₦airaland Forum

Ohh ohh ohh,if it's so,e clear wella.
So all the money wey bin dey come Naija as USAID funding nah borrowed money?
If e be so,then all the Naija citizens wey bin don benefit from the USAID before should also contribute to the US government through dia Opay, Palmpay and Fairmoney account since we don't have venom platform here.

Then the Ukrainians should even pay double of wetin our people and even US citizens go pay.
because the kind amount wey I bin dey hear as dem dey donate for Ukraine war during Biden s tenure nah mind blowing.
Sponsorship of that war alone can account for almost half of that national debts.

EDUECO:
Do you mean $25 million or $25 ?

What is humongous about $ 25?

Yes nah,base on his income that $25 might be humongous.Ever heard of widow's mite?
So the guy try well well

PythonPro001:
I need answers to these questions:
1. Who exactly is the US owing this humongous sum of money ?
2. When and why did the US, a supposedly wealthy nation, borrow this money ?
3. If it is so important to pay off the debt, why isn't printing new dollars an option ?

If you print more dollars, you will cause inflation which will make their situation worse. They borrowed money from other top countries including China. Do you know how much they have spent on funding wars in other countries and how much they spend monthly in financing their countless military bases in other countries?

fxexperts:
You really don't understand how money works. you are right about them owing the pension scheme, Federal Reserve, and others, they can also raise funds by selling government bonds and others. The truth is, all governments in this world are running a debt scheme. And secondly they cannot just print excess dollar without causing inflation, which in turn will cause the value of the dollar to reduce like we are experiencing with the naira currently. so this debt in question is a debt the US government is owing its own Federal Reserve, which is like its CBN.

You know nothing about money and how it works.

You are very wrong, maybe Trump is dumb and doesn't know how to raise funds from the government, maybe he is so bad an economist he doesn't know how to run a country's economy. Otherwise, he would have known how to generate money to run his government by selling bonds and other government treasury bills.

You got most of the narratives right, but you actually missed my major point about using printing a $1 trillion dollar coin to satisfy her debt obligations. I responded somewhat yesterday, but I want to break it down more....

Like you stated, unlike Africa Countries, the US does not go out and borrow cash and no one write them a check. The US sells bonds, treasury notes, etc to the public and these debt instruments are backed by the Full Faith and Credit of the United States of America. Which means, the US Government is telling the holders of these note, we will buy-back your note when matured and presented to us guaranteed, no questions asked period!

And the US have never failed to meet this obligations. The reality is, many people who hold these notes sell them to others to make profit or keep them until the US government call them up so they can be making profit on the interest.

Now in a worst case scenario that I believe will never happen unless there is a worldwide catastrophic, assuming every note holder goes to the US for them to buy-back their notes, the US will back her guarantee even if it means printing up to $1 trillion dollars to buy them back. We know that a scenario where everyone wants a buy-back will never happen unless there is a global melt-down.

Also, there are countries like China that would want to prevent that and would like to buy-back those dollars to prevent the resulting hyperinflation on the dollar. Hyperinflation on the dollars will make the yen and other Countries currencies to be too expensive, which will severely hurt exports from those countries.

Almost everything in the US in made in China, imagine a scenario where the dollar is hyper-weak and the Yen is now like 10 times more expensive than the dollar, the buying power of the dollar would become very weak, and this will force the Chinese Government to print and put out more Yen in circulation in other to weaken the power of the Yen....the Chinese Government has been doing this, hence the US Government call them Currency-Manipulators.

There are more facets to this situation, hence my conclusion is that all these US debts have only paper weight. Had the US currency backed by Gold, it would have been a different situation.

Also, yes printing more dollars will result in hyperinflation, do you know that in the US printing and holding US debt notes is more valuable than holding US dollars? So the US Government by increasing debt and avoiding to print dollars to pay for her obligations, are actually printing a more valuable currency call 'Treasury notes, bonds, etc', in essence the US Government is actually printing money because US notes, bonds, etc are more powerful than money or currencies. They have value on the street, you can exchange them for goods and services, you can trade them, etc.

If I have a lemonade stand and selling each cup for a $1; I will take a $1 US treasury note from a buyer over a $1 US currency.

linearity:
You got most of the narratives right, but you actually missed my major point about using printing a $1 trillion dollar coin to satisfy her debt obligations. I responded somewhat yesterday, but I want to break it down more....

Like you stated, unlike Africa Countries, the US does not go out and borrow cash and no one write them a check. The US sells bonds, treasury notes, etc to the public and these debt instruments are backed by the Full Faith and Credit of the United States of America. Which means, the US Government is telling the holders of these note, we will buy-back your note when matured and presented to us guaranteed, no questions asked period!

And the US have never failed to meet this obligations. The reality is, many people who hold these notes sell them to others to make profit or keep them until the US government call them up so they can be making profit on the interest.

Now in a worst case scenario that I believe will never happen unless there is a worldwide catastrophic, assuming every note holder goes to the US for them to buy-back their notes, the US will back her guarantee even if it means printing up to $1 trillion dollars to buy them back. We know that a scenario where everyone wants a buy-back will never happen unless there is a global melt-down.

Also, there are countries like China that would want to prevent that and would like to buy-back those dollars to prevent the resulting hyperinflation on the dollar. Hyperinflation on the dollars will make the yen and other Countries currencies to be too expensive, which will severely hurt exports from those countries.

Almost everything in the US in made in China, imagine a scenario where the dollar is hyper-weak and the Yen is now like 10 times more expensive than the dollar, the buying power of the dollar would become very weak, and this will force the Chinese Government to print and put out more Yen in circulation in other to weaken the power of the Yen....the Chinese Government has been doing this, hence the US Government call them Currency-Manipulators.

There are more facets to this situation, hence my conclusion is that all these US debts have only paper weight. Had the US currency backed by Gold, it would have been a different situation.

Also, yes printing more dollars will result in hyperinflation, do you know that in the US printing and holding US debt notes is more valuable than holding US dollars? So the US Government by increasing debt and avoiding to print dollars to pay for her obligations, are actually printing a more valuable currency call 'Treasury notes, bonds, etc', in essence the US Government is actually printing money because US notes, bonds, etc are more powerful than money or currencies. They have value on the street, you can exchange them for goods and services, you can trade them, etc.

If I have a lemonade stand and selling each cup for a $1; I will take a $1 US treasury note from a buyer over a $1 US currency.

The US prints the dollar but the amount printed is low compared to the volume in circulation hence the US dollar has one of the lowest inflation of any currency. There is more dollar outside the US than in the US. The only problem in all of this is that the US has to pay interests on all these debts and even the interest is suffocating. The interest is suffocating is the problem. It costs the US 921 billion dollar per annum

lawani:
The US prints the dollar but the amount printed is low compared to the volume in circulation hence the US dollar has one of the lowest inflation of any currency. There is more dollar outside the US than in the US. The only problem in all of this is that the US has to pay interests on all these debts and even the interest is suffocating. The interest is suffocating is the problem. It costs the US 921 billion dollar per annum

Bros, you got it right!

but....the interests on US debts is only suffocating on paper.

The US borrows 'money' from her own Treasury aka US Federal Reserves to pay interest on her debts....which means, they acquire new debts in other to pay interests on existing debts....and the scam goes on and on.

Imagine borrowing money from yourself to pay interest on your debt obligation, is that not scam? If Nigeria and other Africa Countries have inherit Global Trust to do this, we will not be in arms about the rate of borrowing within Africa.

This is all a scam, paper money is a scam and have zero finite value like gold or precious metals.

This scam was perfected when the US pushed to abandon pegging floating currencies to gold reserves...the funny part is, Africa have these gold reserves and precious metal in abundance under our soil and that is real money with finite value.

linearity:
Bros, you got it right!

but....the interests on US debts is only suffocating on paper.

The US borrows 'money' from her own Treasury aka US Federal Reserves to pay interest on her debts....which means, they acquire new debts in other to pay interests on existing debts....and the scam goes on and on.

Imagine borrowing money from yourself to pay interest on your debt obligation, is that not scam? If Nigeria and other Africa Countries have inherit Global Trust to do this, we will not be in arms about the rate of borrowing within Africa.

This is all a scam, paper money is a scam and have zero finite value like gold or precious metals.

This scam was perfected when the US pushed to abandon pegging floating currencies to gold reserves...the funny part is, Africa have these gold reserves and precious metal in abundance under our soil and that is real money with finite value.

They are not really borrowing money from the federal reserve in my opinion since it is a US organ. It will count as intra government debt or so. As far as I am concerned, the central bank is a revenue source and should be treated as such and how much to inflate the currency should be determined by the national assembly. I don't really support mining metals to keep in bank safes in the name of sound money though it has its advantages. Fiat money is okay if managed properly. Fiat money has not failed yet and I don't really think it will fail.


AI says the cost of managing the debt is 921 billion dollars per annum as at June 2025. It depends on prevailing interest rates.
Then all countries are doing the same thing and it is only inflation rate meaning level of new currency printing that differs. TB in Nigeria is 19 percent per annum

Inosky:
Under Peter Obi, the trusted one, it can happen. In fact, many companies will return and new foreign companies from Nigerians outside will erupt.

It's just what it is.

Just like they returned when he was Anambra state governor