ballabriggs:

Mr man please stop disgracing yourself with this you groundnut and garri analysis. Go to bed and stop wasting your time.

None of you point to any macroeconomic indicator, no assessment of the current position of the economy but you just jump ignorantly with a garri and groundnut "it will cause inflation" argument. What do you even know is inflation?

In your attempt to deride the man because "he is an aboki who knows nothing", you show how ignorant you are.

This isn't an issue that can be resolved using macroeconomic indicators as we are only discussing potential effects of a policy change. Nigerian Inflation rate is currently reportedly at 12.8% and it's had an all time high of 15.6%. I believe most students of economics will expect that an a regime of rising oil price, reduced liquidity, higher costs and a benchmark interest rate at 12% may potentially force a cost push inflation....to what extent may remain open to debate.


What sort of macroeconomic indicators are you looking for?...and how do you suppose the could be used to measure the potential impact of this policy on the economy?

***I'm waiting for you to set yourself ablaze****

if true, den its a welcome developement to me!!!

van bonattel:

you must be a child, to be boasting of laying girls of a particular tribe, I have lost count of the number of babes I have laid, white babes, blue, black and yellow, slim ones, albino, orobo, fulani, housa, yoruba, edo, ibo, ijaw, twins, village virgin, ashewo, student, hawker, even the ones with red color bear bear for their v-junction, and you think you have seen anything go to bed child

Lol @ the guy saying "little prick" to a dude he has never met calling someone else childish

zeal500: if this is true then Nigeria is dead

how u cary know?it will be portable,bagble(ghana must go)4 stilling and looting.we don really finish;-(

souldust: i heard the logo of the national assembly is to be at the reverse side. If that is true, then i think its a wrong decision. Why not the benin bronze head instead. Why the national assembly whose property is already on the two naira coin and whose members are all 'rogues and thieves'

I think they Customized the Bill for our legislooter for easy carriage..
This time, They wont stuff it under their caps, Na inside shoe dem go dey stuff am...

souldust: the three women are ok in my opinion instead of the eze wuruwuru that the igbo ethnocentric schuvinists are suggesting.

Margaret Ekpo is Igbo married to a Cross River man.

Margaret Ekpo mother is from Cross River married to an Igbo man from Anambra. lol

Go hug wet transformer.

ekt_bear: Regarding Ojukwu, someday I will visit his grave and urinate on it

So don't hold your breath waiting for me to be a fan

lol. On a serious note, can you honestly say why you hate Ojukwu? Did he hurt you directly or remotely?

van bonattel:

getting worked up already? go ahead, burst an artery and suffer a stroke, it will add or remove nothing from nowhere

HAHA stroke? I laugh when responding to ignorant people like you. It is only right that you are put in your place so you don't mislead millions of people.

I ask you again, what do you know is inflation? And how did a dunce like you come to the conclusion that it has inflationary consequences on the system without any valid analysis.

centje: sure dude. Thats the kinda response i expected frm u...simply means u got my message!!

Correct. You seem to have deduced that I only give people responses that they are deserving of. And since you are who you are, it makes no sense to expect anything but crude insults from me.

souldust: the three women are ok in my opinion instead of the eze wuruwuru that the igbo ethnocentric schuvinists are suggesting.

@souldust, you sure needs your head properly examined by a psychiatrist because some nuts are obviously missing in your brain. Must you mention and make mockery of the great Biafran WarLord who sacrificed his comfort for his love for his people? If you don't know what to say, why not shut that very disgusting trap of yours and create less attention, idiot!

violent:

This isn't an issue that can be resolved using macroeconomic indicators as we are only discussing potential effects of a policy change. Nigerian Inflation rate is currently reportedly at 12.8% and it's had an all time high of 15.6%. I believe most students of economics will expect that an a regime of rising oil price, reduced liquidity, higher costs and a benchmark interest rate at 12% may potentially force a cost push inflation....to what extent may remain open to debate.

Now with your ATM card and ATM machine, you can easily access money and "keep it in under your bed". Any effect on inflation and the stability of the monetary system as you want us to believe?

Stop your 'bolekaja' analysis.

btw who the heck is this Hajia Sawaba? Never heard of her before in my life.

we are all in trouble. another way to 'Farouk' us. it'll be easy now to carry 20 million naira in ones cap. Oliver Twist, they want to loot more. our leaders mtcheeeew

ekt_bear:
The value of those two amounts is quite different, no? N1 million in your grandfather's day was $1 million+. Today, it is like $6k.

True!..The argument was meant to illustrate that more physical notes in an individual's possession will generally prompt use of more banking activities and in effect keep liquidity flowing through the system

200 notes of 5k, 1000 notes of 1k. What difference does it make, if someone is anti-bank?

For people who are against storing their money in the bank, there is nothing you can really do I guess.

The difference is in the comfort of holding money. If i can keep 6 notes of 5k naira in my pocket, i wouldn't normally find any reason to stash it away in a bank's vault compared to having 1500 notes of 20 naira

souldust: the three women are ok in my opinion instead of the eze wuruwuru that the igbo ethnocentric schuvinists are suggesting.

Una no go kill person with hilarious & hyenic laughter on this Nairaland.
Haha!!!

ballabriggs:

HAHA stroke? I laugh when responding to ignorant people like you. It is only right that you are put in your place so you don't mislead millions of people.

I ask you again, what do you know is inflation? And how did a dunce like you come to the conclusion that it has inflationary consequences on the system without any valid analysis.

you always talk about analysis, analysis of what exactly? go ahead and tell us what made you think its a right step considering the following points

increased robbery
easy of handling
cashless economy
lootocracy
inflation, yes inflation

please give us a very good analysis my analyzer

iamtheprincipal:

@souldust, you sure needs your head properly examined by a psychiatrist because some nuts are obviously missing in your brain. Must you mention and make mockery of the great Biafran WarLord who sacrificed his comfort for his love for his people? If you don't know what to say, why not shut that very disgusting trap of yours and create less attention, idiot!

dont mind him. Too many crack kids gaining access to net

ballabriggs:

Now with your ATM card and ATM machine, you can easily access money and "keep it in under your bed". Any effect on inflation and the stability of the monetary system as you want us to believe?

Stop your 'bolekaja' analysis.

Are you reading or even capable of reading at all?

Okay, here's a dumbed down version for you: 6 months ago, i would normally be wary of keeping 10 million in my room for two nights.

in the next couple of months, i can do this without breaking a sweat, and so can my friends, and their friends...

Do you even understand the terms: Liquidity and cost pull inflation at all? where did you school if i may ask?..

How about educating us on the macroeconomic indicators that apply in this case as you will have us believe? I intend to flog you intellectually.

#50,000 single note is coming soon. Watch out...................

violent:

True!..The argument was meant to illustrate that more physical notes in an individual's possession will generally prompt use of more banking activities and in effect keep liquidity flowing through the system



The difference is in the comfort of holding money. If i can keep 6 notes of 5k naira in my pocket, i wouldn't normally find any reason to stash it away in a bank's vault compared to having 1500 notes of 20 naira

Well, if we are now talking about mobile cash (cash someone has in their wallet for upcoming purchases), then this is not likely to have a huge effect on liquidity. Since it:

a) tends to be spent fairly quickly,
b) is a small % of the total amount of money available

ekt_bear:

Well, if we are now talking about mobile cash (cash someone has in their wallet for upcoming purchases), then this is not likely to have a huge effect on liquidity. Since it:

a) tends to be spent fairly quickly,
b) is a small % of the total amount of money available

It used to be...

with the introduction of bigger denominations, people can simply afford to hold more mobile cash without breaking a sweat...and they don't have to spend this in a long time.

How long will N30k in cash last for a "big" Nigerian?

They can go through that in a couple hours.

Like, nobody is going to carry so much cash on their persons that it will last for like 6 months, right?

Time frame is more 1 week to 1 month, not 6 months or a year.

ekt_bear:

Well, if we are now talking about mobile cash (cash someone has in their wallet for upcoming purchases), then this is not likely to have a huge effect on liquidity. Since it:

a) tends to be spent fairly quickly,
b) is a small % of the total amount of money available

a) not anymore, there will not be too much hurry to spend it since you are not very afraid it will be stolen, remember hiding it will be easier now
b) small number when you are talking of only one man, multiply it with thousands of business people who will be nursing same idea and a full scale crisis will burst

ekt_bear: How long will N30k in cash last for a "big" Nigerian?

They can go through that in a couple hours.

Like, nobody is going to carry so much cash on their persons that it will last for like 6 months, right?

Time frame is more 1 week to 1 month, not 6 months or a year.

This wouldn't only apply to Nigerian big men alone but even more to mid and low earning folks. It means an employer can afford to pay off salary in a couple of notes..

So a guy earning 60k who got paid in 12 notes will likely be reluctant to take this to a bank and will likely hold on to it for much longer.

Also, it may be convenient for some dodgy Nigerian "big men" to hold their billions in small briefcases as it wouldn't normally attract the unwanted attention of monitoring agencies.

Regarding (a), how quickly do you deplete the cash in your own wallet? For me personally, 2 weeks max, and then I visit the ATM again. Surely for you or most people, it will be 1 month max.

Regarding (b), it cannot be the case that the amount of cash Nigerians have in their wallets right now is up to 1% of the total. Most of it is going to be in banks, stored at home, etc.

It's a shame dat many here are trying,2 turn dis into another tribal e-war.The truth is if this currency is introduce by cbn,then it most be approve by d fg.If dat happen,then ppl we are totally bleeped 9ja will be another Zimbabuwe.

violent:

This wouldn't only apply to Nigerian big men alone but even more to mid and low earning folks. It means an employer can afford to pay off salary in a couple of notes..

So a guy earning 60k who got paid in 12 notes will likely be reluctant to take this to a bank and will likely hold on to it for much longer.

I guess this a possibility. We'll find out over the next few years as it unfolds.

Also, it may be convenient for some dodgy Nigerian "big men" to hold their billions in small briefcases as it wouldn't normally attract the unwanted attention of monitoring agencies.

Aren't there plenty of ways for my to do this anyways? Euros, dollars, pounds, etc. USD 50 is like N7500.

Dodgy people will always find a way to do what they want to do, whether this is introduced or not.

ekt_bear: Regarding (a), how quickly do you deplete the cash in your own wallet? For me personally, 2 weeks max, and then I visit the ATM again. Surely for you or most people, it will be 1 month max.

Regarding (b), it cannot be the case that the amount of cash Nigerians have in their wallets right now is up to 1% of the total. Most of it is going to be in banks, stored at home, etc.

As an example, in 2009 while talking to a friend who worked at a Nigerian Bank that has now been merged. He mentioned to me that the local branch of his Bank at Apata in Ibadan had only a couple of millions in Cash Assets. Most of this is made up of the salary of teachers and many other mid level civil servants.

In the case that these guys get paid in cash of 5k denominations, the immediate effect on the bank will be manifested in the reluctance of it's most important customers to make deposit savings which will eventually affect the amount it had to make available for small scale lending.

violent:

Are you reading or even capable of reading at all?

Okay, here's a dumbed down version for you: 6 months ago, i would normally be wary of keeping 10 million in my room for two nights.

in the next couple of months, i can do this without breaking a sweat, and so can my friends, and their friends...

Do you even understand the terms: Liquidity and cost pull inflation at all? where did you school if i may ask?..

How about educating us on the macroeconomic indicators that apply in this case as you will have us believe? I intend to flog you intellectually.

Road side argument again. No reference to fiscal and monetary policies and the present position of the economy.

Mr man go to bed and stop showing you tried real hard to pass elementary macroeconomics.

Ibrahim mr fish: It's a shame dat many here are trying,2 turn dis into another tribal e-war.The truth is if this currency is introduce by cbn,then it most be approve by d fg.If dat happen,then ppl we are totally bleeped 9ja will be another Zimbabuwe.

the president must hv approved of it

My own concern is if u lost dat 5k note watin u go do ?

So your argument is that:

1) Employees are paid in cash. In other words, employer withdraws huge cash from the bank, hands it out to employees
2) If they are now paid in units of N5k by the employer, then they won't deposit this money in their bank account
3) Banks will suffer liquidity as a result

Is this your argument?

If so, are you sure that (1) is true? Are teachers, civil servants, etc paid in cash?