₦airaland Forum

pato405: your thinking is skewed and so biased to favour 5k by all means. you are not being rational!I'm not an economist but I can be more objective. have you compared the prices of goods/services ''back in time'' to what it is now? then the kobo had value. there was so much you could do with it. however, years down the line, with introduction of higher currencies and inflation, the kobo lost its worth. funny enough our economic policies and pricing strategies hardly favour policies/interventions that will preserve the kobo. you are quick to point out that in Britain, Nigerians use the 1 pound coin but you seem to be oblivious of the fact that £1 coin has market/economic value. if you are observant you'll notice the pricing trend in most supermarkets preserve the value of denominations in coins. for example in most supermarkets, you'll find the price tag of goods/products deliberately bearing or ending in 98p [so you get a 2p balance] or adverts such as buy 2 for a pound or 1 for 75p. infact there is even a shop/supermarket known as 1 pound shop [1 pound land] where everything goes for a pound. does that that apply in Nigeria?

Arguably, Nigerians are 'averse' to coins not because of the popular belief that it's heavy or whatever, but because it can hardly fetch anything meaningful..not even the cheapest biscuits. btw, you may be poised to argue at this point that introduction of N5, N10 , N20 coins will most likely compel Nigerians to use coins because those currencies are still in use for petty goods/services. well, sorry because there's another problem. in developed countries you cite, there are machines that enables you convert your load of coins into notes. how many of such do you have in Nigeria? this makes haulage very cumbersome and anyone dealing in a business that involves such denominations [such as bus drivers/okada riders, small scale traders etc] will consider it a herculean task carrying bucket loads of coins. such difficulties could foster them to increase prices to the nearest naira note even if it means compelling you to get more in order to pay in the nearest naira note. a typical example is the popular minty candy - 'tom-tom'. initially, at a time, it was sold for 1.50k naira coin or so, but in no time, marketers started demanding you must buy 3 for the nearest naira note [N5]. these are market dynamics that should be put into consideration. often, such market dynamics are determined by socio-cultural factors. think again man!

So how were they carrying the coins previously? Using Ghana must go bags I think? Or how is that argument tenable? Bus conductors carry coins previosuly and give people coins as changes. So because coins are bulky, then it should not be in circulation? I hear you.

ujchief: i aint gona humour ur atempt to redicle me wit a response to that dumb question.
Does cash-'less' sound like rocket science to u? Brain-'less' man!

Man - with all due respect - I wasnt going to ridicule you, not sure that sound insultive, anyway, sorry. I am not one of the fools who go about insulting people on cyberspace for no reason. I just thought we could start a discussion, but, u have said it, I am brainless. Thanks.

ifeci: He should be asking you that question not the other way round! because clearly, economics sounds Chinese to u!

abegi - kindly stick a corn hub inside your butt hole.

jhydebaba: You asked a question "It will cause inflation - how, none of you can explain" and I use that example to explain how it will cause inflation for you.
We are not in USA or GB, it is what is applicable here in Nigeria that I will use to justify my claims. Pure water producers would have been okay by an increase of 10 to 20 percent but since there is no coins to that effect hence it was increased by 100percent.

Yes Sir!
5000naira, if introduced is a legal tender and therefore it is by force that I must accept it as required by law.

LOL. I hear u. Thank God I used the word carry not accept.

ujchief: inasmuch as sls claims no one has made a valid arguement against the N5k note, we're waiting on him to clarify the issue raised above. 'how does the new N5k note fit into his new cashles policy?' how could he make two divergent policies that contridict each other so much that its easy to see? I aint an economics, but i know economical bul.lsh!t when i see one.

Excuse me - what do you understand by the cashless policy? Lets start from there.

ifeci: I don't know when u were born!? but I remember when the price of commodities on the streets were still sold with .50kobo attached to the price, u could buy a box of matches for #2.50kobo and still get ur change, i remember when u could buy a bottle of coke with the .50kobo attached to the price, even chewing gum was sold for 50kobo/=N=1 but as soon as those currencies were changed to coins, what happened? prices were rounded up and today the least item u can buy has a price tag of =N=5 which is speedily fading out too

So those prices went up only when which currencies became coins? I hear u. Biko.

No need calling people st.upid because they dont share your line of argument. Oga/.

xynerise: he meant Lekki

Even if he meant Lekki - Lekki is not the only place in Nigeria where they have shoprite.

jude33084: Bros Harvard nor be ♍e talk am o.
And talking about shoprite in VI giving you coins as change in Nigeria that's strange. I do visit there once in ∂ while ßŮϯ not seen Ŧħåϯ

VI is not the only place in Nigeria where you have shoprite. LOL.

See why you need to stop assuming?

ifeci: Why shldn't he use pure water!? that u hv money to buy eva water doesn't mean every1 hs dt kind of money! and I can see dt dts where u and sanusi r getting it wrong! u structure ur economics & policies to suit the rich and well to do; the poor man on the street who can only afford pure water is not put into consideration! u took ur time to knw that USA has 1cent coin, why didn't u ask urself why d don't hv 5,10 or 20 dollar coin? assuming u r even smart

Thank you Mr. Smart - Professor of Economics - see how you think? Tell me prices of other commodities that increased because coins were introduced.

In any case - was there a time there were no coins? So, which prices of goods went up because of coins? Let us know Mr. Smart Street Economist.

I guess pure water is all you can come up with.

They say it will aid corruption - LOL. Corruption rings are ran in Pounds and Dollars- not some Naira Notes.

jude33084: Be truthful bro, when was the last time you saw or used coins?

I still went to shoprite recently and got my change in coins. What kind of statement is that - Nigerians are averse to the use of coins? since when?

We used to board buses in Lagos back in time and we used coins - there is even a coin machine fitted on the bus like we have abroad - pop ur coin and get your receipt. LSTC buses in Lagos back in time. I guess you are too young to see it work. The same people u said are averse to the use of coins go abroad and spend coins and travel all over with it. Dont use that crap as Nigerians are averse to the use of coins as an intellectual argument anywhere/

Delafruita: i am not an economist but my layman knowledge tells me this is a bad policy.i dont need to think too far because every country that has gone this route of printing high denominations have suffered uncontrollable inflation and some had to redenominate.we have to learn from history.why should we try a strategy that is well known to be a precursor to an economic collapse?
some countries have high denominations e.g america has the $1000 but you rarely see it in circulation.sanusi has been implementing a cashless policy so there really is no need for creating a new denomination when you want to mop up money from circulation.
by the time the lesser denominations become coins,you wont be able to buy anything for 5,10,20 or 50naira.because nigerians are averse to the use of coins and that will see prices rise hence the inflation we are worried about.thats just a layman view and am sure the economic indices will paint a worse scenario

Nigerians are averse to the use of coins - so, we must not print coins. Do we have three heads as compared to other nations of the world where the people use coins? Abeg.

Werent we using coins previously? So are you telling me now, if you have a 100 naira coin, you wont spend it, you will throw it away because you dont like coins? Come on. Say something better.

Which country are you referring to with uncontrolable inflation because they have high currency value? Japan? Whats the highest currency value in Japan? Thank you for saying America has the 1000 dollar bill. It caused inflation I guess, and Americans are averse to the use of coins because they feel too big?

I dont get it. Dont use layman's logic to argue an economic policy - use well laid out, logical argument.

jhydebaba: Even the average man on the street without any economics background knows from experience the effects of new note on his income.
Prices tend to increase to the nearest naira note. Have you ever asked yourself why the price of pure water increased by 100%?

So, the price of pure water is what you based your argument on? How much was pure water sold before? 1Naira?

So because there is coin in a nation's currency, price will jump up? Or I dont geddit. Why is there 1p coin in GB and 1 cent in USA? Enlighten me but not with pure water - abeg.

Is it by force you carry the 5000 Naira note?

jude33084: Thank Ɣ☺Ʊ bro, τ̲̣̣̥н̣̣̣̝̇̇̇ε̲̣̣̣̥ next thing we might hear will be τ̲̣̣̥н̣̣̣̝̇̇̇ε̲̣̣̣̥ old gist; saying "we will ensure Ŧħåϯ τ̲̣̣̥н̣̣̣̝̇̇̇ε̲̣̣̣̥ coins are fully utilized" these guys are bunch of jokes.

When N1000 note was printed, we heard Ŧħåϯ it was going Ť☺ be scarce ( ßŮϯ now most of us şᵆ or use it ♍☺re than τ̲̣̣̥н̣̣̣̝̇̇̇ε̲̣̣̣̥ N20 note)

Don't get ♍e wrong SLS is an intellegent being ßŮϯ at times H̲̅€ fails Ť☺ realise Ŧħåϯ theory is different from reality.

Why cant you use normal letters so you can be seen to be making sense?

ifeci: Oga where were u d last time some notes like one naira were converted to coins? wot happened? everything one naira became five naira! has the prices of goods not inflated? or do u understand inflation from jst one perspective? more so, the introduction of the #5000 note will cause a parallel economy and will further fuel corruption! which don't u understand? we r tlking practical economics, not theories!

Very meaningless vituperations. So, the fact that a note became a coin sent prices high? Hmmm LOL. Economics 569 I think.

No need arguing with your thinking. Its crude.

Save your brain. Dont reply.

Dis Guy: @PhysicsQED

That to me is a frown not wrinkles!! he's looking up his spec

U dey mind am?

Go and kill her.

mrrock: Do you want to know the true reason behind the N5,000 policy?. The reason is;
In 2-3 years everything in Nigeria would be priced in Millions or Billions. For example; a bottle of Fanata will sell like N1,000,000.

The policy is to make it easier to carry ''any'' amount in your pocket.

Sanusi is a stunch supporter of BH and have to fight with the only tool at his disposal.... Get it?.

DAft.

None of you arguing and shouting has come up with any rational reason or argument against the proposal - its just all sentiments.

It will cause inflation - how, none of you can explain.


The man said you are wasting your time by attacking him, and yet - you are just doing exactly that - wasting your time.

segunfunmi: JUST LEAVE HIM
,TIME WILL TELL

tell wetin?

PhysicsQED: I doubt anyone can find a picture of a 50 year old black man from anywhere in the world whose forehead is that wrinkled. You'd probably have to find someone in their 70s or 80s at least.

Whats this?

[quote author=ekt_bear]Suppose instead of introducing an N5000 note, he redenominates the currency, removing two zeros.

So you exchange N100 for a "new naira."

Would anyone be opposed to the latter?

So how can the latter be OK but introducing an N5k note be insane?

Are they not effectively the same thing?[/quote]Are these not the same people who shouted no when Soludo wanted to re denominate the currency? Now they want re denomination.

hardbody: And you certainly represent the worst....

Mumu.

Mandelaguy: Is it highness or........?

its just plain stoopidity the way most of them use their brain.

duality: guy, you no de tire? all this one you are jumping from one thread to the other. hope you are being well paid. coz the zeal you use in challenging anything about the president is too much to be done for free. maybe you should take a break. think of something else other than politics or take a break off nairaland. maybe learn something new... say a musical instrument, an aspect of programming or some other thing.

plz there is no animosity in this my post. some times you need to withdraw. nairaland heroism has not added one naira to anybody. i know you are a great thinker with very strong opinions but i think you are just over doing it. just think about all these and make your conclusion. if you are really smart you'll understand my point. take all this things easy bros..... have a good night rest. NL can affect your health i tell you..

O boy - thank God for people like you.

muchbeauty: but really, what Nigeria needs is a strong president, who is highly active and courageous. and does not need someone like Reuben Abati to always cover his tracks for the masses. we need someone who has the qualities of a leader, a good listener and quality decision maker. a president has to have that air around him that commands respect, he doesn't necessarily have to be a dictator to be a good leader in a country like Nigeria. it's high time Nigeria starts electing authorities based on sincere educational status/ profession.

Oh yeah? Like a Medical doctor? or who?

LOL. Deceptive thread title.

There was never an impeachment move, so, the court can not stop an action that has not commenced. Simple.

OP- Court didnt refuse to stop anything. Go back to primary school to study English Language.

van bonattel: It is possible, but then again, do you totally trust your wife? Just asking.

The dumbest post ever on NairaLand.

Let them tell us the names of those they are disapproving now. Haba

How will the notes cause inflation. Let us know- tell us. Since you said even a secondary school student knows the logic, so tell us how the new notes will cause inflation.

When Soludo wanted to remove zeros, how many of you came to this same NairaLand to say it is not necessary? Now it is the right thing to do, abi?

and I think by your own submission, you are a thief and a crook who knows nothing in using good language rather than foul words to make some points.

rawtruth: This is very interesting; I live in Benue and, incidentally, in the area where some of the rural roads were "constructed" by Okupe's Consultancy Firm-cum-Constructions Company, but I haven't seen any of the "constructed" rural roads. The Uni Agric-Gbajumba road which is one of the "Okupe roads' remains as it was before George Akume became the state governor. The only rural roads that have actually been constructed are those embarked upon by Gov Gabriel Suswam in parts of the state. Maybe God wants to use the "Okupe drama" to expose the massive and horrible fraud committed by the George Akume administration which have remained curiously shielded from publicity and from the EFCC.

We are waiting to see who is going to testify, or has certified, that Okupe actually constructed the said roads.

lol.

This is the kind of thing supposedly intelligent people rush to believe - even wanting it to be used as evidence.

I might as well tell you I live in Benue and I have seen all the roads constructed - I guess someone will also call my statement admissible user evidence.

Mtchewwww.

Because the damn builders rip you off big time.

a big lie:

http://www.enstarz.com/articles/6411/20120909/morgan-freeman-dead-hoax-is-not-funny-rep-confirms-actor-is-alive-and-well.htm