Nigsrdumb:




If price is the sole determinant of consumer choice and given that Nigeria is a poor country, most should be buying nasco instead of kellogs, but i don't see that happening, your average middle class will still go for kellogs whilst the poorest of the poor will settle for pap.
In addition, why is the focus not on how to improve local production capacity inorder reduce prices further rather than devaluing?
What really drives an economy is innovation, there's a reason why the production capacity is low.

How do we increase local production capacity when we lack infrastructure,raw materials and capital?
Abi if I say make you bring $1B make we do business,you go bring am?
We know what we lack but rather than complain,we can take proactive measures to mitigate our losses.
What kind of country allow imports to be in the same price range as local produce?
Nigeria is crazy I swear.

Infinity 850 naira for 375grams.
Kellogs 1100naira for 500grams.
Now tell me,which do you think will sell more?
Kellogs of course.
What if kellogs was 1700?

If you want foreign,be ready to pay the price for it.

Nigsrdumb:




If price is the sole determinant of consumer choice and given that Nigeria is a poor country, most should be buying nasco instead of kellogs, but i don't see that happening, your average middle class will still go for kellogs whilst the poorest of the poor will settle for pap.
In addition, why is the focus not on how to improve local production capacity inorder reduce prices further rather than devaluing?
What really drives an economy is innovation, there's a reason why the production capacity is low.

People are not buying nasco because it costs thesame as kellogs na.
See below...
500g of kellogs at 1100
I'm on my way to the mart,I will show you Nasco prices

Nigsrdumb:


When imported products successfully compete with local produce, the problem is usually related to production capacity . You can't fix that by devaluing the currency.
Consumers will always rationalise purchases using a combination of factors such as quality and price.

We don't have their kind of capacity and infrastructure to compete with them face off,that's why we are devaluing so we can sell our produce to our own people,not necessarily export and compete with the west in international markets.
Abi do you have $10B to use to open world class factory like Dangote?
Nigeria is a poor country where almost everyone is poor,so if we make imports expensive,that's the end of it.
Quality don't matter out here.
Jameson whiskey is overtaking the Nigeria market now because of cheap price.
Are you telling me Jameson has more quality than black label,Chivas regal,etc..?
Why are consumers switching to jameson then?
More Quality I guess

We don't need Nigeria to even export but just sell/solve its basic needs.
If the masses is buying Nigeria made and are shunning imports due to price differences,the demand for dollar will quickly decline.
That is,you will put your dollar at N500 and no one will buy it,no be person go tell you to drop its pricing.
When you say devaluation will help smugglers,please describe the type and direction of the smugglers.
If devaluation will help Nigerian smugglers to smuggle Nigeria produce out of Nigeria to the rest of the world then so be it
Also Lebanon's currency depreciated out of control and didn't decline in value because of devaluation.
There's a big difference I keep saying.

NL1960:


The $416B is coming from diaspora remittances.

NL1960:


Innoson is expanding at a fast pace in order to meet demands and yet they say Nigeria is not producing anything.

My brother I tire.
Maybe Innoson is doing beautification project in Anambra.
Nigeria don't produce anything but has a GDP of $466B and the so called oil brings just $50B or there about.
So the real question is where is the $416B coming from since Nigeria is so unproductive asides oil

emmaodet:


I keep hearing "what are we producing as nigerians" this statement is very insulting and it shows a lot of people are not really aware about their environment.
If you want to know more about producers we have in nigeria then join Business associations, Simple to meet them.
MAN - Manufacturer association of Nigeria
Abscon
Nasme
Nassi - Nigeria association of small scale industrialist (am in this group, Abeokuta chapter)
Naccima/Chamber of commerce
Amen - Association of micro entrepreneurs of nigeria
Smedan
Etc
You will marvel and be surprise by the sheer numbers of business men and entrepreneurs we have in nigeria.
Afan - All farmers association of Nigeria (am in this one too)
Register with Nepc - Nigeria Export promotion commission with just 12k and be an exporter even with small things like natural african honey and snails and earn dollars.
A lot of youths just want to sit at home and the govt should spoonfeed them with money and jobs.
To get a loan or government approved loans are very easy.
Join any of the above association because they work directly with government and cbn and all loans come through them like Nirsal loan, anchor borrowers scheme (this is still on going in our Nassi whatsapp group). etc
As at this January, i was at ogun state/federal meeting where they were begging us to take loans released by government through BOI, BOA, banks like sterling, zenith etc with there representatives there for Smes.
Getting capital or loan is not a problem if you have a good business plan etc
I applied for 10m this January but later pulled out but my colleagues got theirs after a 1-week compulsory cbn entrepreneurship seminar/class to brush us up.
I dropped out because i can raise that money from my salary so no need for it i learnt a lot from the class

When they don't know something,they still won't keep shut.
Nigeria doesn't produce nothing
I'm guessing a truck assembly plant came to Nigeria to play.
Who do they think is buying all those brand new china trucks? Oil and gas firms I guess.
Must Nigeria manufacture planes and machinery before it is classified as productive?
I asked one the other day to mention some of the things that Nigeria imports asides machinery and technology that isn't produced here and the guy was dumbfounded.
Nigeria does not start and end in your apartment.
Go out,get a real business and educate yourself on how devaluation will benefit your business but nah...
They rather settle for less and buy 7% fixed income and be chanting how unproductive their Nigeria is and how Nigeria is going to go like Venezuela if it devalues .
Well the good thing is CBN is beginning to play ball and we'll see how it goes henceforth than empty bickering.

XiaoLi:
Oga calm down, devaluation will not help us for now without adequate infrastructure and security, if you devalue to start manufacturing will you run your machines on diesel? Im sure you have been to countries that do alot of export,do you realize the companies work day and night and even most goods are taken to the seaport from 6-7pm till dawn, where is the security to protect this workers which might be going to work at night and and where is the security to protect the valuable goods which might be taken to the seaport at night? I can go on and on...

Devaluation is not an instant developmental process but if managed properly,its effects can be seen in 8-10 years.
Yes if you start an industry,they can run on diesel in the meantime while the government is saving all these funds it uses to maintain forex to fix power.
When we devalue appropriately,even our high cost of production won't matter as imports will still surpass it by a very wide margin.So why should anyone bother about diesel and maintenance costs?
You know a lot of people don't know how much money a working power sector in Nigeria is going to generate for the masses and government too.
Why waste all that funds to satisfy Nigerians now whereas we can invest it in phases to fix our biggest problem,if not for political reasons?
Also about the security thing,I don't think Nigeria has gotten that bad to the point where truckers can no longer move at night.Infact they even prefer night time sef to avoid unscrupulous police officers on the road,so?
And do you think Nigeria is building all these rails,ports and other logistic solutions for nothing?
I foresee an end to artificial naira in the nearest future.
Its evident already.

shekauvsbuhari:
. You don't have to insult one to make your point mr.man. Learn to observe decorum.
I ask you again, name that thing that Nigeria produces to the extent that she would have to devalue because of it. Local production capacity of any chalk or pencil we produce is so insignificant to devalue our currency because of it.

GDP $446B.
Oil revenue;$50B tops which is subject to fluctuations.
Use this statistic to tell yourself which sector of the economy is insignificant.
Also,ask yourself it is wise to keep subsidising the rest of the economy with oil revenue that is this small and subject to fluctuations.
Don't quote me again,I really hate people that are slow.
Thanks

shekauvsbuhari:
Devaluation will not help us because we manufacture next to nothing. So we have almost nothing to sell. The little we manufacture, almost all the raw materials are imported. Also the machineries and spares for them are all imported. If we devalue, forex will cost high and raw materials, machineries and spares will be very costly, thereby making the locally produced goods to be too costly again. Devaluation only favours states that have a lot of things to export. In Nigeria what is the significant export? Crude oil. Devaluation will be counter-productive in Nigeria because we dont have competitive edge.

Who told you Nigeria produces next to nothing?
I'm sure you pulled this statistic from your arse.
And it is not a rule of thumb that you devalue currency so you can export more.
You can also devalue to fight off imports so that local producce can satisfy local needs without overly cheap imports fighting it for market share.

topsquino:
Hi everyone

Given the cost of building a house for commercial purpose in suburbs, I've been thinking lately that the ROI is not worth it.

For instance, you spend about 10 million naira building a 2 two bedroom flat in ikorodu and the maximum you get after renting it is 600k (300k for each 2 bedroom flat).

I have not even factored the cost of the land and omo onile wahala. Over time, the building will even depreciate and you will be forced to repair it.

In any case, I would be appreciative if anyone can point out pages on this thread where real estate was critically discussed so that I can read the views of others on this topic.

It's for security reasons people build houses.
You can do business and the money liquidates whereas your property will most times be there for you even though the returns is small.
Our forefathers weren't wrong with real estate.
If you want more money,you can always take the dough up to 35m and buy a mini duplex at ajah and make good rents plus property appreciation value.
You can buy stocks and it tumbles like what happened yesterday.
You can invest in the government and still hear stories,hardly will a person go wrong with property.

AdaoraNK:


For real?

What about direct inflow? I mean withdrawing direct inflow.

No cash to give anybody now at that price o madam.
It's better you meet your aboki for any inflow.
They transfer to their foreign account and they pay you your naira,that is if you want naira anyways...
Dorm account now story full am.

Princeofilorin:

played all of this.had an N64 those days

ha bros did you also play rayman 2;the great escape on N64?
One of my favourites.
There is also one game I'm trying to remember on super Nintendo.
Its adventure and the character was putting on light blue and a red bandana or so.
Very popular on supernintendo back then in the 90s

naijaoyibo:
Oil dropped 7%. Euro lost value against the dollar after about 5 days of consistent gains. SP 500 dropped 6%. Most currencies of emerging economies also lost value to the greenback. All happened today. Investors fear that the worst is not yet over due to Covid-19.
Meanwhile, In other news, Happy democracy day friends.

Oil fell bad.
The worst of covid isn't really over like you say bro.

No one ever talks of nintendo 64,I wonder why.
Games like Mace;the dark age.
Mario
Soccer.
Mortal kombat,etc...
Life was good then

All these kind arguments sef weh no get head and tail.
Mercs are expensive to buy,expensive to run and even expensive to abandon,we all know.
But if you can afford it please go for it,the lexus will never compare to your E350 in anyway asides speed with no guarantee.
Arewa boys Celebrated Salah the other day and we no see any fucķed up japanese crap in their line up,and some say merc owners are brainwashed.
Is it possible to brainwash a rich person?abi you think merc buyers are your regular hungry church goers who can't tell quality differences?
I also own a japmobile and a very new one at that for now not because it is wonderful but for the fact that I can't afford proper luxury for now.
Trust me when the time comes,I won't even sell what i own to switch to mercedes but will take it to a scrap yard and watch a hydraulic press squash it to death!
No one deserves such mediocrity and a reminder for under achieving!
I'll either buy a w205,w204 facelift,w212 facelift(not upgraded pls) or a power bike.
These are cars that make you feel happy and fulfilled,not some cheap looking,cheap feeling pice of shit called gs350.Go and look now he wasn't even talking of a newer GS but the 2007 ugly thing.tufiakwa.
Use your 3 million wisely or better still reinvest it in something good than to use it in a car and end up buying rubbish and unfulfilment and join the Nigeria league of crap praisers.
Tueh!!

Tobex4realTobex234:
Desperate times require desperate attention.

Theoretically, the quantitative easing that Trump is doing currently isn't a long term monetary policy. But here we have it, the Feds have been printing dollars non-stop creating a false sense of value for junk stocks. While there are claims that Trump's desperation can be linked to the nearness of the upcoming election, the U.S economy has fully recovered (on paper), but yet to recover in reality.

My point is "devaluation", "depreciation" and all these talks can create an artificial sense of economic safety, but it won't alter the fundamentals: a country that relies on imports, have a large unproductive populace and recycles visionless leaders, is doomed to fail.

Why do you say Nigeria is unproductive or has an unproductive populace?
What makes you think we aren't producing?
Must we produce Jets,automobiles,machinery and complex medicine before we can be termed productive?

Ghost01:
There's no logic behind Nigerian banks not paying customers their USD. None whatsoever. Unless you have a situation where someone with say $10000 in his/her account visits a branch to make a withdrawal of an amount that the branch does not have, physically, at that moment. This is addressed by directing the account holder to a different branch or to check back on a specified day, but no bank would not pay customers their USD.

So why are lots of brothers here having issues with getting their dollars?
The logic is;
The bank will claim that they don't have dollars since CBN isn't selling to them no more whereas they take all they have and sell to aboki and make more money.
Dorm acc. is not a safety deposit box when you can just go and receive dollars anytime you like because you give bank dollars.
There is a cycle and when a part of the cycle breaks,people take advantage to make more money.
If you go to bank now,year in year out they will tell you they don't have dollars and is waiting on CBN.
Will you beat them?
I'm not saying there is a law that is making them not to do it,but are exploiting the loopholes of a broken system.

ojesymsym:
And in response, more than one person said they withdrew today, you then change this blanket statement and said maybe it was *change. So my question is how much is (*not change)?
So please clarify,
a) is it that the banks as at today are not giving USD again,
b) or are giving only to those who request for *change in USD?
If your answer is a, then earlier today, USD was withdraw in cash from the bank.
If your answer is b, what is the maximum banks are now giving?
Those are my simple queries sir.

To see bank weh go give you $5k now cash from your dom acc in Nigeria might be close to impossible.

ojesymsym:
All this grammar is unneccessary, just put a value to it. $2,000, 5,000, $10,000 etc.
Secondly, some asked what bank you were talking about also. Some banks are more Forex friendly than others.

I said all Nigeria banks will most likely not pay you your dollars now from dorm account.
They'll offer naira or ask you to wait and claim CBN is not selling dollars.
They rather sell the money to aboki themselves than pay you dollar unless it's a very negligible sum.
I did not select,I say all Nigeria commercial banks.
I simply say save whatever you are trying to prove to me and use the same skillset you used to withdraw dollars today that even manufacturers aren't getting from their Nigeria banks stash and help these humble people out and you are telling me to put numbers to what's change to me?
Change could be $100k to me as well as $10.
Better left imagined than said.

ojesymsym:
How much is (*Not change) as per your definition.

Well,why don't you help out these fine gentlemen who seek nothing more than withdrawal of the dollars they deposited in these banks themselves with the same skillset you used to withdraw yours OTC today at 12;49pm.
Atleast the energy we'll expend on arguing over current reality would be used to help these men get their dollars and you in turn have served a genuine purpose
After all,it's the purpose of the thread,helping others with financial solutions.

I thought they said GTB was sharing dollars
Clowns.
Dorm account owners,I hope you've learnt your lessons.

AkProsper:
Thanks for your input guys. I later settled for EMS. DHL was expensive.

How much did it cost you?
I will be sending something(snail) to my sister soon.
20kg or so...

topsquino:


Please speak for yourself.

I accessed my Dom last week and this week.

By the way, I appreciate your arguments on this platform even though I disagree with a number of them.

You withdraw dollars?
Or you think we are talking of small small transactions to buy some stuff on the internet that cost way below $100?
Someone is here having problems to transfer $5k and you are coming to tell us how you bought some cheap stuff online.

emmaodet:


Which of the offshore accounts bro

US if you have the means(their residence or citizenship) so you can get aza or use someone you can trust like a blood relation based over there that has legal stay to operate an account there in a good income bracket with good account history,not cleaners that $10k credit will raise all sorts of suspicions
That way when things go bad in Nigeria,to bring your funds back and enjoy naira gains will be very easy.
Third option is to use azamen but it's very risky as them dey chop people money steady.

ojesymsym:
Please when not sure about something always use probability. USD was withdrawn less than 10mins ago from 1249pm

How much?
I repeat,no bank go pay you dollars cash now,unless na change you go withdraw.
So that make you go sell to aboki abi?
Or you think bank no know say they can also sell to aboki?

chigo4u:

Most aboki prefer transfer to cash. So just transfer to their local accounts and get your naira.

Transfer dollar to their dorm account now?
Them no go collect o because dem no go fit sell am based on transfer limits now imposed on these accounts o.

chigo4u:

GTB is the best for dorm accounts in Nigeria, I don’t think any bank comes close. I successfully transferred over 5k today without any problems although cash withrawals was not available..

You can still cash out with this ooo in naira sha.
Find person for yankee weh dey do currency exchange wire am the money make e pay you naira.
He might buy at 435 still on still.
That is if you want naira sha.

IamR:

I am currently going through that now. I have been trying to transfer some funds but Zenith turned it down twice. I will try to do cash withdrawal by next week.

I wanted to say this.
No one can access their dorm accounts now.No bank will pay you dollars now.
I'm sure if you request for the money to be converted to naira,they'll pay you immediately.
Reason I always advise against this.Dorm account is useless in times like this.
Better get offshore aza jejely.

emmanuelewumi:



They make money in dollars, paying in dollars would not have been a big deal, at least $40 million would have been in the system for shareholders based in Nigeria.

Let's be honest with ourselves as human beings.
Would you be comfortable in paying a naira investor now in dollars when you know you can use that same dollars and get more naira,pay the investor and still have huge reserves left for yourself?
Maybe when things were stable yes.
But now,nobody will be happy to do it if we are being honest.

emmanuelewumi:



ETI and Seplat used to pay in dollars, until when CBN told them to stop about 3 to 4 years ago. They can pay dollars to those who imported dollars into the country for the purchase of the companies' share, that is foreign Investors or Nigeria Investors who paid dollars for the investment

I see.
I'm sure they are glad the CBN did this,else it would have been bad for them now to pay naira investors with dollars.
Why did they even do that in the first place?
Strange if you ask me.