₦airaland Forum

hmuhammad:
[s][/s]IPOB tout, no explanation will pass through your thick skull. Remember you hate PMB with passion, but he's going to govern you till 2023.

nelronaldo:
After seeing your comments, I had to view your profile. I have one question to ask; why old man like you they fool himself? Bet why?

Rinato:
A DICK like you is looking for an easy way to put a smile on your tribalistic face. Well lemme guess. A yoruba !. Hm. I have seen how hateful u ve all been to the igbos. That's really none ov my concern. But if you extend your miserable e-pain to me I ll give u the benefit of the quote u cretin .

BiafraBushBoy:
I dnt wana bash you this morning, but take your time to go tru my posts and mentions, you will now learn how to take your Opinions and shove it up your smallest body hole...

hmuhammad:
[s][/s]see painment, I still believe you've not recovered from March 28 election. Hypertension is real,n it kills

Rinato:
No I haven't, and maybe I ll recover when fuel price returns to what it was in jonathan's administration. Electricity returns to how it was during jonathan's administration and the cost of buying things returns to what it was during jonathan's administration and subsequently a break in devaluation of my blessed naira !

sparrowkid:
According to the petroleum minister for state, he said they have tried to give the marketers priority to access forex from the CBN, but the marketers were selling it through the parallel markets. According to him, to them selling their dollars in the parallel market makes more sense than having to import petroleum products. That is why they stopped giving them such privilege. On the later part of your summation, you're entitled to your own opinion.

hmuhammad:
ok stop crying biko, things will get better. Just be optimistic

LadyExcellency:
How come the exchange rate when it has been revealed that we swapped crude for refined product while the refinery buys constituents we don't need out of it?

Do you perchance mean that Naira has been technically devalued hence holding/issuing N199/$ for/to any business concern is the greatest form of corruption which gives advantage to one business or class of people over others?

Jumbledwords:
The ear?

Rinato:
Get a life ! Checked your profile u are too old for this.

kjhova:
You have raised a valid question, my dear @Blizzy9ja. I will attempt to explain the situation to you.

The crude oil price is not the only indices that affect petrol price in Nigeria and these two prices are not exactly mutually dependent on each other. The peculiar challenge in our case is that while crude prices have fallen, our domestic currency crash from N128/US$ (which was readily available) to N199.5/US$ (which is almost unavailable)! So whatever gain you may expect from the fall in price of crude has been wiped out by the crash in value of our currency. It is even worse as the dollar scarcity means that the realistic place to source FX is in the black market at N325/US$ as at today!!

The old PPPRA template you referred to was computed on the basis of the official rate of N199.5/US$ which the government seem to have now accepted as unrealistic. The new PPPRA template puts landing cost at about N109.50 and computes the pump price to within the N135 to N145 belt.

All said and done, the implication, in my opinion, is that the official Naira rate to dollar is about to be devalued and possibly so before month end.

BiafraBushBoy:
I voted out GEJ Cus of this fuel issue...

Buhari must go too....

sparrowkid:
Well according to him, he said they are selling at that price to make NNPC competitive. I think there is no point bringing in investors and at the same time spoiling the market for the would-be investors.

He equally said that the money they make from the differentials would be used to improve the capacity of the refinery and at the same time would be paid back to the federation account for all the states to share. I think you should watch him on this video:

http://www.channelstv.com/2016/05/12/petrol-price-increase-should-not-be-basis-for-palliatives-kachikwu/

sparrowkid:
I think the right word to use is naira has already depreciated.

Currency depreciation is caused by outside market forces where investors lose confidence in the fundamentals of the country (economy, interest rates, political instability, increased risk due to regulations, chronic account deficit, high rates of inflation, etc).

Currency devaluation is a monetary policy tool (used internally by the country itself): a deliberate downward adjustment to the value of the currency relative to another currency or group of currencies.

hmuhammad:
[s][/s]go and die

whitebeard:
the only thing Nigerian's can do to the government is seat down and complain...pls quote me if I am wrong.."THE GOVERNMENT SHOULD BE AFRAID OF THE PEOPLE, THE PEOPLE SHOULDN'T BE AFRAID OF THE GOVERNMENT " tell me if we use this ideology what do u think will happen in NIGERIA or any country.

Blizzy9ja:
In 2012 when GEJ removed fuel subsidy and increased petrol price to N141 per litre, crude oil was selling at $111 per barrel. How then can petrol price be increased to N145 per litre when crude oil is now selling at $40 per barrel? “It is on record that on May 2 this year, the federal government, through the (PPPRA) template released in Abuja, told Nigerians that it was subsidising petrol at N12.62 per litre. “If as at May 2, petrol was being subsidised at N12.62 per litre, now that the subsidy of N12.62 has been removed, what ought to have been added to the N86.50 pump price should be N12.62, which would have increased pump price to N99.12 per litre. “Increasing petrol pump price by N58.50 when the federal government claimed it was subsidising the product at N12.62 per litre is clear political 419, which is aimed at further impoverishing Nigerians as the government will be making profit of N45.88 on each litre of petrol bought by Nigerians.

sparrowkid:
The little explanation for that is simple. Previously, they were giving the marketers FX through CBN at the official rate of N197. But now they have asked the marketers to source for their own forex at the rate of N285 according to the Minister of state for Petroleum Resources yesterday on Channels TV. The PPPRA used the unofficial rate in the calculation.

Rinato:
yea. After you.

Callmemike:
V FOR VENDETTA!! THAT IS WHAT HAPPENS

FredN:
... and Nigerians are the Lab Rats

Since I got the hang of this government, I have ceased to bother myself. APC means well for the economy, but they are not knowledgeable about it hence the "try your luck approach" they are using for everything ranging from [b][/b]forex to budget to revenue diversification to fuel price to electricity tarrifs to stamp duties to fines and monetary policy fails

Nigerians should give them time... they will soon get the hang of it and perform

Where I dont trust this government is in security, rule of law, politics and ethnic inclusiveness