₦airaland Forum

Islie:
FACT CHECK: Is petrol 40% cheaper in Nigeria than in Saudi Arabia as claimed by Dangote?



https://factcheck.thecable.ng/fact-check-is-petrol-40-cheaper-in-nigeria-than-in-saudi-arabia-as-claimed-by-dangote/

Let the comparison start from min wage

ivandragon:
Hmm...

Most of these analysis that requires conversion from one currency to the other are often misleading and negate what truly matters, which is the purchasing power of the common man, primarily, the least paid workers.

A straightforward analogy which makes more sense is how much fuel can be bought with the minimum wage?

The average minimum monthly wage in Saudi Arabia is about 4000 SAR. PMS averages at about 2.3 SAR per litre. So 4000 SAR gets you about 1700 litres of PMS.

In nigeria, with minimum wage at N70000 and pms averaging N1000 per litre, your minimum wage gets you 70 litres of pms.

Case closed. Any other calculations or conversions are just exercises in futility because the purchasing power of the masses in any country is what matters most.


Look at USA. Average minimum monthly wage is about $1200. Average pms price is $1 per litre. So minimum wage in USA gets you about 1200 litres of pms.

Your analysis is very faulty, what determines cost of a thing is cost of production and logistics, not purchasing power

ivandragon:
That is it. Simple and short.

That is how you can truly know if economic progress in being made or not. How are the people surviving.

As counterintuitive as it may sound, infrastructure is not an end in itself when it comes to economic development. It is how it impacts on the economic empowerment of the masses that really matters.

FX is even more irrelevant in the big picture. A country can have an exchange rate of 5000 units of its currency to $1 and do very fine. Another can have an exchange rate of 1:1 and be in a terrible economic state.


Until our leaders begin to think local, think human economic development and of course, deal with corruption, Nigeria is going no where.

They are not ready to think in that line. They are amassing wealth for themselves. Once the collective resources seem to be running out, they will turn to our assets to fund their flamboyant life styles

ivandragon:
Hmm...

Most of these analysis that requires conversion from one currency to the other are often misleading and negate what truly matters, which is the purchasing power of the common man, primarily, the least paid workers.

A straightforward analogy which makes more sense is how much fuel can be bought with the minimum wage?

The average minimum monthly wage in Saudi Arabia is about 4000 SAR. PMS averages at about 2.3 SAR per litre. So 4000 SAR gets you about 1700 litres of PMS.

In nigeria, with minimum wage at N70000 and pms averaging N1000 per litre, your minimum wage gets you 70 litres of pms.

Case closed. Any other calculations or conversions are just exercises in futility because the purchasing power of the masses in any country is what matters most.


Look at USA. Average minimum monthly wage is about $1200. Average pms price is $1 per litre. So minimum wage in USA gets you about 1200 litres of pms.

Let me quote this for keeps!

Islie:
FACT CHECK: Is petrol 40% cheaper in Nigeria than in Saudi Arabia as claimed by Dangote?



https://factcheck.thecable.ng/fact-check-is-petrol-40-cheaper-in-nigeria-than-in-saudi-arabia-as-claimed-by-dangote/

Since he is using Saudi Arabia as a standard, please let's also adopt the minimum wage there also...

ivandragon:
Hmm...

Most of these analysis that requires conversion from one currency to the other are often misleading and negate what truly matters, which is the purchasing power of the common man, primarily, the least paid workers.

A straightforward analogy which makes more sense is how much fuel can be bought with the minimum wage?

The average minimum monthly wage in Saudi Arabia is about 4000 SAR. PMS averages at about 2.3 SAR per litre. So 4000 SAR gets you about 1700 litres of PMS.

In nigeria, with minimum wage at N70000 and pms averaging N1000 per litre, your minimum wage gets you 70 litres of pms.

Case closed. Any other calculations or conversions are just exercises in futility because the purchasing power of the masses in any country is what matters most.


Look at USA. Average minimum monthly wage is about $1200. Average pms price is $1 per litre. So minimum wage in USA gets you about 1200 litres of pms.

Both Saudi and the USA have their own refineries o, not one not two but many yet we want to compare to them. Also do you know how much those governments subsidize petrol for their citizens?

Finally, what business does a minimum wage earner have with buying fuel? The lowest earners in the USA are either getting on a bus/train or taking a loan to afford a car. The minimum wage earner in the USA go still pay 25% tax from that $1200, him go still pay minimum $500 as rent, him go pay cell phone, health insurance and other utility bills. Oh let's forget e go cost brother man or sister, at least $200 to eat for the month, wetin remain?

If such a person has more than $100 to spend on petrol per month just know say na JUJU

dangote is a thief and he knows,
he will die soon and that refinery will die like they all killed porthacourt refinery

ObosiLandlord:
Yes, it matters a lot. Nothing is stopping you from also creating a thread where you can compare the minimum wage

u are a thief just like ur boss dangote,
leave our crude alone, buy abroad.
let government build our own refinery and use our own crude to refine and let me see how far dangote will go,
if na aboki get this crude oil, nigeria go don divided since after the civil war

While rushing to compare let's not forget that Saudi is subsidizing fuel for it to be 2:33.

ClearFlair:
Does it even matter. Compare minimum wage first

You're actually not wrong.

Quelme:
Nigerians una too like free things.

how much are you paying living in your parent house

oluwaahmed:
While rushing to compare let's not forget that Saudi is subsidizing fuel for it to be 2:33.

Same with the Nigerian government.

Basicend:
Dangote is one of the major reasons why Nigerians are in abject poverty due to his over-exploitative schemes.

He has been doing everything to ensure that price of PMS is increased, and accepted by Nigerians.

You must thinking from your anus, is it dangote that loot national funds, or his dangote that said subsidy is gone
is it dangote that is creating policies that dictate cost nd standard of living
You must be high on soak away, who made price of diesel go down

abbey621:
Both Saudi and the USA have their own refineries o, not one not two but many yet we want to compare to them. Also do you know how much those governments subsidize petrol for their citizens?

Finally, what business does a minimum wage earner have with buying fuel? The lowest earners in the USA are either getting on a bus/train or taking a loan to afford a car. The minimum wage earner in the USA go still pay 25% tax from that $1200, him go still pay minimum $500 as rent, him go pay cell phone, health insurance and other utility bills. Oh let's forget e go cost brother man or sister, at least $200 to eat for the month, wetin remain?

If such a person has more than $100 to spend on petrol per month just know say na JUJU

The problem is a lot more complex than that....Subsidy in itself is not a bad thing (if you can afford it you may choose to give out free petrol to everyone if thats what you want), the problem is that Nigeria is almost bankrupt and can no longer afford to continue to do this.

Nigeria needs to be restructured wholistically so that we can truly begin to become a productive nation, rather than a consuming nation.

As we begin to export more and more products, the Naira will begin to appreciate and these problems will begin to fade away naturally ...

Kobojunkie:
Same with the Nigerian government.

Yes their makes it cheaper ours makes it expensive

SmokedWhiskey:
The problem is a lot more complex than that....Subsidy in itself is not a bad thing (if you can afford it you may choose to give out free petrol to everyone if thats what you want), the problem is that Nigeria is almost bankrupt and can no longer afford to continue to do this.

Nigeria needs to be restructured wholistically so that we can truly begin to become a productive nation, rather than a consuming nation.

As we begin to export more and more products, the Naira will begin to appreciate and these problems will begin to fade away naturally ...

I don't disagree with that but we can't keep saying Nigeria is bankrupt when these leaders are wasting resources and borrowing for their own selfish reasons. You can't ask Nigerians to sacrifice and endure hardship yet buy 100 million sUV for every Senator and Rep.

Nigeria can't be productive when the money meant for infrastructure such as refineries and power generation is being used for private jets and overseas trips. our vision is that of long term( 10 to 20 years) but what happens in the short term(now-2 years) affects that long term goal!

The OP has a sinister objective. That's to justify the crazy fuel price in Nigeria. We are all mature individuals. He should have done a comprehensive comparison between the two countries. Suffering and smiling due to nepotism and tribalism has blur the mind of the average Nigerian. What a pity! 😔
quote author=ObosiLandlord post=132188051]If you go through the OP post, you will understand why this thread was created. Nothing is stopping you from creating a thread and comparing the minimum wage too.[/quote]

abbey621:
Both Saudi and the USA have their own refineries o, not one not two but many yet we want to compare to them. Also do you know how much those governments subsidize petrol for their citizens?

Finally, what business does a minimum wage earner have with buying fuel? The lowest earners in the USA are either getting on a bus/train or taking a loan to afford a car. The minimum wage earner in the USA go still pay 25% tax from that $1200, him go still pay minimum $500 as rent, him go pay cell phone, health insurance and other utility bills. Oh let's forget e go cost brother man or sister, at least $200 to eat for the month, wetin remain?

If such a person has more than $100 to spend on petrol per month just know say na JUJU

What exactly have you written? Doesn't the person earning 70k in nigeria pay taxes?

What reasonable accommodation can 70k per month get you?

The person earning 70k does not eat right?

The bottom line is what can your money do for you in your own country. Any other thing is exercise in futility.

Proudlyngwa:
Your analysis is very faulty, what determines cost of a thing is cost of production and logistics, not purchasing power

Your comprehension ability is seriously below par.

Where in my comment did I state that it is purchasing power that determines prices?

ivandragon:
What exactly have you written? Doesn't the person earning 70k in nigeria pay taxes?

What reasonable accommodation can 70k per month get you?

The person earning 70k does not eat right?

The bottom line is what can your money do for you in your own country. Any other thing is exercise in futility.

Go back and read what I responded to, you just can't jump in without providing the context! We are talking about how much liters of petrol 1,200 dollars can get you compared to 70k Naira in Nigeria and I used proper analysis to show you that the 1,200 is more like 100 dollars after expenses, so a country that still subsidizes food, petrol and other things still only leaves you with 100 dollars to fuel your vehicle, why are we surprised that a nation that took away subsidies has citizens strugging to buy petrol on minimum wage?

abbey621:
Go back and read what I responded to, you just can't jump in without providing the context! We are talking about how much liters of petrol 1,200 dollars can get you compared to 70k Naira in Nigeria and I used proper analysis to show you that the 1,200 is more like 100 dollars after expenses, so a country that still subsidizes food, petrol and other things still only leaves you with 100 dollars to fuel your vehicle, why are we surprised that a nation that took away subsidies has citizens strugging to buy petrol on minimum wage?

You quoted me first and you are here telling me I jumped in?

Let me assume you wanted to quote someone else then.

And what is 70k after expenses? N1m?

Again, let me assume you meant to quote someone else.

ivandragon:
You quoted me first and you are here telling me I jumped in?

Let me assume you wanted to quote someone else then.

And what is 70k after expenses? N1m?

Again, let me assume you meant to quote someone else.

You're not paying attention, I said you should mention the context, did I just write about taxes alone? I showed you how your analysis of $1200 buying so much liter of petrol is not only wrong but unrealistic!

Again you're missing the point, if a nation that subsidizes everything from food to petrol is only leaving minimum wage workers with less than 10% of their income for petrol monthly, why are you SHOCKED that a nation that removed subsidies is leaving a minimum wage worker with LESS?

I don't think I can make this much clearer!

ivandragon:
Hmm...

Most of these analysis that requires conversion from one currency to the other are often misleading and negate what truly matters, which is the purchasing power of the common man, primarily, the least paid workers.

A straightforward analogy which makes more sense is how much fuel can be bought with the minimum wage?

The average minimum monthly wage in Saudi Arabia is about 4000 SAR. PMS averages at about 2.3 SAR per litre. So 4000 SAR gets you about 1700 litres of PMS.

In nigeria, with minimum wage at N70000 and pms averaging N1000 per litre, your minimum wage gets you 70 litres of pms.

Case closed. Any other calculations or conversions are just exercises in futility because the purchasing power of the masses in any country is what matters most.


Look at USA. Average minimum monthly wage is about $1200. Average pms price is $1 per litre. So minimum wage in USA gets you about 1200 litres of pms.

Case closed,any person that have a problem with this comparison is a dishonest person.

abbey621:
You're not paying attention, I said you should mention the context, did I just write about taxes alone? I showed you how your analysis of $1200 buying so much liter of petrol is not only wrong but unrealistic!

Again you're missing the point, if a nation that subsidizes everything from food to petrol is only leaving minimum wage workers with less than 10% of their income for petrol monthly, why are you SHOCKED that a nation that removed subsidies is leaving a minimum wage worker with LESS?

I don't think I can make this much clearer!

It is obvious you have comprehension problems.

You want me to provide context for your own statement when you were the one that quoted me first?

If you did not understand the initial statement you quoted, then why quote me? Why should I provide context for your own inability to understand?

What shock have I expressed? The point I raised in direct relation to the main topic is conversion of currencies to compare prices in different countries can be misleading and the focus should be on the purchasing power of the local currency in relation to prices of goods and services in that same country.

My write up was simple and to the point. If you want to keep comparing apples and pineapples, that is your headache.

Na such exchange rate Una use?

ivandragon:
Hmm...

Most of these analysis that requires conversion from one currency to the other are often misleading and negate what truly matters, which is the purchasing power of the common man, primarily, the least paid workers.

A straightforward analogy which makes more sense is how much fuel can be bought with the minimum wage?

The average minimum monthly wage in Saudi Arabia is about 4000 SAR. PMS averages at about 2.3 SAR per litre. So 4000 SAR gets you about 1700 litres of PMS.

In nigeria, with minimum wage at N70000 and pms averaging N1000 per litre, your minimum wage gets you 70 litres of pms.

Case closed. Any other calculations or conversions are just exercises in futility because the purchasing power of the masses in any country is what matters most.


Look at USA. Average minimum monthly wage is about $1200. Average pms price is $1 per litre. So minimum wage in USA gets you about 1200 litres of pms.

People that earn minimum wage do they own cars? You should be talking of efficient and cheap public transportation system.

VeeVeeMyLuv:
Saudi minimum wage is 4000 riyals

1 riyal = 444 naira

Saudi minimum wage in naira is 4000 x 444 = 1,779,086.93 naira!

Nigerian minimum wage is just a paltry 70k that they are yet to implement.

And you want somebody in Nigeria to pay the same amount for petrol those in Saudi pay? Haba Alhaji

What is the cost of living of the two countries? Accommodation, food, groceries, etc. A man that is paid 200k by a company in Enugu if the same company transfers him to their branch in PH the 200k will not sustain him.

Vision101:
People that earn minimum wage do they own cars? You should be talking of efficient and cheap public transportation system.

There's almost nothing like cheap public transportation system in all the APC regime since 2015 including this present one.

Are Saudi citizens having a better life than Nigerians? Dangote and FG are business people don't trust them

ivandragon:
It is obvious you have comprehension problems.

You want me to provide context for your own statement when you were the one that quoted me first?

If you did not understand the initial statement you quoted, then why quote me? Why should I provide context for your own inability to understand?

What shock have I expressed? The point I raised in direct relation to the main topic is conversion of currencies to compare prices in different countries can be misleading and the focus should be on the purchasing power of the local currency in relation to prices of goods and services in that same country.

My write up was simple and to the point. If you want to keep comparing apples and pineapples, that is your headache.

Yes provide the context! This is why most people do not take some Nairalanders seriously when it comes to intelligence, provide context for the (readers), you don't just cherrypick a point and leave the rest out, your initial reply to me mentioned only taxes then your next one mentioned expenses, why don't you put them together and relate it to my analysis of the $1200?

I gave you a proper analysis from a first hand point of view of someone living in the USA, I expected you to take that in and either counter it or embrace it, I don't expect you to act like a fourth grader throwing cheap shots!

Islie:
FACT CHECK: Is petrol 40% cheaper in Nigeria than in Saudi Arabia as claimed by Dangote?



https://factcheck.thecable.ng/fact-check-is-petrol-40-cheaper-in-nigeria-than-in-saudi-arabia-as-claimed-by-dangote/

Dangote might be right probably cause he sold at less than 40% to NNPC but the Cabal mofos chose to sell to Nigerian at 895...Get it?