₦airaland Forum

All these to convince FG to keep collecting loans so that they can continue their ostentatious lifestyle!

The preposterous part of this is data boys believing that a monetary institution like IMF have the best interest of Nigeria or even want Nigeria's development!

This is the same institution who only few days ago 'recommended' and advised the FG to extend Value Added Tax (VAT) to petroleum/fuel products and introducing excise duties on telecommunications services.


This is the same financial institution that will tell heavily indebted countries about their very healthy status only for those countries to hit rock bottom some few months later after collecting more hefty loans!


This is like believing that a bank has the best interest of a heavily indebted customer by trying to convince him of their healthy bank account status in order to obtain more loans!

I am overwhelmed by ignorance of Nigeria youth and their desire to criticise everything in ignorance. For avoidable of doubt, IMF says by Nigeria economy, a dollar should be around 1,000.

VeeVeeMyLuv:
There is absolutely no reason why 1 dollar should be N1380

And cefa will be $1 US dollar to 572.25 West African CFA franc

There is no reason cefa should be more valuable than naira

I have told you guys that this devaluation is not organic, this is a deliberate inordinate manipulation masterminded by very wicked selfish greedy individuals that don't care if the whole country tanks as long as their interests are protected, oiled, consolidated, expanded.

Isnt it obvious they spend dollars for campaign, and when they loot they save such funds in dollar account
Where will a man heart/interest be if not where is money @

You can see int'l market price of fuel as falling and dollar as falling simultaneously But No changes or impact till date,

If Dangote and oil marketers are feigning sleep, should the govt afflict the people they promised a ma gbe waa lé in frog voice

Is this a perfect timing for Let the poor breath

Bleep IMF.

ogolemati:
make everyone relax make that snatcher grabber and ran away criminal win next election, dollar will hit 2500 and above

Now that he has given us adequate electricity, will you vote for him, even though he is yet to crash petrol price as promised in January 2023 when it was N185




https://www.youtube.com/watch?v=Lba6Uf64Ogc

Deltafirstson:
Although the pump price of fuel was N197 when President Bola Tinubu took over on May 29, 2023, the product now sells for N617 per litre – less than two months after.

In his inaugural address, Tinubu announced that subsidy was gone, fulfilling a promise that all leading presidential candidates made during the campaign.

Nigerians have been lamenting the hardship occasioned by fuel price hike. Amid the lamentation, a video where Tinubu campaigned to slash the price of fuel went into circulation.

Checks by Daily Trust affirmed the authenticity of the video uploaded on the YouTube page of Channels Television.

At his campaign rally in Abeokuta, Ogun State capital, on January 25, 2023, Tinubu spoke on a number of issues, but those of fuel scarcity and naira redesign made the headlines.

However, Tinubu who spoke in Yoruba language, also assured the crowd that though people were saying petrol price would hit N200, it would be reviewed downward under him.

“The great Nigerian youths, the great Nigerian students, the confident Nigerian youths. This is a revolution. This election is a revolution. They are plotting, but they will fail. They said fuel price will increase and reach N200 per litre. Go and relax, we will bring it down,” he had said in the 7th minute of the video.


https://dailytrust.com/breaking-video-of-tinubu-campaigning-to-crash-fuel-price-goes-viral-amid-hike/



https://www.youtube.com/watch?v=4JH8CC_JdUA

skydancer:
The real issue here is that imports have to be discouraged. What the government is doing is strategically calculated to strengthen local industry and improve exports but it's coming at a cost

You decrease import dependence by increasing domestic production.

In order to increase domestic production you MUST have constant, affordable electricity.

Have they done that?

muykem:
I am overwhelmed by ignorance of Nigeria youth and their desire to criticise everything in ignorance. For avoidable of doubt, IMF says by Nigeria economy, a dollar should be around 1,000.

That part is probably true.

But we all know why they are saying it and it's not because they care about the welfare of Africans.

Bosman17:
No… it’s not oil production, the govt is intentionally slowing down inflation… many people don’t know government also needs a bit of inflation for balance of trade!

How is naira trading at #1350 slowing down inflation?naira at #900 is actually what will accelerate the slow down of inflation as it will lead to the reduction in prices especially energy commodities.When I said they need to increase oil production, I understand what it means to the monthly receipt of govt.with our current fx reserve the naira can comfortably trade at #700 if the govt allows it,but that can't happen without a corresponding increase in oil production of at least 500,000 bpd to offset the differential in revenue caused by the strengthen of the naira.

Nigeria is in a very interesting time economically.We are at a stage stabilisation has been achieved and how best to improve the livelihood of our people without returning to our wasteful spendings of the past.I have had discussions with some of my friends and we have come the conclusion that the best way forward is to achieve at least extra 200,000 bpd and allow the naira achieve its true value of around #900 and then reintroduce VAT on petroleum products.I know the govt plan to hit an average of 2mbpd by the 4th quarter of this year.May be they can achieve an average of 1.7mbpd from August.Having a net reserve of about $40b is unprecedented in this country.The economy is on the right track and the president is needs to be ruthless against bandits and terrorists to secure this nation.

dettolgel:
IMF is a cartel they are trying to scam FGN so that their investors can repatriate their naira and make a killing, before coming back to tell Nigerians that naira is over valued. So their cronies can move USD and invest and the cycle continues

Absolutely.
They've been doing that for ages.
I wonder how they manage to make the government believe their lies every single time.
Maybe government official are part of the cartel benefiting from the scam.n

mmsen:
You decrease import dependence by increasing domestic production.

In order to increase domestic production you MUST have constant, affordable electricity.

Have they done that?

Nice one!
Also include security,low transport cost etc

Cmeo:
I believe this Tinubu government is deliberately keeping the dollar at the current rate of 1,300 Naira to safe some business and make more money to settle it's naira obligations.

True worth of a Dollar now is about 980 Naira but as the government is one of the most earner and seller of dollar, they deliberately keep the dollar price higher so that they can collect more Naira to settle Naira obligations and possibly not to devalue the stock of people not yet sold that had been imported at costly dollar value.

The only sensible comment on the whole front page
Nigeria is doing what china does , undervalue your currency to drive trade surplus .

I will make $1 to be #1
Buhari APC Government promised Nigerians.

If Buhari APC equal $1 to #1 i will ride my powerbike from Abuja to USA. .....Charlie boy

Charlie2020:
IMF just want Nigerians pauperised. Haven't we suffered enough? 25% undervalued!!! IOW, the want the Naira to exchange at approx $/1800

Look at the way you're disgracing yourself

You claimed they said the naira is undervalued by 25%, and same you still said they want the rate to be 1800/$

Kukutente23:
IMF Discloses Naira's True Value Against USD as Nigerian Currency Strengthens After FX Reforms

IMF states Nigerian naira remains undervalued by 25.6% despite recent foreign exchange gains

Naira should trade at approximately N1,130/dollar according to the IMF's latest assessment

IMF advises CBN on maintaining exchange rate flexibility to address valuation gap



https://www.legit.ng/business-economy/economy/1715082-imf-reveals-nairas-true-usd-nigerian-currency-strengthens-fx-reforms/

Rabiu of BUA was spot on some months back when he claimed that naira would be 1200/dollar within a few quarters. These major investors have strategic analyst that help advise on borrowings, expenditure planning so they have extended view of economic conditions that most of us don't ; they have international lenders that they are accountable to.

Charlie2020:
IMF just want Nigerians pauperised. Haven't we suffered enough? 25% undervalued!!! IOW, the want the Naira to exchange at approx $/1800

Do you lack comprehension of the English language !

Would you have been happier if they said the country was tanking.

Bosman17:
No… it’s not oil production, the govt is intentionally slowing down inflation… many people don’t know government also needs a bit of inflation for balance of trade!

Spot on but why do individuals who are illiterate on economic, fiscal and monetary policies keep making daft statements like the multitude we've already seen in this thread.

Many don't even understand the rudiments of inflation beyond the price of rice and garri in an informal market where price control and consumer protection is absent

donself9:
What did the economist expert know that is reflective except untold hard

Now the IMF is talking about, govt undervaluing the naira instead of it true ...lets ask ourselves who are those spending in dollars and storing looted funds in dollar,
If $ is 1130 buh govt feign sleep nd leave it at 1300 ... Who are the Big beneficiaries

It will be an Insult to common intelligence, if you can assert Tinubu reform brought $ down to 1130 at these time .. cos we know the impact of Us - iran war, we are not gullible

If you must insist Tinubu reform is responsible please go into detail which policy

The dollar exchange was already trending downwards before the conflict started, I exchange FX multiple times weekly so I can state factually the trajectory of the Naira.

The biggest cause of these would be the stoppage of fuel subsidy and the Dangote effect. Nigeria has also been recorded positive trade balance both in value and volume.

bentenny:
Nice one!
Also include security,low transport cost etc

The FG can't influence transport costs intra-state without going back to the dark days of subsidy.

However by making a special fund available or backing financing for state governments that want to implement mass transit as we see in Lagos they can do this.

Also with their revival of inter-state rail service by the NRS they can influence cost of transit across the country.

But it has to be mass transit, rail metro line and large volume bus systems like BRT

Afrojuju2017:
The FG can't influence transport costs intra-state without going back to the dark days of subsidy.

However by making a special fund available or backing financing for state governments that want to implement mass transit as we see in Lagos they can do this.

Also with their revival of inter-state rail service by the NRS they can influence cost of transit across the country.

But it has to be mass transit, rail metro line and large volume bus systems like BRT

Oh yes they can and you just mentioned one of them.
If we don't reduce transport cost, similar imported products will be cheaper than local products!

anonimi:
Now that he has given us adequate electricity, will you vote for him, even though he is yet to crash petrol price as promised in January 2023 when it was N185




https://www.youtube.com/watch?v=Lba6Uf64Ogc

Amovingman come and see. If only the agbero chairman didn't came with empty bullion vans,he would have performed

mmsen:
You decrease import dependence by increasing domestic production.

In order to increase domestic production you MUST have constant, affordable electricity.

Have they done that?

By the government I mean CBN, the CBN can only use what it has, it's not their responsibility to construct power plants. It's a cheap sink or swim strategy. If you make the exports lucrative enough, domestic production will become highly attractive.
One of the things that have always shielded Nigeria from economic crisis is smart CBN governors.. If we were putting people like Gumi there, Na only smoke and charcoal for remain in Nigeria by now

Charlie2020:
IMF just want Nigerians pauperised. Haven't we suffered enough? 25% undervalued!!! IOW, the want the Naira to exchange at approx $/1800

Undervalued means it should be less than 1,400/$. You're confusing it for overvalued.

bentenny:
Oh yes they can and you just mentioned one of them.
If we don't reduce transport cost, similar imported products will be cheaper than local products!

You see how I proposed a viable solution, I just don't critic the FG I proffer what I would give the opportunity. It's however our duty to hold out state governors accountable because that is the true bane of our existence

Afrojuju2017:
You see how I proposed a viable solution, I just don't critic the FG I proffer what I would give the opportunity. It's however our duty to hold out state governors accountable because that is the true bane of our existence

How many of those solutions have been implemented by the administration?

bentenny:
How many of those solutions have been implemented by the administration?

It's easier for me to propose these solutions they know the realities that I may not have considered. They have their own plans.

The SW DAWN commission has already drawn up a development plan for cross state public transport across their region using the funds from the development commission

Afrojuju2017:
The dollar exchange was already trending downwards before the conflict started, I exchange FX multiple times weekly so I can state factually the trajectory of the Naira.

The biggest cause of these would be the stoppage of fuel subsidy and the Dangote effect. Nigeria has also been recorded positive trade balance both in value and volume.

Yes the dollar had a small fall before the US Iran crisis .. thats why we recorded $1 - 1380 then ....its global the dollar fall.

What we have now is a significant drop ... 1380 - 1130 ... #250 gap is significant can anyone that understand trading
I won't describe it as Naira strengthen to dollar cos the reality is dollar bowed not just to naira only

As for your last paragraph, your conclusion can only be valid if you can show dollar fall was only to the naira ...

I stand to be taught

The worst kind of currency manipulation is mass printing of the currency which I believe is no longer the case

Then if the foreign reserve is rising steadily it means the local currency is losing an opportunity to strengthen or increase in value because it is when dollars flood the local market that it drops in value

The main advantage of a currency that is stable or static in value is that it can secure the position of portfolio investors but we don't need portfolio investors that much. We need people here for the long term more. There is nothing wrong in allowing the Naira to steadily rise in value. The possibility of a sharp rise is low if not nil. So real investors can study the trajectory and they shouldn't expect the CBN or the government to patronize them

Honesty and fair dealing is more important and it is better to let the naira to rise in value than protect the interests of any class of investors. If your money is properly invested, the value will remain the same regardless of the exchange rate. If you already bought Nigerian breweries, the value of the asset will largely remain the same no matter what is the value of the naira. It is those who keep cash in the bank that can suffer and it will not be much if there is no mass printing of the currency

If government is not changing a lot of it's oil dollars to naira but is instead using it to shore up it's foreign reserves it is probably printing naira to meet some of its naira obligations and that is why interest rates remain high or can someone explain why naira interest rates is much higher than Ghana's?

However this CBN still remains the best in modern history but their inflation is still high and when inflation is high, government is unfair

donself9:
Yes the dollar had a small fall before the US Iran crisis .. thats why we recorded $1 - 1380 then ....its global the dollar fall.

What we have now is a significant drop ... 1380 - 1130 ... #250 gap is significant can anyone that understand trading
I won't describe it as Naira strengthen to dollar cos the reality is dollar bowed not just to naira only

As for your last paragraph, your conclusion can only be valid if you can show dollar fall was only to the naira ...

I stand to be taught

It is a normal saying when a currency falls, against the other, when Naira was losing value, what every economist said was USD gaining against the Naira and when USD loses value, automatically ones currency gets strengthen because if one goes down another appreciates.

This is a response to your sentence which says "Naira didn't appreciate against the dollar but USD bows down to Naira"

Afrojuju2017:
It's easier for me to propose these solutions they know the realities that I may not have considered. They have their own plans.

The SW DAWN commission has already drawn up a development plan for cross state public transport across their region using the funds from the development commission

This has been done long before the establishment of the development commission which in my opinion is just a repetition of already established agencies....why has it not been operational knowing fully well that it's one of the key reasons why local products are more expensive than the imported products?

We keep hearing about plans without corresponding actions for more than 3 years of this incompetent administration!

Even when operational,it doesn't serve those who need it most because the system isn't effective and efficient!

Until the key components like effective security,reduced transport cost,accessible roads etc are proactively and aggressively addressed,imported products unfortunately will keep dominating local products!

Urgent1Million:
They have come again with their statistics.
Now that I've decided to keep my money in USD and bring it to naija to exchange, they're suggesting that the rate may fall further.
What manner of information is this bawo!
Hia!!!!!!!

as how now

DeltaBachelor:
Chai. When will this thing come down to what it was during “Jonathan’s regime” . That’s the million dollar question o

What an ignorant question, during Jonathan's regime it was been highly subsidies,it can come down to that level first if this regime go back to artificial rate through subsidies. Secondly by reducing our over reliance on imported goods,by producing what we consume and consume what we produce. Thirdly by demanding dollar or pounds equivalent of our crude oil or any of our domestic product we sold outside the country in Naira