arsetalks:
Well, dollar is now 172 to naira. Not devalued?

Nope that's what we call market forces. You have to remember that these past 2 months has seen a drastic fall in oil prices. We have never had such a drastic fall since the 2008 crisis. This drastic fall is having an effect on the stock market and the naira.

When oil stabilizes then the stock market and the naira should do so as well

Plus when I talk about devaluation I am talking about 200 naira to 1 dollar. That is what some economic analysts are trying to tell the govt to do.

davitogreat:


Nope that's what we call market forces. You have to remember that these past 2 months has seen a drastic fall in oil prices. We have never had such a drastic fall since the 2008 crisis. This drastic fall is having an effect on the stock market and the naira.

When oil stabilizes then the stock market and the naira should do so as well

Plus when I talk about devaluation I am talking about 200 naira to 1 dollar. That is what some economic analysts are trying to tell the govt to do.

Market forces? If it was market forces, the value of the naira will be 200 naira to a dollar. The naira has been stable because the government has been using the foreign reserve to stabilize the currency but now that there is practically nothing left in the reserve, they have given up.

Austerity step? And goverment cost is not been cut? NOI's wages is not been reduced? GEJ is still feeding with 1 billion naira per year? Kid me not mate.

arsetalks:
Market forces? If it was market forces, the value of the naira will be 200 naira to a dollar. The naira has been stable because the government has been using the foreign reserve to stabilize the currency but now that there is practically nothing left in the reserve, they have given up.

Austerity step? And goverment cost is not been cut? NOI's wages is not been reduced? GEJ is still feeding with 1 billion naira per year? Kid me not mate.

Nope we have about 38 billion dollars of reserves left. And yes the fall was attributed to market forces but ofcourse the CBN and the oil companies selling dollars to the market is what was slowing down the slide.

Your talk about govt cost not being cut and GEJ feeding costs are a different topic all together. Plus If the govt begins to cut capital expenditure and reduce the wages of civil servants without cutting down on their own expenditure then ofcourse we will have a problem.

MissMeiya:


Is Feb 2015 the end of the world? Seriously, you think you're making sense.

You have got to be kidding me.
Let me make it simple

February 2015 = election
Jonathan want reelection
Jonathan not up tax Nigerians before 2015 election
Jonathan defend naira before 2015 election
Jonathan not want make life harder for Nigerians before election
Why?
Because Jonathan want win 2015 election

They(the government) had eaten the meats and now wanting to pass us(the masses)the bones u see this is devilish act to compound the poverty of her citizens.

Why peeps de beef Okonjo nah?
Abi una no wan prepare for austerity ne?
Anyway, me I don de practice austerity since 1984 wen mama born me and I don't see anything changing at all.

For those of una wey de form Chairmen and wey like to de born money for night club like say na beans, na now una go hear nwi.
From Hennessy drinking, una go search for Alomo bitters and probably and the local paraga. .

For the pot bellied, fast food-eating Ideots wey no sabi say the egufe for Iya Basira dey more nutritious than the frozen chicken for Tantalizers and Mamacas, ntoo! . The fun is about to begin.

And for the chics wey believe say na night runs, or nothing, isokay.Una go see sumthing. Even coins now go dey hard to get and u must work double shift to make it.
Austerity here we come
Wetin be my own?

This would be a good time to cut down the numbers in FG and some ministries, by reducing uneccesary posts and streamlining the civil service, where possible.

baba11:
guy,na fait

Na vex!

It looks to me as though those measures are tagreted at the rich, so I really dont get why some are shouting blue murder.

Or is it because those complaining have a private jet?

davitogreat:


You have got to be kidding me.
Let me make it simple

February 2015 = election
Jonathan want reelection
Jonathan not up tax Nigerians before 2015 election
Jonathan defend naira before 2015 election
Jonathan not want make life harder for Nigerians before election
Why?
Because Jonathan want win 2015 election

Maybe you can't read. Let me say it again:

MissMeiya:

Is Feb 2015 the end of the world? Seriously, you think you're making sense.

Sorry! We're still sleeping, when we wake up and see that these people didn't get themselves right we would overthrow them.

MissMeiya:


Maybe you can't read. Let me say it again:

What Do you mean then by asking if feb 2015 is the end of the world?

This is how non oil producing countries survives,by taxing even plasma television because it's a luxurious goods

davitogreat:


What Do you mean then by asking if feb 2015 is the end of the world?

Sit down and ask yourself why. I know you can figure it out if you try.

Hello all.

This was coming. If you followed this discussion: Implications of oil price on Nigeria,www.nairaland.com/1998269/what-economy-implication-oil-price#28075890

You'd have expected an austerity measure.

Government's role in every society is to stimulate and create enabling environment for private participation while playing the other role of fair umpire. This include infrastructural development, solid healthcare system, affordable basic amenities, affordable basic needs of life (food and housing).

To achieve these, there must be funds to execute capital projects. Nigeria's budget is 73% recurrent (going into pockets) and 27% capital. The country's revenue come mainly from sale of crude oil (2million bpd on average) and also tax receipts. Now if the revenues from oil drops, then a quick fix would be to aggressively increase tax receipts. This is however not sustainable.

Nigerian Government spends billions of dollars on:
1) Food importation
2) Oil importation
3) Health care of top public officials

Nigerians (Private) also spend billions of dollars on:

1) Travelling abroad for studies
2) Vehicle importation
3) Wines
4) Technology (computers, etc)
5) Vacation abroad
6) Generator importation (as a result of epileptic power system)

To mention a few.

These transactions all have implications on Nigerian economy.

With efficient/ effective farming system, Nigeria should export food and not import. (Food imports have reduced though with the current Minister of Agriculture, but could be better)

With functional refineries and open market pricing, there would be no need for subsidy or oil importation.

With functional healthcare system, Government officials get treated in Nigeria.

For the people of Nigeria, there is need for active participation in society in public policies. As long as you find short cuts to problems (sending your kids to abroad for studies, buying foreign made goods, travelling here and there when there are beautiful tourist centres in Nigeria, importing generators that pollute your air and reduces life span, then the problems will not go away).

Every functioning economy has a balanced society, where citizens actively and peacefully participate in making their countries work. Governments are prone to do whatever they like and until citizens pause to ask questions and stop looking for short cuts, both the public officials and millions of citizens will partake in any austerity measure they are faced with.

Regards.

citizenisb:

She said that users of luxurious items, such as private jets, yachts, alcoholic beverages and expensive cars, would be required to pay special taxes for such goods.[/b]

Okonjo Iweala is a disgrace.
No major attempt to cut down corruption...you want to tax people who are already being taxed on their income, just because they want to enjoy some of the good things of life.

These people will never be happy until the average Nigerian is driving a Kia Picanto while they cruise around in Prado jeeps.

MissMeiya:


Sit down and ask yourself why. I know you can figure it out if you try.

You have got to be kidding me... This is the problem with nairaland. There can never be discourse because no one is willing to present their points and be open for debate. If they can't dispute your points the next thing they do is berate you or insult you.


look, The comment you made does not make sense. We have been talking about austerity measures, I raised a point that the govt will not punish the masses before feb 2015 due to thier desire to get re-elected. You then asked if 2015 was the end of the world.

Again what do you mean by that? Are u questioning the Importance of feb 2015?
If so then I have already told u why 2015 is important.

experimentist:
Na vex!

softly softly oooo....

Angelstartups:
Hello all.

This was coming. If you followed this discussion: Implications of oil price on Nigeria,www.nairaland.com/1998269/what-economy-implication-oil-price#28075890

You'd have expected an austerity measure.

Government's role in every society is to stimulate and create enabling environment for private participation while playing the other role of fair umpire. This include infrastructural development, solid healthcare system, affordable basic amenities, affordable basic needs of life (food and housing).

To achieve these, there must be funds to execute capital projects. Nigeria's budget is 73% recurrent (going into pockets) and 27% capital. The country's revenue come mainly from sale of crude oil (2million bpd on average) and also tax receipts. Now if the revenues from oil drops, then a quick fix would be to aggressively increase tax receipts. This is however not sustainable.

Nigerian Government spends billions of dollars on:
1) Food importation
2) Oil importation
3) Health care of top public officials

Nigerians (Private) also spend billions of dollars on:

1) Travelling abroad for studies
2) Vehicle importation
3) Wines
4) Technology (computers, etc)
5) Vacation abroad
6) Generator importation (as a result of epileptic power system)

To mention a few.

These transactions all have implications on Nigerian economy.

With efficient/ effective farming system, Nigeria should export food and not import. (Food imports have reduced though with the current Minister of Agriculture, but could be better)

With functional refineries and open market pricing, there would be no need for subsidy or oil importation.

With functional healthcare system, Government officials get treated in Nigeria.

For the people of Nigeria, there is need for active participation in society in public policies. As long as you find short cuts to problems (sending your kids to abroad for studies, buying foreign made goods, travelling here and there when there are beautiful tourist centres in Nigeria, importing generators that pollute your air and reduces life span, then the problems will not go away).

Every functioning economy has a balanced society, where citizens actively and peacefully participate in making their countries work. Governments are prone to do whatever they like and until citizens pause to ask questions and stop looking for short cuts, both the public officials and millions of citizens will partake in any austerity measure they are faced with.

Regards.

I'd like to recruit you as a writer for a project. Would you mind dropping your contact here?

http://goo(dot)gl/forms/uMKqPEybSc

Hope to hear from you.

Edit: change (dot) to an actual .

Talks like this makes more wonder how useless our government is. In the days of the windfalls why did they not save? How much did they plan the budget with? How low has the price of oil dropped that they are already creating panic for the citizens?

baba11:
softly softly oooo....

I don hear baba

davitogreat:


You have got to be kidding me... This is the problem with nairaland. There can never be discourse because no one is willing to present their points and be open for debate. If they can't dispute your points the next thing they do is berate you or insult you.


look, The comment you made does not make sense. We have been talking about austerity measures, I raised a point that the govt will not punish the masses before feb 2015 due to thier desire to get re-elected. You then asked if 2015 was the end of the world.

Again what do you mean by that? Are u questioning the Importance of feb 2015?
If so then I have already told u why 2015 is important.

Why should I waste my time? I don't like to waste words. How can you possibly not understand what I mean by "is Feb 2015 the end of the world"?

First, answer the question. I'll help you. The answer is no.

Second, think about the implications of the answer. If Feb 2015 is not the end of the world, that means that people will continue to live after the elections.

If people will continue to live after Feb 2015, then what happens after Feb 2015 is of consequence to those people.

If what happens after Feb 2015 is of consequence, then we must think about what will happen after Feb 2015.

Are you following so far? Do you understand that Feb 2015 is not the end of the world?

experimentist:
I don hear baba

abi u want me make I call Oga jona now...

menabadoo:
Instead of focusing on exploiting the non-oil endowment of the nation they feel the best to revitalise the federal pocket is by enforcing excessive tax.

Excuse me,
It is a horror that luxury goods were not taxed before
Total horror

Private jets, churches, all other toys of the rich
Actually, churches and mosques should be heavily taxed....to better the lives of the poor addicts who invest whole heartedly in them
A Nigerian would contribute money religiously to the coffers of his worship place,
But will do every and any thing to evade tax
We have a loooong way to go

We need a total overhaul of our political agenda
I do not see how this will happen
Lawd

For how long would we continue to suffer? For how long will we be slAves in our fAtherlAnd?

Give us jobs.....No wAy.

Give us electricity...nA who dash monkey bAnAnA.

Give us good educAtion...slAtes and empty library.

Give us good heAlth system...Till thy kingdom come.

Let's all wake up As citizens and do something this circle hAs no end if we fold our arms our children will Also be tormented by children of this sAme politicians.

Is Nigeria economy still the biggest in Africa?.

If this is what it brings, we better remain underoooo

I laugh at the taxation sector of this country.

Big men feast on government laxity to do its job.

A man will purchase 2 Rolls Royce phantom cars, a Bentley, a Range Rover and Escalade and he pays no tax to govt for living luxuriously..

In addition to occupying a 12 bedroom mansion with twin swimming pools.

Anyways with man know man and so much respect for the rich, Nigeria is a very corruption laden country..

It's only going to get worse, the prices are falling very sharply. FG needs to finalise any international trade before conditions get worse.
Thank God our agricultural sector is on the upwards movermnt.
Austerity is about to bite hard get ready people

Everyone discovering oil now: Kenya, Ghana etc. America has since stopped buying from us. And so no one will be buying from 9ja that much.

You have so many mineral but never for once thought to take comparative advantage, no they won't.

Put refineries to work so we don't spend all our hard earned dollars in importing petrol. It a lie they won't.

Reduce recurrent expenditure, your salaries are too high . A school cert holder in national assembly gets as much as N30 million every quarterly while a masters degree holder roaming the street in search of a job, a lie they won't.

Try and stop corruption so we can save, it a lie they won't.

They kept stealing both day and night. Over a 100 million of the population can't afford 3 square meals.

Buy arms to fight Boko Haram, no they won't. Over how many billion dollars budgeted for defence in the last 7 years. Monies eating.

Before they will starts imppossing taxes on the nigerian masses. They should focus on the religion body's like the churches and mosques wear billions of naira are been deprived from the innocent followers on a daily bases.

/
First thing first, they need to disband HOR or Senate. The activities of both chambers are redundant not to mention the colossal drain on
resources.

Then cut back on the bloated salaries and bonuses of the members.

Get rid of the duplicate ministries and parastatals.

Get rid of the assistants to the special assistants to the assistants to "God knows who".

Then when all is said and done...focus on austerity measures.

/