
Hope its not what am thinking

It's what you are thinking bro.

Serve as a punishment to others that doesn't control their third leg to produce when not necessary or capable.

We all should do the right thing in life.

condralbede:
Hausa billionaires deceiving their poor Hausa followers.Why on earth is atiku's daughter not wearing njab

Na dia way.

ednut1:
I only clicked to see if she wore hijab northern elites

You are sitting on a long thing.

krattoss:
this one na calvary.
If this one come for backup,,
boko boys be like.... Into ur hands lord i commend my spirit.

Funny you bro.

Charpell:
If you believe in what you are doing, then let nothing hold you up in your work. Much of the best work of the world has been done against seeming impossibilities. The thing is to get the work done.
Dale Carnegie

Thanks bro

It starts from you