Yuan is very unstable. They can devalue at anytime. Na Wa for this administration

Truth234:
Hope they know China devalues its currency anytime is gaining against the dollar to boost exports

Nice question

All I will say.....









IT IS WELL!!!

ti awon chinko ekun... na joke I dey o.

Call him a dullard, call me zombie, call me anytin dat rocks ur boat but buhari is taking right steps in the right direction, the USA has become a torn in our flesh, a bitter pill forced down our throats, they want a master servant relationship with us, but we are fucccking tired... we need to find better solutions.

xtervaganza:
can I give you a hug?

Common go and read ur books

Ehitunez:
Who dem epp?

Omo dem help us oh!!

Welcome to new Nigeria

Nice one
This gov. Is good

Am happy about this move

Ehitunez:
Who dem epp?

Come on shut up!!!

Any alternative that excludes Ms. Christine Largade's IMF or world bank loan is better.

i hope this man is signing reading all these papers he is signing all aroundbthe world before he sells Nigeria finish ooo

For once no insults or name calling... awesome!!!

Back to the matter...

The world needs to break the strangle hold the dollar has on most currencies else the global economy will remain in shambles.
I still can't figure out why one country's currency will be the global standard for trading. Not gold that is neutral, not any other commodity or currency but the US dollar. It favours the US as they print to sell to the world. Perhaps the world should develop an internationally friendly currency to ensure fairness in trading and keep the global economy buoyant.

saintopus:
Convert all the reserve to Yuan and see the miracle of the naira gaining value

and ready for Saddam or ghadaffi treatment in Nigeria, lol

if dat will bring down d price of phone ...i CUNCUR

This is an absolute disaster, it is not good economics to depend on a country's currency to strengthen your domestic currency, the decisions made by Chinese lawmakers towards their monetary policies inadvertently affects every country in possession of Chinese currency. The Universal currency still remains USD and the Nigerian government should focus on how the value of the Naira can be aligned directly to the USD, using Naira to Yuan and Yuan to USD is a two dimensional process. The exchange values may seem proportionate but with huge transactions over a period of time it results to huge losses for the Nigerian economy.

Pprovost:
All I will say.....









IT IS WELL!!!

even in the WELL, my brother

Everyone seems too be carried Away..Trotzdem my concern is that will there be an official bank rate and black market rate for the yuan... IT doesn't matter if our reserve is in cedis but D koko is that we should have same or nearly the same pricing when ecchanging from d banks. Bureau de change or black markets...

Our govt should really put alot of sanctions against our banks cos they're Scam...even before this conflict they've been charging us far above bank rates..even when Euro was officially 210 naija banks charge over 225-240...


Everything for naija na dabaru

What good can the Dollar be if its cripple our economy, let's take the risk afterall Business is about Risk.
#NigeriaIsBlessed

735i:
The core issue we need to address is an overall balance of trade deficit ....
We need to export more...
China will use this opportunity to dump their goods in Nigeria...
Because China has comparative trade advantage in the production of almost all the goods which both countries will be exchanging...
At the end... we're still worse off

This is the only reasonable comment have read here.

What dis APC supporters shld understand is that how many nigerian students are in U.S.A and Great Britain statistically den China,

All he needs to do is to make the balance of payment favourable by exporting nt looking for China to dump their excess products here that are even useless in their country.

saintopus:
Convert all the reserve to Yuan and see the miracle of the naira gaining value

I laugh in kiribati


To shore up the naira will need a large inflow of new foreign funds

Dollar is a must as almost all world trade is dominated in dollars

FWJOBSNG:
As a way of finding solutions to the current currency slump in Nigeria, the Industrial and Commercial Bank of China Ltd (ICBC) and Nigeria’s Central Bank have signed a deal on Yuan transactions. Recently, many Nigerians have found it exceedingly difficult to pay for services like education and healthcare in other countries, due to the weak Naira, and this deal is an attempt to resuscitate the currency.

Reuters reports that the director general of the African affairs department of China’s foreign ministry, Lin Songtian, said the deal meant the Yuan will flow freely around Nigerian banks and will even be included in the country’s foreign exchange reserves. This deal is one of the outcomes of the meetings between Presidents Muhammadu Buhari of Nigeria and Xi Jinping of China, during the Nigeria-China Business/Investment Forum in Beijing, China.

Aside from the financial investments China has made in agriculture and infrastructure in Nigeria, the deal will provide a way for both countries to settle trade agreements in the Yuan. It appears that President Buhari is determined to transform Nigeria into an exporting country as opposed to a primarily consuming one, saying it is high time the country started exporting to China.

However, this is the not the first time Nigeria has made attempts to include the Yuan into its foreign exchange reserves.

In 2011, under the governor of the Central Bank of Nigeria at the time, Sanusi Lamido Sanusi, a small percentage of the country’s foreign reserves were in the Chinese Yuan. At the time, Nigeria’s $32 billion in reserves were 79 percent in dollars with the rest largely held in Euros and Swiss francs.

Bloomberg reports that Sanusi was cited saying the decision came because the Nigerian financial sector had a lot of confidence in the Chinese currency. “Confidence in China doesn’t mean lack of confidence in America. Europe and America will continue to be important parts of the world. Having said that, it will be almost living in a dream world to ignore China. It’s the second-largest economy in the world and it’s well managed,” Sanusi said.

In 2014, Central Bank’s deputy governor, Kingsley Moghalu, said the bank was looking to increase the percentage of Yuan foreign reserves in its possession from 2 percent to 7 percent. According to him, 85 percent of its foreign reserves were in dollars and it needed to have more in Chinese Yuan, as the country was taking a more important place in global trade. “It was clear to us that the future of international economics and trade will shift in large part to business with and by China. Ultimately the renminbi (Yuan) is likely to become a global convertible currency,” Moghalu said.

Now, the question is, will this integration of the Yuan help to shore up the Naira as intended by the president? The answer lies in the tentative decision that African countries are taking to dump the US Dollar as the prevailing currency in their foreign reserves. Since 2014, the world market has recognised the Yuan as a likely global reserve currency, a replacement for the dollar, which has led countries like Ghana, South Africa and Zimbabwe to integrate the renminbi (Yuan) into their financial markets. As a result of this, trade (however imbalanced) has increased between certain countries on the continent and China, as well as providing a fertile ground for demand for the currency on the continent.

http://www.financialwatchngr.com/2016/04/13/need-know-currency-swap-agreement-nigeria-china/

So our chinease magas fit send us moni now? Good.

Banks22:
What good can the Dollar be if its cripple our economy, let's take the risk afterall Business is about Risk.
#NigeriaIsBlessed

The issue is nt the Dollar bt your economy....we depend on imported goods too much.

Welldone presido,the stolen dollars will have to be dug out of the soakaways because it will loose some of its value.Haters continue...

Weldone old man!

xtervaganza:
can I give you a hug?

lol. no probs

sanandreas:
Yuan is very unstable. They can devalue at anytime. Na Wa for this administration

That man is the most clueless president have seen, instead of him to build industries that will export and compete with China, his encouraging it to dump goods here as if the ones it has dumped isn't enough.

Very Soon there will be a universal currency,THE RETURN OF JESUS CHRIST IS NEAR..unfortunately,it will be more difficult for those without the mark of the beast then

josh4ever:
For once no insults or name calling... awesome!!!

Back to the matter...

The world needs to break the strangle hold the dollar has on most currencies else the global economy will remain in shambles.
I still can't figure out why one country's currency will be the global standard for trading. Not gold that is neutral, not any other commodity or currency but the US dollar. It favours the US as they print to sell to the world. Perhaps the world should develop an internationally friendly currency to ensure fairness in trading and keep the global economy buoyant.

MathsChic:
This move by the Buhari administration is almost a strategic one. You'd recall that the Naira/USD exchange rate took a dive during those troubled periods once Nigerian importers who had made deposits with Chinese firms began to source for dollars to meet their varying commitments. That exchange rate would have seen less pressure, were they sourcing for the Yuan instead, a currency Chinese firms will accept. The trade between Nigeria and China was once recorded at over $11b dollars with, of course, the imbalance being to Nigeria's disfavour. But that's not the point; Nigeria has never really been an exporting country.

Nevertheless, it's obvious there's a lot of trade going on between the two countries. Since you couldn't exchange Naira directly for Yuan, but had to first obtain the USD, the various additional costs incurred during the two-stage transaction ensured Nigerian firms spent more money doing business with Chinese firms. In addition, by not first exchanging to the USD Nigeria can start reducing its dependence on the dollar. And now, I don't have to tell you how much the greenback swings the Nigerian market.

Not to get it wrong though. This will not increase the money in Nigeria's pocket, neither will it completely eliminate dependence on the dollar since some countries will not accept the Yuan while trading with Nigeria. In fact, Nigeria will have to convert a sizeable amount of its earning to the Chinese legal tender causing the country to hold less dollar. However, if a significant amount of trade is happening with China, there is no reason the Nigeria shouldn't have a Yuan trading hub.

The Naira will be the latest in a string of currencies which currently trade with the Yuan. There is already direct trade with the dollar, euro, yen, pound, the Australian Aussie, the New Zealand dollar, Russia's rouble, Swiss francs, the Singaporean dollar and the Malaysian ringgit. By joining the list of these countries, Nigeria is expressing its desire to take China seriously as a global economy and directly take on the benefits that come with that.

Thought u said u hate been smart

Just the same way your life can not have value

69MissedCalls:
i can bet 1 million Yuan. naira can never have value again.

You did spoil market for buhari people by saying that a similar thing happened under jonathan. They would have made this a big acheivement of buhari once again forgeting that buhari didnt even capaign to make yuan our foreign currency but rather to make1 dollar equal 1 naira.