seguno2:


If dom accounts are banned but people buy dollars to keep in cash, then how is the speculation part of the problem solved

.

There is a difference between keeping $10,000 or less in cash and keeping millions of dollars in cash.

If dom accounts are banned, only f000ls will keep their dollars in cash…..theft, fire etc

Like I said, forget about politicians. There are many professionals whose wealth is in their dom account because that is what makes sense in a country where Naira investment makes no sense.

Nobody who is that enlightened and legitimate will keep his money in cash.

Most likely a ceiling will be put on how much you can have in a dom account maybe $10,000.

Thats up to the inefficient government to decide. If its pslm oil, they dhould greatly invest in it. If its yam same thing should happen. Its up to them

Asswipemod:


Which products?

casualobserver:


Why is the Naira falling? Because there is speculative purchase of dollars. Why is there speculative purchase? because people feel it wil continue to go lower and so it feeds on itself.

There is forex in the system, the problem is people are buying dollars not to purchase anything but to preserve their wealth, this is because we have dom accounts, so you can buy dollars and do nothing with it. Meanwhile those who have legitimate need for dollars are competeting with those who just want to buy dollars to put in their dom accounts.

The frenzy has started, Naira can easily hit N4000:$1. The only way to stop the slide is to ban dom accounts at which point the only people buying dollars will be those who have legitimate businesses and those willing to store in cash.

Mark it down that I said it here, the only solution and the only point at which the decline will stop is when dom accounts are banned.

Our yearly import bills are less than the yearly forex inflows (official and unofficial) so clearly this decline in Naira is speculation and hoarding.

But we've seen people storing large amounts of cash in various ways... If dom accounts are banned, what stops people from buying and storing as cash? I even believe people prefer to store in cash and other virtual means than in dom accounts

So it'll still continue... I love the way you laid out your points

Yampotatocarrot:


But we've seen people storing large amounts of cash in various ways... If dom accounts are banned, what stops people from buying and storing as cash? I even believe people prefer to store in cash and other virtual means than in dom accounts

So it'll still continue... I love the way you laid out your points

the people who store large amounts of cash are usually people engaged in illegal activities….people whose monies are illicit. Many of those with dom accounts are hard working Nigerians who only use dom accounts because they are fearful of losing their entire net worth and life’s investment by investing in Naira assets. They’ve seen their parents work hard, build houses, buy shares only for those investments to be worth nothing upon retirement because they didn’t keep up with Naira devaluation over the years. For many a significant portion of their net worth is in their dom accounts because history has shown them that even if you don’t earn much in interest, you are better off than most who bought Naira property or shares and tell you their shares or property went up by xx%…until they convert to dollars and realize actually they lost money. . We are talking about enlightened people here, Such people are not going to keep their nest eggs in cash.

Insightful. Thank you for sharing OP. In the next couple of weeks, I believe that the current strategy will bring great positive results. God bless Nigeria for ever!Check my signature for free stuffs!Insightful. Thank you for sharing OP. In the next couple of weeks, I believe that the current strategy will bring great positive results. God bless Nigeria for ever!Check my signature for free stuffs!...

All 3 arms are guilty of this

seguno2:


Are your own senator and representative part of this Nigerian government

festacman:
Managing the economy is more than fiscal and monetary manipulations. The key thing is productive economic activities.

- President Tinubu, please come back home sir. Nigeria needs a new economic foundation.
- Convoke a something like 'National Economic Conference' to develop a nationwide roadmap that will tap the economic potentials of geopolitical zones
- Set up a versatile economic think-tank and keep an open mind to their ideas. Look beyond Wale Edun and work with some crazy young minds to create out-of-box ideas for policies and programs.
- Develop short and long-term Economic and Development Plans and actively Implement it.
- Be positively strong-willed and don't sacrifice crucial things that MUST be done today for tomorrow's 2nd term. Nigerians will always appreciate positive results.
- Stimulate production in different aspects of the economy through incentives, make vital reforms of laws and processes, enthrone intentional concessions, etc.
- Move focus and relocate effort from attracting FDIs to encourage local industries, SMEs and entrepreneurs.
- Create more employments, boost local food production develop creative export drive strategies to earn forex.

you expect all these from corruption?

I hope for this administration's sake, all this talk about banning dom accounts is just that...talk and nothing more.

It will be a disaster if after failing to deliver on the promises they made, they have turned their attentions and their grubby, thieving fingers to the domiciliary accounts of people who had absolutely nothing to do with how we got here.

We are watching.

A very brilliant idea here

ojesymsym:
I am not a financial expert but I have noticed rather strangely that whatever USD amount is made available there are those with cash ready to buy them up. That is why CBN has been struggling to manage the high exchange rate situation.

So rather than try to fight a trend of this type, the CBN can try to turn things around such that people can buy USD from them but only with enaira or whatever digital currency CBN uses. From that point onward, any money that enters as a digital currency will now stay as a digital currency. With time, say about 8 months, a lot of the excess liquidity flying around will reduce and voluntarily find their way as digital currency.

With more people now having to use such digital currency, CBN will have better control over monetary policies. The security situation will also improve because not only will a lot more people start using digital currency for their day-to-day transactions, but cash will gradually begin to reduce, and ransom payment will also become more difficult. All BTA, PTA, Pilgrimage, Form M, or any request for forex will follow this route. It will also help to reduce round-tripping because after buying USD one time, the naira equivalent is now digital. You will from that point find it difficult to round trip since the trail will now be available. This will be far better than the haphazard approach that was used the last time that brought the economy down.

Another beauty of this is that, those kidnappers who for some reason I believe are also stocking USD will push their money indirectly into digital currency, How? you may ask considering that they use the black market for their transactions.

So, here is how even those who patronize the black market will also indirectly have their cash mopped up. For BDCs to also access USD, they will also have to exchange it with digital enaira, so that the money their customers pay to them will be entering the now-bostering enaira.

This is just a draft idea but I believe it can be tweaked further by those who are experts.

One temptation CBN should not fall for is to try to prevent those who legitimately have money in a dom account from accessing it or forcing them to take naira equivalent. It may sound good on paper but Lebanon and Argentina tried it but the result was disastrous.

Queseda:

Most of them are exactly like Dom account holders, some have been buying on the platform since it was below N1000/$ and they can now sell with over 50% profit now that it's close to 1500/$. I really can't tell how much of effect it has on the black market but it definitely has some effect

No the binance crypto rate don't have any effect

The thing is if FG decide to crash the rate to N500

The rate will instantly crash on the platform. The merchants there will have no other choice than to swallow the bitter pill of their loss.

Honestey:
Naira is beyond rescue, let's FG subsidize Japa for us

What do you mean "subsidize japa"??!! Lol

No seriousness in dis fight

Trial and error policies.

It’s like having a bus driver flying a commercial aircraft of 200 million people.

You can’t give wat you don’t have.

Wat about addressing the fundamental problem of the economy than this intermittent band aid.

PressMyButton:
Brainstorming to block the loopholes that agents of corruption and retrogression use to shortchange the system. In a country where banks were holding up $50billion in excesses for speculative purposes. A country with large deposits of Uranium yet the citizens take dollars to import phone and car batteries from the Chinese who come here to mine away our uranium. In a country where we have leather in abundance yet the people import shoes, a country blessed with textile but her people waste dollars importing fake fabrics. A country with crude at its backyard yet import fuel with subsidy. So much importation of junks and fake products with scarce resources while the local industries are left to rot. A country on self destruct peopled by the most greedy of human species.

Have you seen those spraying bales of dollars at parties?, the video is on Facebook.
The senseless population don't see anything wrong with it, they wished they get to do such too.
Na children I pitied, I got no pity for the adults, we told them they need a new orientation, but they just won't listen.
I remembered that national orientation slogan " oil go finish one day o, no let water pass garri poo ".
They were warned but they are too lazy to think, may be if they can think, from the top to the bottom, may be we could have escape this current situation.
Dumb lazy liars who refused to evolve but breed like rats.
They want better life but don't want to pay the price.
You've said it all, there's nothing left to say.

delpee:
I wish we could all decide to drastically reduce our taste for foreign goods.

Imported drinks, designer wear, luxurious cars, furniture, cosmetics, even toothpicks all require loads of forex. The truth is that if we concentrate our focus on patronising local producers more, they'll improve over time and we'll save more forex. Reno Omokri may sometimes sound like town crier, but he said as much. When given a deep thought, it's obvious that he's right.

It's not only importation, foreign school fees no be joke o.

ehikwe22:
Tinubu single handedly contributed to what made APC a possibility due to his selfish interest. The party he brought in power destroyed Nigeria to a stage where it wouldn't be possible for anybody to redeem it within a few years but now he has achieved his selfish aims and came to destroy it to be completely irredeemable. Nigeria is a lost hope. No single hope for this country as the destruction that Tinubu started with Buhari, he has come to complete

PDP was the reason I lost hope in this country, infact I was expecting what is happening now the way naira was depreciating against the dollar then, only I never expect the crash to be this hard now.
Some of my colleagues in the office fled to UK, I had no such luxury so I decided to learn forex trading, this is 2007, precisely 14 years ago.
If I can't enter obodo oyinbo, I should try to earn dollars in Nigeria.
Some of the people with whom I started the quest have abandoned the quest.
Today I'm happy because I didn't give up,
So don't come and tell me how it was very rosy under PDP government, for me it never was.

7lives:


PDP was the reason I lost hope in this country, infact I was expecting what is happening now the way naira was depreciating against the dollar then, only I never expect the crash to be this hard now.
Some of my colleagues in the office fled to UK, I had no such luxury so I decided to learn forex trading, this is 2007, precisely 14 years ago.
If I can't enter obodo oyinbo, I should try to earn dollars in Nigeria.
Some of the people with whom I started the quest have abandoned the quest.
Today I'm happy because I didn't give up,
So don't come and tell me how it was very rosy under PDP government, for me it never was.

You're completely stupid. Do you want to hear it? Yea, it was all rosy under PDP. Comparing life under PDP with life under APC is like comparing heaven and hell

pharmagba:

Spot on!
The quickest is in agriculture
What can we produce that we have competitive advantage
We got the land and human resources

I did my Youth service in a place called Malumfashi, the volume of raw cotton produced in that place is the reason the indegenes are rich.
Way back, the people of Ilesha in Oshun state were also producing raw cotton for export in Large quantities, where are the farms today?.
I don't understand our people's obsession with city life, people abandoned gold mines to come and crowed themselves into shacks in Lagos.
Government can't help everyone, people will eventually be the ones to help themselves.

ehikwe22:


You're completely stupid. Do you want to hear it? Yea, it was all rosy under PDP. Comparing life under PDP with life under APC is like comparing heaven and hell

Is this why you called me stupid?.
If I report you to the mod now you will cry.
E no go ever better for PDP and any of their beneficiaries.
Carry biro and calculate how much PDP earned over 16 years, compared to what was earned by the APC government till date.
You think everyone is daft, my mama ain't raised no fool.
Swerve jor.

7lives:


Is this why you called me stupid?.
If I report you to the mod now you will cry.
E no go ever better for PDP and any of their beneficiaries.
Carry biro and calculate how much PDP earned over 16 years, compared to what was earned by the APC government till date.
You think everyone is daft, my mama ain't raised no fool.
Swerve jor.

Yes you're daft.

Gucciblog:


Sharrap.

Even the fuel you used to charge your phone is imported.

The network you're using to browse is owned by foreigners.

If I tell you to use firewood now, you will start crying

Rudeness diminishes your personality. Learn to convey your message with civility.

gaby:
Brainless people brainstorming.

The irony is amusing.

Round these three dundees up and search their pockets while they "storm" their empty brains and you'll find some crispy Dollar or Pound sterling notes on them.

They still refuse to face reality and kiss the truth that the country's funeral arrangement is what is currently taking place.

Crude oil which used to be the country's major source of forex is currently no longer Nigeria's for the foreseeable future as it has been collateralized into the future against loans.

The creditors will keep lifting the crude for their country's use. One of the reasons Dangote had to source for his supply.

See their clueless faces..

Nigeria is multi-ethnic, yet, see the names of the people "brain-deading" to save it. How does this even make any sense to them?

Bring the policy on, and I as a different ethnic nationality and within the corridors of power will sabotage and ensure it doesn't see the light of day, no matter how lofty and nationalistic the plans are.

This is the true story of Nigeria.

Baba hit ground, ground collapse na so him take off say "una fada".

U Get it.

He should include Kemi Adeosun in the hyped up team of economic morons. Competence rather than tribalism is what will deliver this godamn country

drlaykay:
The problem of the black man is selfishness. Nigerians think of themselves first and care less about the collective state of the nation.

The president is the least problem of Nigeria.
Nigerians are bad and wicked.

A lot of shady dealings by private sectors, high placed individuals and even ordinary people without name.

A reasearch revealed that Nigerian paracetamol is only about 200mg instead of 500mg. The rest is chalk. Nigerians pay China and others to produce substandard goods including drugs for their fellow Nigerians. Oyinbos are wicked but will never do things at the detriment of their country or people.

Part of the demonic attitude of Nigerians is being happy and praying for the country to fail because your preferred candidate isn't in power.
You deserve what you get for being wicked people.

But you never said this when Jonathan was your president.

Great2017:

But you never said this when Jonathan was your president.

Have I said the truth or not? Does it matter if I said it while Jonathan was president? Why Jonathan amongst others?

See, some of us are beyond ethnic bias because it adds nothing to you. The governors from your individual states are co indigenes as you, belonging to same tribe and religion most likely. Have they made you happy?

If I had the knowledge I have now concerning governance, I will definitely mention it in Jonathan's time. Was it not the same Nigerians that sabotaged Jonathan's government?

The likes of Dansuki, the evil Diezani, the sickness governors who asked him to remove subsidy in secrete and went behind to oppose him in public. The governors who pestered him to share the funds from the excess crude account, the likes of Tinubu and other private citizens who knew subsidy removal was right but played politics with it.

Are they not all the wicked Nigerians I'm talking about. And people like you on civil service who manipulate figures. Nna never learn, continue in the tribal path and see what is left of you and your country.

drlaykay:

Have I said the truth or not? Does it matter if I said it while Jonathan was president? Why Jonathan amongst others?

See, some of us are beyond ethnic bias because it adds nothing to you. The governors from your individual states are co indigenes as you, belonging to same tribe and religion most likely. Have they made you happy?

If I had the knowledge I have now concerning governance, I will definitely mention it in Jonathan's time. Was it not the same Nigerians that sabotaged Jonathan's government?

The likes of Dansuki, the evil Diezani, the sickness governors who asked him to remove subsidy in secrete and went behind to oppose him in public. The governors who pestered him to share the funds from the excess crude account, the likes of Tinubu and other private citizens who knew subsidy removal was right but played politics with it.

Are they not all the wicked Nigerians I'm talking about. And people like you on civil service who manipulate figures. Nna never learn, continue in the tribal path and see what is left of you and your country.

It is good you have learnt something. I equally hope this knowledge will not change when another person, who is not affiliated to you, mounts the leadership of this country.

Great2017:


It is good you have learnt something. I equally hope this knowledge will not change when another person, who is not affiliated to you, mounts the leadership of this country.

who is affiliated to me? Tinubu the man with shady records?
How has he ever impacted me? Why would you think people speak the truth only because of tribal reasons. Have you ever seen me campaign for him or tell you he's a good person?

I'm speaking my mind because for Nigeria to be anything great, Nigerians themselves will have to change. That's my discovery which I believe you know is true.