₦airaland Forum

News making rounds in the media has it that the minister of Information and communication, Alhaji Lai Muhammed said in an interview aired on FRCN radio link that the present economic situation is beyond President Muhammadu Buhari.



Thisdaylive in a story entitled: “Economy Gone Out of Buhari’s Control, Says Lai Mohammed” published on Saturday 12th of March, 2016 claimed that the minister made the emphatic statement insinuating the government is helpless in the present state of the economy.

A closer look at the interview excerpt reveals that the minister was quoted out of context, responding to the question: “The free fall of the Naira in the last three weeks has been very discomforting and a lot of people are asking a lot of questions and some people even say wow, it has never been so bad. Has government been able to discover (the source of) this untoward development”, the minister responded in the exact words below:

Lai Mohammed: I think it is clear why the naira is today in a free fall. You see, what are the factors that determines the exchange of the naira? It is your export and import; your trade balance and the general economy. Unfortunately we have not been fortunate in any of these, which is about 70 percent of all our total earnings. Before now, oil was selling for about N100 per barrel; today it is about N30 per barrel. And if you look at the cost of production, it has remained about the same.



We have lost about 70 percent of all our income and not only was oil responsible for all our income, it was also responsible for about 90 percent of all our foreign exchange, which makes between 90 -80 percent of our source of foreign exchange.

And naturally there will be more pressure on the Naira and less dollars and more naira chasing the dollars and now look at the balance of trade – it is negative. What do we do with trading and how much did we buy from Britain, for instance, and how they buy from us,. Unfortunately, it is negative. We take more from them than they take from us. If a country suddenly loses about 80 percent for its source of forex, clearly that currency will be in trouble.

The only way out is what the government is doing, which is strengthening the economy, diversifying it, plugging all the loopholes and making sure that only the essential things are imported. It will be extremely difficult, no doubt, but we are also in a state of emergency economically. You see, take for instance, your earnings reduced from N100 to N30 per month, something will have to give way…like relocating to a smaller house and I mean this is a reality.

The fact that the government is even still managing this situation, I give credit to the government, because the situation is completely beyond their control, and this is where people have been mischievous…

Today we live in a global community, Nigeria cannot determine the price of oil or gas. And that is why the presiident has gone spending countless nights lobbying, rallying other oil-exporting countries on how do we stabilize the oil price….

The Minister was specifically asked about the exchange rate situation. He tried to explain the factors that influence the rate making reference to oil price. He simply said the SITUATION (exchange rate) was beyond the president since he does not control oil price. He never said the ECONOMY was beyond the President’s control as misrepresented by the media.

The minister clearly responded to a question bordering on foreign exchange, using the oil price as a point in his explanation as to why the naira is in a free fall, since the federal government cannot directly influence the price of crude oil, it is obviously out of their jurisdiction to stabilize the naira considering the fact that about 80% of our foreign exchange is from crude oil. This obviously is not referring to the nation’s economy, rather on the challenge of the naira free fall which logically is beyond the FG control at the moment.

Having a professional journalist in a national newspaper as THISDAYLIVE lacking in English comprehension is a matter of unethical and professional delinquency. It could also be as a result of the influence of a sensational storyline tied to a matter of national interest that involves a personality of a minister of the federal republic.

The minister through his personal assistant has since clarified his statement, but then the overzealous reporter further exposed his ignorance by again claiming the story should be taken serious. This is absolutely a matter of comprehension and reporters should pay attention to context before arriving at a conclusion.

http://www.financialwatchngr.com/2016/03/14/lai-muhammeds-interview-misrepresentation-facts-thisdaylive/

Of course we all knew the Paper was lying.

Who reads ThisDay anyway? Since the owner of the Paper was ordered to pay back his share of the Dasuki sweet sharing,he has been harboring grudges against this Government.

Has he even paid back his share?

A very irrelevant Newspaper.

I knew it. Lier mohamed will always exonerate himself. Oloshi

which misinterpretation? Lie Mohammed is a liar. That's what we know for a fact. Can't fall for this APC scam anymore. mtchewwwwwww
Lie.Mohammed@yahoo. com

ebiboy2:
which misinterpretation?
Lie Mohammed is a liar. That's what we know for a fact.
Can't fall for this APC scam anymore.
mtchewwwwwww

Lie.Mohammed@yahoo. com

Did you bother to read the news piece above?
Just asking....

if Jesus Christ comes down to explain more better than this explanation those who will agree will agree and those who will not agree will not agree and if u ask me who are those who will not agree?, they are those who want the president not to succeed even they would tag Jesus Christ as a liar because he supports the president

Sorry, and stop battling to cover the truth.

We should rather, actually thank Alhaji Lai Mohammed for being able to tell the truth for once.
A character trait he lacks, has just been displayed, I wonder where he got it from.

"Lai Mohammed: I think it is clear why the naira is today in a free fall. You see, what are the factors that determines the exchange of the naira? It is your export and import; your trade balance and the general economy. Unfortunately we have not been fortunate in any of these, which is about 70 percent of all our total earnings. Before now, oil was selling for about N100 per barrel; today it is about N30 per barrel. And if you look at the cost of production, it has remained about the same."



Sir please and please when you and your people were busy telling us you will do this and that for Nigerians the price was down that year 2015 only if you want tell us that the price went down from 100 to 30 when your boss came into power that will be a big lie. Stop using the price of crude oil to justify the inability of your government to do the needful.

Stop again please don't use the price of crude oil, what we expect from you and your boss should tell Nigerian is you are trying to tap into other sectors to raise funds not this your usual mix tape , Oga Ade this music don turn noise.

Lair with lies.Na him hubby shal,eeeee sorry I mean his destiny. The only truth he has said since he was born has turned out to be lies again this time.Lair maka why?

Oga Lai Mohammed Kwantinue. Opposition isn't the same thing as being in "POWER".


DANEMENIKE was here...... currently in my PPA

Folafikemi:
I knew it. Lier mohamed will always exonerate himself. Oloshi

This is one of those comments that makes mi believe,there are some robots on this platform.

bodejohn:
Did you bother to read the news piece above? Just asking....

nope I didn't. why should I? are you not a nigerian?

When the mind is made up all help become helpless.
The oppositions especially the PDP stalwarts and their oppressed supporters are still suffering from post electoral shock which has drain their objectives and common sense, they are really suffering and embittered so they can accept black for white as long as it is against the ruling party.
No need for explanation or any form of help as they do not desire or deserve help.

the zombies hardly comment nowadays. What's going on?