₦airaland Forum

BlackTechnology:
No problem


In 2015 election you guys will realise that a lot of registered voters in APC states are non-indigenes who are pro-PDP

Gorrbachev:
Nigeria was caught unawares? for about 2-3 years now, almost every western country has been approving fracking. When Obama got fracking approved, it was all over the news that America will starting exporting oil when all the Alaskan oil fields start producing at full capacity.

Isis cheap oil is allover the market, Nigerian oil bunkers (Politicians and government workers) and other illegal oil dealers all over the world are also there.

Woe betide The Nigerian government and everyone involved in running it. It will never be well with them and generations unborn. Unpatriotic selfish bastards.

Oil price is not going to rise at least for the next decade or two until maybe push turns to shove with Putin.

BlackTechnology:
People like you are like those animals in animal farm that thought their master was the problem until they found themselves under a tyrannical rule of Napoleon the bad pig.


I maintain my stand that Buhari and APC are not the solution because this is a clearly economic problem that demands economic solution.


My friend stop deceiving yourself that Buhari and APC are the Messiah.


All Nigeria needs to do now is to

1) diversify and increase her export commodity trade to increase and maintain a steady flow of dollar notes.

2) encourage the establishment of electronics, mechanical etc industries that produce those things we import in order to reduce the flight of our few dollars.


I repeat


This is an economic problem that demands economic solution.


It has nothing to with politics.



As for avoiding my post, you will very much see my alternative views if there is any for people to see and compare it with yours to see who makes more economic sense.


Get ready to see alternative views and be well prepared to counter them


Mark my words

By the time we have presentend our several economic views , your mindset will change.

BlackTechnology:
They have being diversifying the economic since. Where you might fault them is in the area of not putting so much energy in diversifying our export commodity trade so that we can have a steady flow of dollar notes in times like this.


As for mentioning you, I will continue to give Nigerians a better alternative in economic management devoid of political sentiments


When its time to discuss politics let's discuss when its time to discuss economy let's discuss

Now lets face economy

BlackTechnology:
You are the one who lacks proper understanding of Nigeria's economy


Until we diversify our export commodity trade, don't expect new inflow of dollar notes.


What happened to Ghana is what is happening to us.


Until we diversify our export commodity trade and ask establish electronics mechanical etc industries whose products we import, we should not weep when Buhari take over power and fail.


Separate economy from politics.

edogirl2:
I am certainly not as charitable towards Mrs Okonjo - Eweala as you are. You say the stealing has overwhelmed her. I don't believe that. She's doing her own stealing. And if she isn't, but is turning a blind eye to the stealing, she is a thief too. There are no two ways about it.

And what has Harvard training got to do with anything. Please can you tell me one, yes, just one major initiative that this woman has introduced that marks her out as a stand-out finance minster. I can't think of one.


Like you, I agree, PDP needs to be voted out! Their corruption has ruined the country.

nku5:
Sanusi Lamido Sanusi, the suspended Governor of the Central Bank of Nigeria (CBN) is very quick to point out that one of his achievements in office is stabilizing the Naira. But is this really true?What do the facts say?
Data from the CBN website shows that from June 3, 2009, the date Sanusi Lamido Sanusi assumed office as CBN Governor to the date he left office, the CBN sold $117 billion (N18.8 trillion) in the interbank market in a bid to stabilize the Naira. All the money was sold in the twice a week auctions done by the CBN.

What Sanusi’s CBN sold is more than twice what Chukwuma Soludo in his years as the Governor of the Central Bank sold- $57 billion- to defend the Naira in his time as CBN governor.

Was Sanusi’s massive spending to defend the Naira successful? Once more, data from the Central Bank shows that Sanusi’s massive spend to defend the naira was not successful in the sense that the naira did not get stronger but actually weakened in his time at CBN. The exchange rate of the naira to the dollar in the week Sanusi became Governor of the CBN was N146.75 to the dollar. This was the rate the Central Bank was willing to sell naira to the banks. In the last week before Sanusi was suspended as CBN Governor, the Central Bank was selling the Naira at about N155.75 to the dollar, approximately N10 more expensive than it was sold when Sanusi became Governor.

Similarly, the pound sterling which the CBN sold at approximately N241 to the Naira when Sanusi became Governor had depreciated toN260.819 to the Naira as at when Sanusi was suspended as CBN Governor. This represents N20 more per every pound sterling than when Sanusi became Governor.

So despite a whopping $117 billion in five years to defend the Naira, twice more than what the previous Governor spent to defend the Naira, Sanusi actually left the Naira worse than he met it.

The impact of Sanusi’s massive spend of the external reserves to defend the naira was significant. In the five years of Sanusi as CBN Governor, Nigeria spent almost every dollar it earned to defend the naira and that was not even enough. Nigeria’s external reserves stood at $42 billion as at the close of 2009, the year Sanusi became CBN Governor. By the close of 2010, the first full year of Sanusi being at the helm of the CBN, it had deteriorated to $32 billion and remained that way until the end of 2011.

Realizing his mismanagement of the external reserves will soon plunge the country’s economy into a crisis Sanusi Lamido Sanusi opened the door to the inflow of very hot money in the name of portfolio investment, by removing a policy restriction that had been wisely put in place by previous CBN governors, which compelled foreign portfolio investors to keep their money in the country for a minimum of six months before taking it out of the country. Sanusi also raised interest rates on government instruments to an all-time high with interest rates on treasury bills going as high as 16 percent.

This double gift to foreign investors led to a massive inflow of foreign portfolio investors into Nigeria. In fact, CBN data shows that foreign portfolio investment in company stocks in Nigeria moved from just N323 billion as at the close of 2010 to N1.57 trillion as at the close of 2012 while foreign portfolio investment in government debt securities increased from N232 billion in 2010 to N1.12 trillion in 2012. The result was that total portfolio investment stood at N2.69 trillion or approximately $17 billion because of an extremely high interest rate offered by Sanusi on CBN instruments and government instruments as well as his policy allowing foreign investors to take out their money out of the country without any restriction.

Sanusi’s liberalization of the foreign exchange market helped cover his woeful record of managing the nation’s external reserves and resulted in an increase in external reserves to about $44 billion as at the close of 2012. This deceived many Nigerians and gave the impression that everything was okay.

Meanwhile, foreign portfolio investors were making huge profits from investing in Nigerian paper instruments while largely ignoring the real sector of Nigerian economy which would have led to creation of jobs for many of Nigeria’s unemployed.

They were rather happy to give us money to sustain a huge import bill and help Sanusi keep up the pretence that everything was okay.

The truth is that of the $44 billion external reserves as at the close of 2012, $17 billion was portfolio investment which meant what the country can really count on was just $27 billion. So without opening the doors to allow portfolio investors, Nigeria’s external reserves would have closed at $27 billion in 2012 instead of the $44 billion it closed at.

Sanusi effectively deceived Nigerians into thinking they were rich, when they were actually poor.

This gave Sanusi room to continue his reckless spending at the CBN, as revealed in the Financial Reporting Council report, while giving Nigerians a false sense of hope that everything was well with the economy which he was busy running aground. This deception continued till the day that Sanusi was suspended.

When Sanusi was suspended, the CBN put Nigeria’s external reserves position at about $41 billion without telling us the truth that about $15 billion represented foreign portfolio investment which means the effective external reserves position was about $26 billion.

Since Sanusi’s removal, there have been several sponsored reports linking the pressure the naira has come under to Sanusi’s suspension. But that is far from the truth.

Discerning investors have known for a long time that Nigeria was living on borrowed time and that it was just a matter of time before we run out of foreign reserves to defend the Naira due to the way it has been mismanaged in the last five years. Discerning investors have been gradually taking out their money from the Nigerian economy well before the tragic end of Sanusi.

Sanusi even knew the game was up. That is why he engaged in several panicky measures well before his exit from the CBN. Several of the panicky measures include the punitive action of asking banks to deposit 75% of public sector funds at the CBN at zero interest rate, the refusal to reduce MPR from q12% despite the fact that it is hurting the real sector of the economy, the return to Retail Dutch Auction System (RDAS), and the banning and unbanning of sales of foreign exchange to Bureau the Change Operators.

ven with all these panicky measures, the Naira remained under pressure and will remain under pressure because the damage has already been done. The Naira is going to depreciate sharply and sadly the next CBN Governor will be blamed. But the damage has already been done by Sanusi Lamido Sanusi.

 
http://emerge-ng.com/newsletter-editr/?success=1

Gorrbachev:
The problem is global, the americans and arabs are measuring joysick with oil price. Every currency pegged against the USD has taken a hit, the impact depends on how buoyant your country is.

nku5:
Sanusi Lamido Sanusi, the suspended Governor of the Central Bank of Nigeria (CBN) is very quick to point out that one of his achievements in office is stabilizing the Naira. But is this really true?What do the facts say?
Data from the CBN website shows that from June 3, 2009, the date Sanusi Lamido Sanusi assumed office as CBN Governor to the date he left office, the CBN sold $117 billion (N18.8 trillion) in the interbank market in a bid to stabilize the Naira. All the money was sold in the twice a week auctions done by the CBN.

What Sanusi’s CBN sold is more than twice what Chukwuma Soludo in his years as the Governor of the Central Bank sold- $57 billion- to defend the Naira in his time as CBN governor.

Was Sanusi’s massive spending to defend the Naira successful? Once more, data from the Central Bank shows that Sanusi’s massive spend to defend the naira was not successful in the sense that the naira did not get stronger but actually weakened in his time at CBN. The exchange rate of the naira to the dollar in the week Sanusi became Governor of the CBN was N146.75 to the dollar. This was the rate the Central Bank was willing to sell naira to the banks. In the last week before Sanusi was suspended as CBN Governor, the Central Bank was selling the Naira at about N155.75 to the dollar, approximately N10 more expensive than it was sold when Sanusi became Governor.

Similarly, the pound sterling which the CBN sold at approximately N241 to the Naira when Sanusi became Governor had depreciated toN260.819 to the Naira as at when Sanusi was suspended as CBN Governor. This represents N20 more per every pound sterling than when Sanusi became Governor.

So despite a whopping $117 billion in five years to defend the Naira, twice more than what the previous Governor spent to defend the Naira, Sanusi actually left the Naira worse than he met it.

The impact of Sanusi’s massive spend of the external reserves to defend the naira was significant. In the five years of Sanusi as CBN Governor, Nigeria spent almost every dollar it earned to defend the naira and that was not even enough. Nigeria’s external reserves stood at $42 billion as at the close of 2009, the year Sanusi became CBN Governor. By the close of 2010, the first full year of Sanusi being at the helm of the CBN, it had deteriorated to $32 billion and remained that way until the end of 2011.

Realizing his mismanagement of the external reserves will soon plunge the country’s economy into a crisis Sanusi Lamido Sanusi opened the door to the inflow of very hot money in the name of portfolio investment, by removing a policy restriction that had been wisely put in place by previous CBN governors, which compelled foreign portfolio investors to keep their money in the country for a minimum of six months before taking it out of the country. Sanusi also raised interest rates on government instruments to an all-time high with interest rates on treasury bills going as high as 16 percent.

This double gift to foreign investors led to a massive inflow of foreign portfolio investors into Nigeria. In fact, CBN data shows that foreign portfolio investment in company stocks in Nigeria moved from just N323 billion as at the close of 2010 to N1.57 trillion as at the close of 2012 while foreign portfolio investment in government debt securities increased from N232 billion in 2010 to N1.12 trillion in 2012. The result was that total portfolio investment stood at N2.69 trillion or approximately $17 billion because of an extremely high interest rate offered by Sanusi on CBN instruments and government instruments as well as his policy allowing foreign investors to take out their money out of the country without any restriction.

Sanusi’s liberalization of the foreign exchange market helped cover his woeful record of managing the nation’s external reserves and resulted in an increase in external reserves to about $44 billion as at the close of 2012. This deceived many Nigerians and gave the impression that everything was okay.

Meanwhile, foreign portfolio investors were making huge profits from investing in Nigerian paper instruments while largely ignoring the real sector of Nigerian economy which would have led to creation of jobs for many of Nigeria’s unemployed.

They were rather happy to give us money to sustain a huge import bill and help Sanusi keep up the pretence that everything was okay.

The truth is that of the $44 billion external reserves as at the close of 2012, $17 billion was portfolio investment which meant what the country can really count on was just $27 billion. So without opening the doors to allow portfolio investors, Nigeria’s external reserves would have closed at $27 billion in 2012 instead of the $44 billion it closed at.

Sanusi effectively deceived Nigerians into thinking they were rich, when they were actually poor.

This gave Sanusi room to continue his reckless spending at the CBN, as revealed in the Financial Reporting Council report, while giving Nigerians a false sense of hope that everything was well with the economy which he was busy running aground. This deception continued till the day that Sanusi was suspended.

When Sanusi was suspended, the CBN put Nigeria’s external reserves position at about $41 billion without telling us the truth that about $15 billion represented foreign portfolio investment which means the effective external reserves position was about $26 billion.

Since Sanusi’s removal, there have been several sponsored reports linking the pressure the naira has come under to Sanusi’s suspension. But that is far from the truth.

Discerning investors have known for a long time that Nigeria was living on borrowed time and that it was just a matter of time before we run out of foreign reserves to defend the Naira due to the way it has been mismanaged in the last five years. Discerning investors have been gradually taking out their money from the Nigerian economy well before the tragic end of Sanusi.

Sanusi even knew the game was up. That is why he engaged in several panicky measures well before his exit from the CBN. Several of the panicky measures include the punitive action of asking banks to deposit 75% of public sector funds at the CBN at zero interest rate, the refusal to reduce MPR from q12% despite the fact that it is hurting the real sector of the economy, the return to Retail Dutch Auction System (RDAS), and the banning and unbanning of sales of foreign exchange to Bureau the Change Operators.

ven with all these panicky measures, the Naira remained under pressure and will remain under pressure because the damage has already been done. The Naira is going to depreciate sharply and sadly the next CBN Governor will be blamed. But the damage has already been done by Sanusi Lamido Sanusi.

 
http://emerge-ng.com/newsletter-editr/?success=1

BlackTechnology:
So the solution is to vote out PDP

OK

What will APC do differently since oil supply has exceeded oil demand leading to a crash in price which has reduced the acquisition of new dollars

Pls state your answers step by step

mekaboy:
Kindly share those analysis with us here, we are here to learn from each other.

loopman:
My brother, it's really bad.

In a single day, I lost a whooping N3M, I was supposed to buy interbank forex at 168/dollar in the morning, before we could transfer the funds and send necessary Exchange Control Documents, the Naira slided to 171 at the interbank

mekaboy:
Ofcourse GEJ has imperfections, i am not saying he should remain, but if he must go out someone whose focus is on Nigeria should take over from him and not one who just wants to be president for his selfish political ambition. Or someone who will come and destroy the little GEJ has managed to do under this harsh conditions to ensure he takes no glory. That will be at the expense of the growth of this nation .

Ibnsultan:
NgeneUkwenu
Archi
barcanista
neenar
ngeneukwuenu
ayukadaboss
gbawe
obiagelli
ibnsultan
egiftu
koboko69
demdem
kel4soft
sirniyeh
laykorn
mynd44
Omenka
Donphilopus
Sweetlemon
size38
pendy97@Berem
12:00

Sincere9gerian:
Can't you post your comment without mentioning people's tribe?