3seriez:
Emefiele did not know Jack. Man was just using our economy for some trial and error economics.

This is even where you betrayed your ignorance.

When they say there's too much naira in the open market, it resonates with Emefiele's exact words that prompted the move to mop up liquid cash early this year.

Only problem is, his intentions were good, but his execution was flawed with political undertones. Buhari created the mess by ordering the printing of naira notes into the system, an advice that was birthed by his cabal. Somehow, Godwin Obaseki of Edo State got wind of it and raised the alarm, but it was termed "opposition politics". Then in Emefiele's bid to clean up his principal's mess, he got caught up in a political web that was his undoing.

He ended up being seen as a tool of political vendetta, when in actuality, the excessive cash in the Nigerian open market was putting pressure on the dollar. People with plenty money in hand, having known the value of the dollar, sought to convert the naira to the latter so they don't lose out, as the naira started to crumble. Where demand outweighs supply, inflation is inevitable. Even an average Nigerian with a basic knowledge of secondary school economics should know this.

Seun:

https://www.youtube.com/watch?v=It2zHSJBZns

During an interview with Arise TV, the IMF rep for Nigeria said that "a lot of the focus" on ending the free fall of the naira "should also happen on the supply of naira, not only on the supply of foreign exchange". He said that there is a need to "tighten monetary policy; to take liquidity out of the system."

He said, "there are too many nairas chasing yet too few dollars. As I have alluded before, in previous conversations.
It is very important to reduce the amount of nairas, reduce the growth rate of money supply domestically in Nigeria."

"In parallel also, fiscal policies should cease to rely on the Ways & Means."

"All the operations of the central bank that are not conducive to reigning in liquidity, phasing out financing of the fiscal deficit of the government, focusing on price stability, tightening monetary policy is going to be needed."

"It's costly - it doesn't come without a price, but it's a price worth paying."

Recall that Sanusi said the same thing and Bismarck Rewane has been calling for monetary tightening for years.

Very stupid lie

yang:
will the zoo CBN printing press hear?

printing trillions of naira out of thin air with no backing production to distribute to APC party faithful, constituency fund, trader money, cbn agric intervention, abuja budget for useless parastatals, security vote, subsidy palliative, COVID palliative
monkeys

impoverishing people and answering central bank

Look at the evil criminals in power, APC and thiefiniubui

naira should trade closer to 2000/$ in 2024

Tinubu once said CBN should print more money to cushion harsh economic realities.

Charlatans in power.
Career politicians with a poverty of intelligence whose only interest is in looting today what could have built up tomorrow's Nigeria.

Jonathan was the last visionary leader who understood the rubrics of governance.

APC is a curse.

iCauseTrouble:
I am so happy that I am lucky to be earning in dollars.
I have been supporting a project annually with 1 million naira since 2021.
In 2021, I exchanged $1,820 for 1 million naira at the rate of N550.
In 2022, I exchanged $1,388 for 1 million naira at the rate of N720.
In 2023 (Just yesterday), I exchanged $1,000 for 1 million naira at the rate of N1000.
These people are happy that I am a loyal funder of the project by giving 1 million naira yearly but they do not know that the value of the money has really dropped due to the Naira / Dollar exchange rate.
I just smile each year when I am about to donate

This is the problem of Nigeria. My case will be different no matter the hardship...lol this is what we pray for everytime...Evil prayers. There is nothing to be happy about a falling naira even though you earn in dollars.

OMEGA009:
Still waiting for an economist to explain why we have a parallel market

simple, CBN can not meet all forex needs and wish the rates were lower for Naira. Private individuals who have it in limited quantity offer to sell at higher prices than CBN's artificially low rates, as times goes and demand surges, the selling rates rises according the dictates of demand-prices-supply forces. You don't fix the price of what you do not own. In the case of petrol, they could fix prices, because they bought from importers then resold to masses at lower rates.

Everybody dey hear am now na.

Na everybody the rain dey touch now.

nairalanda1:
Exactly

But we all want free money so that we can have our cheap imports...so the CBN does practicies that are bad

But no, people will come here and call him IMF man, and start telling us the long stories of how the IMF wrecked this and that economy.

The harsh truth is, we are in the mess we are in because WE rely on ONE SOURCE OF INCOME, whose prices fluctuate, and as a result the income is never guaranteed, and never enough, so we have to take LOANS, AND MORE LOANS.

That's how we enter the IMF trap.



That's a major way we fund subsidy over the decades...see above.

Didn't they push for floating of the naira, how did it pan out?

Let it float...until it floats into oblivion...we either get sense by suffering or alot of ppl die cos of poverty.

adisabarber:
You pushed for floating of the Naira, it failed. Now you are saying another thing

Don’t mind those fools…

Naira will fall
To we’re it will be stable..

It will be stable around 2500 Naira next year..

NotMagicBishop:
Courtesy of that bastard Emefile who printed over #30 trillion naira from thin air to float the dissatrous bandit government of Buhari.

So when he decided to recall all the nairas ..to reduce circulation..what happened...
See..the problem is ..we are an import dependent country...dollar is the global means of exchange..we need to produce more for the world to earn enough dollars simple...right only oil does that and it isn't enough

SIRTee15:


Didn't they push for floating of the naira, how did it pan out?

Floating naira as much as APC may present it as some miracle drug, was not going to solve our problems

Our main problem is simple. We no earn much.

I had mentioned it in my previous post that it will get to NGN1,000 per Usd if drastic measures are not taken.

Again, I am saying it here that it will get to 2,000 before 2025 if we don't take these drastic measures.

These measures will make the Naira appreciate to at most NGN500 to a dollar in the short term and in the long term, NGN100

What are these measures? I will explain further but note that this is not about Exports.
Even if we export more than China today, the NGN will still decline further. How do i know this?

If you do your research, you will discover that Nigeria as at 2023, exported and earned more FX more than several countries and yet the currencies of these countries are stronger than the Naira.

So don't let anyone sell the idea that our economy is import dependent that is why our currency is falling. Even if we ban all imports and continue with (or increase) our current export, the Naira won't appreciate

A simple question you can answer is, when we banned rice importation, did our currency stop falling? No !!! So sit back as we take a dive to 4 policies which WILL make the Naira appreciate.

1. All domiciliary accounts must be closed.
Can a Canadian or US bank open Naira account for you? No! So why do we open Dom. Accounts for our citizens ? Now you may say what of imports? How do we pay for our goods in foreign currencies?

The answer is simple. Credit your account in Naira while your bank pays the USD or GBP equivalent on your behalf at official rate determined by CBN

2. Ban deposits and withdrawals in foreign currencies and convert all inflows including export proceeds in foreign currencies to Naira (again at official rate determined by CBN).

You don't need to stop people who sell at black market or hoard the USD. Let those who hoard the dollar keep it but once they know that after a said date, you can't deposit or hold your physical dollar, they will be forced to go to the bank to deposit it. Anyone found with physical hard currencies after the deadline, must be arrested

This policy alone will make the NGN appreciate to maximum of NGN600 after first two weeks of implementation and will mop up hidden/excess dollar in the system.

This policy will also discourage buying usd from the black market because there won't be any physical dollar to buy.

3. Increase interest rate for fixed Naira deposits to a minimum of 10%. This will encourage saving in Nigeria. Let a Naira 4 Naira scheme, replace the previous Naira 4 dollar scheme.

4. Reduce interest rates on fixed foreign currency deposits to 1% of principal amount if option 1 is not possible and convert all inflows to NGN without the option of collecting foreign currencies at the counter. You can't spend USD or GBP in Nigeria so why do you want to collect your inflows in foreign currencies? Then you increase Naira fixed deposit rate to 15%
This policy indirectly stops the black market arbitrage.

As the Government has floated the Naira, if these measures are not put in place, NGN2,000 to a dollar won't be surprising to me.

I am just a concerned Nigerian and i am open to constructive criticism.

BloomingDale:


More like what Buhari did. Not Tinubu.

who advised Buhari to print trillions in 2017 ?

Tinubu - your tribal nationalism will never allow you accept facts

NotMagicBishop:


Who voted Tinubu?

Bloomingdale don't let me call you an Ohu for I know you are not one

I meant Buhari, not Tinubu.

OMEGA009:
Still waiting for an economist to explain why we have a parallel market

There should be no parallel market. It exists because CBN created an official window to protect some sectors, but that hasn't work as intended. It has only created bigger problems.

BoldBrainz:


This is even where you betrayed your ignorance.

When they say there's too much naira in the open market, it resonates with Emefiele's exact words that prompted the move to mop up liquid cash early this year.

Only problem is, his intentions were good, but his execution was flawed with political undertones. Buhari created the mess by ordering the printing of naira notes into the system, an advice that was birthed by his cabal. Somehow, Godwin Obaseki of Edo State got wind of it and raised the alarm, but it was termed "opposition politics". Then in Emefiele's bid to clean up his principal's mess, he got caught up in a political web that was his undoing.

He ended up being seen as a tool of political vendetta, when in actuality, the excessive cash in the Nigerian open market was putting pressure on the dollar. People with plenty money in hand, having known the value of the dollar, sought to convert the naira to the latter so they don't lose out, as the naira started to crumble. Where demand outweighs supply, inflation is inevitable. Even an average Nigerian with a basic knowledge of secondary school economics should know this.

Na you no know jack..

Na the notes dem Dey use by the dollars?

Too much money is circulation is not hard notes only…

Secondly those useless monetary solutions proposed by the IMF guy are all noneSense.

It will create more and more problems..

The only solution is to regulate the areas consuming the dollars, like importation of luxury, expensive goods & services. A good example is foreign education and japaing.

JuanDeDios:

There should be no parallel market. It exists because government created an official window to protect some sectors but that hasn't work as intended. It has only created bigger problems.

Truth..

And the demand in the parrarel market..

LikeAking:


Na you no know jack..

Na the notes dem Dey use by the dollars?

Too much money is circulation is not hard notes only…

Secondly those useless monetary solutions proposed by the IMF guy are all noneSense.

It will create more and more problems..

The only solution is to regulate the areas consuming the dollars, like importation of luxury, expensive goods & services. A good example is foreign education and japaing.

Lol.
Your last paragraph just showed me the futility of engaging you any further.

loswhite:
This is the problem of Nigeria. My case will be different no matter the hardship...lol this is what we pray for everytime...Evil prayers. There is nothing to be happy about a falling naira even though you earn in dollars.

More wisdom boss

We import almost everything.

iCauseTrouble:
Naira

Makes sense, the fixed #1mil/ year.
How then does it pay you in dollars?

The china Yuan/Naira trade deal is the only feasible solution to get out of this dollar shit that is increasing the inflation rate as 90% of our imports is from china.

Is Tinubu strong enough to accept this deal and face persecution from the US?

Before they say anything I already knew.

Thanks to you IMF, all your directives lead us thus far

Back to Emefiele's suggestion after failure of the new tactics.

BoldBrainz:


Lol.
Your last paragraph just showed me the futility of engaging you any further.

Tell me what’s wrong with my last paragraph..

Criticise my last paragraph constructively If you have the IQ to do so..

Stop playing all these your fault finding mind games and trickery.. You are trying to be smart…

Datedoboy:
I had mentioned it in my previous post that it will get to NGN1,000 per Usd if drastic measures are not taken.

Again, I am saying it here that it will get to 2,000 before 2025 if we don't take these drastic measures.

These measures will make the Naira appreciate to at most NGN500 to a dollar in the short term and in the long term, NGN100

What are these measures? I will explain further but note that this is not about Exports.
Even if we export more than China today, the NGN will still decline further. How do i know this?

If you do your research, you will discover that Nigeria as at 2023, exported and earned more FX more than several countries and yet the currencies of these countries are stronger than the Naira.

So don't let anyone sell the idea that our economy is import dependent that is why our currency is falling. Even if we ban all imports and continue with (or increase) our current export, the Naira won't appreciate

A simple question you can answer is, when we banned rice importation, did our currency stop falling? No !!! So sit back as we take a dive to 4 policies which WILL make the Naira appreciate.

1. All domiciliary accounts must be closed.
Can a Canadian or US bank open Naira account for you? No! So why do we open Dom. Accounts for our citizens ? Now you may say what of imports? How do we pay for our goods in foreign currencies?

The answer is simple. Credit your account in Naira while your bank pays the USD or GBP equivalent on your behalf at official rate determined by CBN

2. Ban deposits and withdrawals in foreign currencies and convert all inflows including export proceeds in foreign currencies to Naira (again at official rate determined by CBN).

You don't need to stop people who sell at black market or hoard the USD. Let those who hoard the dollar keep it but once they know that after a said date, you can't deposit or hold your physical dollar, they will be forced to go to the bank to deposit it. Anyone found with physical hard currencies after the deadline, must be arrested

This policy alone will make the NGN appreciate to maximum of NGN600 after first two weeks of implementation and will mop up hidden/excess dollar in the system.

This policy will also discourage buying usd from the black market because there won't be any physical dollar to buy.

3. Increase interest rate for fixed Naira deposits to a minimum of 10%. This will encourage saving in Nigeria. Let a Naira 4 Naira scheme, replace the previous Naira 4 dollar scheme.

4. Increase interest rates on foreign currency deposits to 40% of principal amount if option 1 is not possible and convert all inflows to NGN without the option of collecting foreign currencies at the counter. You can't spend USD or GBP in Nigeria so why do you want to collect your inflows in foreign currencies?
This policy indirectly stops the black market arbitrage.

As the Government has floated the Naira, if these measures are not put in place, NGN2,000 to a dollar won't be surprising to me.

I am just a concerned Nigerian and i am open to constructive criticism.

Lol...I stopped reading at no. 1

May I ask..if I deposit my account and what to pay a service in dollars..where does the bank want to get the dollars to pay on my behalf..


You talked about government banning rice which had little effects...

Have you checked the top 10 commodities we import that drys up our reserve..

Are you aware we don't even spend up to 10% of our reserves on rice..so how do you expect a substantial effect..

We spend at least 45% of our foreign exchange to import refined petroleum products... End that completely and see that the pressure will reduce drastically..


Dollar is the global means of exchange..no body will accept naira for anything..
Even the Chinese do many of their foreign trade in dollars

LikeAking:


Tell me what’s wrong with my last paragraph..

Criticise my last paragraph it constructively If you have the IQ to do so..

Stop playing all these your mind games and trickery.. You are trying to be smart…

Drop some points..

I know them all…

You're calling for restrictions on the importation of "luxury items" and the drastic reduction of forex for foreign educational needs..😂.

Please, what qualifies as "luxury items", going by your standards?

i received a lot of bashing when i made similar suggestion.

you forgot to include that it also tackles corruption.

lets see how they would move round ghana must go bags for corrupt settlements?

Datedoboy:
I had mentioned it in my previous post that it will get to NGN1,000 per Usd if drastic measures are not taken.

Again, I am saying it here that it will get to 2,000 before 2025 if we don't take these drastic measures.

These measures will make the Naira appreciate to at most NGN500 to a dollar in the short term and in the long term, NGN100

What are these measures? I will explain further but note that this is not about Exports.
Even if we export more than China today, the NGN will still decline further. How do i know this?

If you do your research, you will discover that Nigeria as at 2023, exported and earned more FX more than several countries and yet the currencies of these countries are stronger than the Naira.

So don't let anyone sell the idea that our economy is import dependent that is why our currency is falling. Even if we ban all imports and continue with (or increase) our current export, the Naira won't appreciate

A simple question you can answer is, when we banned rice importation, did our currency stop falling? No !!! So sit back as we take a dive to 4 policies which WILL make the Naira appreciate.

1. All domiciliary accounts must be closed.
Can a Canadian or US bank open Naira account for you? No! So why do we open Dom. Accounts for our citizens ? Now you may say what of imports? How do we pay for our goods in foreign currencies?

The answer is simple. Credit your account in Naira while your bank pays the USD or GBP equivalent on your behalf at official rate determined by CBN

2. Ban deposits and withdrawals in foreign currencies and convert all inflows including export proceeds in foreign currencies to Naira (again at official rate determined by CBN).

You don't need to stop people who sell at black market or hoard the USD. Let those who hoard the dollar keep it but once they know that after a said date, you can't deposit or hold your physical dollar, they will be forced to go to the bank to deposit it. Anyone found with physical hard currencies after the deadline, must be arrested

This policy alone will make the NGN appreciate to maximum of NGN600 after first two weeks of implementation and will mop up hidden/excess dollar in the system.

This policy will also discourage buying usd from the black market because there won't be any physical dollar to buy.

3. Increase interest rate for fixed Naira deposits to a minimum of 10%. This will encourage saving in Nigeria. Let a Naira 4 Naira scheme, replace the previous Naira 4 dollar scheme.

4. Increase interest rates on foreign currency deposits to 40% of principal amount if option 1 is not possible and convert all inflows to NGN without the option of collecting foreign currencies at the counter. You can't spend USD or GBP in Nigeria so why do you want to collect your inflows in foreign currencies?
This policy indirectly stops the black market arbitrage.

As the Government has floated the Naira, if these measures are not put in place, NGN2,000 to a dollar won't be surprising to me.

I am just a concerned Nigerian and i am open to constructive criticism.

But thiefnnnubbuu is working

Majority of that naira are politicians trying to change their money