₦airaland Forum

GeneralDae:
No knowledgeable person (who is not stupid) would expect improved standard of living from fuel subsidy removal and a liberal exchange rate coming together. But were they necessary for the survival of the state as at 2023? Yes.

Slammmmmmmm:
Sterling is down by almost 10%. Na wa o

GeneralDae:
Stock market appreciation is usually not a verdict on what’s happening today but on the confidence of investors on the mid to long term prospects of a company or the economy in general.
No of jobs created and factories would depend on the NBS and I don’t know why they don’t release that like in the USA. However, the Stanbic PMI shows us that since early 2025 there have been modest job expansion and hiring. Car imports in 2026 have also rebounded and going stronger.

mikeapollo:
Nigeria was/is wealthy, but we misused the wealth!
Gowon, as president of Nigeria, told the whole world that Nigeria had money, i.e. wealthy nation.
During the 1970s Udoji Awards, Nigeria made huge money from crude oil due to Arab-Israeli war. The shallow, myopic govt decided to share the excess money as bonus to workers. Workers who did not own bicycle, were given so much money(bonus) to the extent that they bought things like colour tv, motorcycles, cars (Volks and 504) overnight. That is how we wasted the oil boom.
Other countries used such opportunities to build huge, serious infrastructure, which keeps sustaining their productive capacity to remain in the ''wealthy'' status today

Even currently, they are still sharing the excess crude oil money among the states and there is no accountability, no capital projects etc. Imagine if the money in the excess crude account is used to develop railway across the country, with railway terminus (stations) in each state

mikeapollo:
Still making the same mistake!
Who imports or buys cars? The majority of the masses living below the poverty line and earning N80,000 per annum or the minority in upper middle class?

GeneralDae:
There is no excess crude account currently. We are still selling oil below our budget benchmark.

mikeapollo:
I don't think that is correct. Our benchmark crude oil price for the 2026 budget is $64.85.
The price of crude oil has been around $80-$100 since February 28 when the Iran-US war started

mikeapollo:
I don't think that is correct. Our benchmark crude oil price for the 2026 budget is $64.85.
The price of crude oil has been around $80-$100 since February 28 when the Iran-US war started

pluto09:
What is the production target and how much are we presently producing

essentialone1:
Zenith Bank Plc has:

Return on Equity: 8.82%
Price to Earnings Ratio: 12.85x
Debt to Equity Ratio: 5.68x
Current Ratio: 1.15x
Net Profit Margin: 25.70%
Dividend Yield: 7.61%.

GeneralDae:
What of production?

ghm:
You guys are supposed to just highlight the issue with the analysis—with a good attitude—or share your corrected versions. He will take a look and update it.

I remember when I posted some calculations and omitted a key item that could have drastically affected my result. Some very senior and knowledgeable people here pointed it out. But the manner of humility and respect they did it with made me redo the calculations and repost.

@Essentialone1, please don't be discouraged. I enjoy the post and look forward to more.

unite4real:
How can Zenith PE ratio be 12.85X.

I think you should stop using the source of the information you are dropping here.

You will mislead people that depend on it

mikeapollo:
Even if we are producing less than the target, they will still share the excess crude money whenever we achieve more revenue than the budgeted because the law that established the sharing of the money has not be abolished.

GeneralDae:
Quote me anywhere: YOU CANNOT IMPLEMENT THESE REFORMS WITHOUT CAUSING HARDSHIP.

Any political candidate in 2023 who expected otherwise or told you otherwise, either deceived you or was ignorant as to what subsidy removal and a liberalised excchanged rate entails and why previous Governments could not implement them easily.

GeneralDae:
Excess crude is only applicable when production multiplied by price exceeds the budget benchmark like we had in the time of Obasanjo and Jonathan. You can do the calculation yourself and come back. Our production target is 1.85 million bpd and we have been around the 1.6 million bpd. Price was $64.5 and we average $104. You do the calculation and you get a slight shortfall.

mikeapollo:
I think our OPEC quota has been 1.5m barrels per day and we have been exceeding it for some time now. But not always.

GeneralDae:
Excess crude is only applicable when production multiplied by price exceeds the budget benchmark like we had in the time of Obasanjo and Jonathan. You can do the calculation yourself and come back. Our production target is 1.85 million bpd and we have been around the 1.6 million bpd. Price was $64.5 and we average $104. You do the calculation and you get a slight shortfall.

pluto09:
Average price is lower than $104

mikeapollo:
Please, do some checks even if you want to ALWAYS DEFEND the govt.
Based on your own figures:
Target/Budget: 1.85 * 64.5 = $119.33
Actual/Average: 1.6 * 104 = $166.4

Surely there is about $47 excess per barrel

Slammmmmmmm:
Sterling is down by almost 10%. Na wa o

mikeapollo:
Nigeria was/is wealthy, but we misused the wealth!
Gowon, as president of Nigeria, told the whole world that Nigeria had money, i.e. wealthy nation.
During the 1970s Udoji Awards, Nigeria made huge money from crude oil due to Arab-Israeli war. The shallow, myopic govt decided to share the excess money as bonus to workers. Workers who did not own bicycle, were given so much money(bonus) to the extent that they bought things like colour tv, motorcycles, cars (Volks and 504) overnight. That is how we wasted the oil boom.
Other countries used such opportunities to build huge, serious infrastructure, which keeps sustaining their productive capacity to remain in the ''wealthy'' status today

Even currently, they are still sharing the excess crude oil money among the states and there is no accountability, no capital projects etc. Imagine if the money in the excess crude account is used to develop railway across the country, with railway terminus (stations) in each state

SonofElElyonRet:
Hope it won't go back to starting block

unite4real:
How can Zenith PE ratio be 12.85X.

I think you should stop using the source of the information you are dropping here.

You will mislead people that depend on it

mikeapollo:
Sterling bank can plummet to below N50 if care is not taken!
I don't think it has the market(industry) presence nor financial performance to command a price like N50.
I am expecting it around N20 or less, unless they release a fantastic Q3 result to stem the tide

pluto09:
We have been meeting our OPEC quota but still falling short of budgeted target.

essentialone1:
Zenith Bank Plc has:

Return on Equity: 8.82%
Price to Earnings Ratio: 12.85x
Debt to Equity Ratio: 5.68x
Current Ratio: 1.15x
Net Profit Margin: 25.70%
Dividend Yield: 7.61%.

mikeapollo:
Please, do some checks even if you want to ALWAYS DEFEND the govt.
Based on your own figures:
Target/Budget: 1.85 * 64.5 = $119.33
Actual/Average: 1.6 * 104 = $166.4

Surely there is about $47 excess per barrel

lawani:
So Nigeria is wealthy because of a statement made by General Gowon?
Consider that some countries with one tenth of Nigeria's population have more than double Nigeria's oil production. What do you call those ones if you call Nigeria wealthy based on General Gowon's statement that was made because of oil and gas?.
A country can only become wealthy only if the government has a large revenue to GDP ratio to improve the HDI and the infrastructure. It is never because of what lies under the ground that was there millions of years ago when hunter gatherers lived on the land

Agbalowomeri:
Oga stop demonstrating poor knowledge
Nigeria does not even own up to half of the 1.6million barrel. So the oil company dey dig out crude for free for the FG Lol
Read up how the daily crude is shared