I see no hope in the near future since our leaders have failed and
refused to reposition our economy for the better.Imagin them saying the
melt-down will not effect Nigeria-and now we knoe better-as if we are on another planet or our currency is
first before any other in the world.Fellow Nigerians please be very frugal in spending-we will all survive it
-God helping us.

I believe there is still hope for us. it's just the matter of time.

Naira is going to have great value if only Nigerians are ready to respect our currency with great value.

So that, we all can benefit from it.

Is just like when a BDC buys dollar from CBN and sells to his customer and that same person will re-sell in other to get profit.

This is what's causing the problem.

1 thing I believe is that God is going to intervene in Niger's Wahala.

they have just told me 180 naira to a dollar
In Lagos Island and Ikeja. Where is a good place
To get a better rate please

luckyme9:

they have just told me 180 naira to a dollar
In Lagos Island and Ikeja. Where is a good place
To get a better rate please

Bro it's now 200 naira to a dollar.

Go to Alade shopping mall in  Ikeja. You get close to the best rates there.

afam4ever where is it 200? I think it's just dropping as we speak
Because all malas are calling themselves.
Bac, I'm on my way to Alade. I will keep u posted

Dallas is now 178 anywhere in Lagos
And I think its still coming down, well not
a bad news for the country, I just hope
The prices of things that went up with the
Dollar comes back down with it. God Bless
Nigeria; No place like home, no matter what

Apparently the CBN and Soludo have come back to their senses.

* Central bank to boost dollar supply to bureaux de change

* Central bank to hold daily forex auctions

* Naira seen strengthening against dollar in black market

ABUJA, March 17 (Reuters) - Nigeria's central bank will increase U.S. dollar supply to bureaux de change in an effort to reduce the sharp disparity between its official exchange rate and the black market, Governor Chukwuma Soludo said on Tuesday.

The central bank also announced it would increase the frequency of its foreign exchange auctions to a daily release from the current twice-weekly regime, in an effort to meet all legitimate demand for U.S. dollars.
The regulator imposed restrictions on forex trading between banks in February, meaning that the black market became the main alternative source of U.S. dollars to its auctions.

High demand for dollars pushed the naira <NGN=> above 185 to the dollar on the black market, compared to around 146 offered at the central bank's auctions. It has since strengthened to around 170 on the black market, Soludo said.

"I think what caused the disparity is that we stopped funding the market , We are now going to enter the market again," Soludo told a news conference in the capital Abuja.

He said he expected the local currency to strengthen by "several tens of naira" on the black market as a result of the central bank's move, and said the bank was ready to supply whatever the market needed.
"If the market is going to absorb it , whether it be $100 million or $200 million we will supply it," he said.

This may be good news for importers. Read the rest of the story here

Soludo and friends are making a big mistake, Naira should be left alone to find its level in the market. If you use Nigeria's foreign reserve to back the naira, the market may not forgive as not only speculators are playing this market, FEAR is also a player ( the big boys are storing dollars). Dangerous move by soludo and friends,

Watch this space, Trouble is brewing for Nigeria, If I where the CBN governor, My policy will be "Let use stay where we were before and let naira find its level in the market. Full stop.

200=$1 . . guess whos sendin $$ to naija steadily

It is a shame that our leaders speaks about things they don't understand with so much confidence. When events eventually prove them wrong, instead of admitting they made a mistake, they attempt to explain it away as if they are addressing toddlers.

Even someone that did not go to school will understand that if all the big brother nations that Nigeria is tied to are having financial problem, it is simply a matter of time before Nigeria will feel the impact.

CBN should desist from trying to save the Naira. Let market forces play their natural role out. Effort should be concentrated on getting Nigerians into productive activities. If we start investing in Agriculture for example so that we can feed ourselves instead of importing food, then our economy will become stronger.

This is no time for academic theories and hypothesis. Every foolish forecast will soon manifest as such.

By my limited understanding of economics, the naira was backed by money sent to family members by Nigerians in the west and increased crude oil price., If oil price is down by 60%, and money sent to Nigeria is down by 50% there is initial surge in the market to find the new value of naira. Since Nigeria has not shown that its level of industrialization is better now than 15years ago( more manufacturer closing than startups) increased importation only mean there is a guaranteed demand for dollars. All Nigeria needs right now is that the refineries go out of commission and its game over!

Those who can remember the days of Abacha, pull out your game plan you will needs it.If you think its not that bad, nobody thought the world will be here 5 years ago.If you are not prepared for worst case scenario, remember [url=http://en.wikipedia.org/wiki/Murphy's_law]Murphy's law[/url] and especially this variation  Finagle's law "Whatever can go wrong will go wrong, and at the worst possible time, in the worst possible way"(ask America)

There is blood in the economic waters right now and those who have good nose can smell it.
Nigeria went through 17% of reserve($10bn) in the first 2 months of the year, if things continue to go this way with oil price for next 7 months, reserve will be minimal at current spending rate.

Shipping of goods will be minimal, importation will increase so will the country go back to borrowing.You here calls everyday for govt to send extra crude earnings, what calls will those experts make where the savings of 8 years is gone in 1 year.I'm sure they'll pack there bags and move to their London homes, none has any stake in that society.

@sultaan.

Just curious as to where you got that info from (Money sent home down 50%). I can believe this as people's disposable income has shrunk in the west therefore they have less to send home, but still curious as to where you got your stats from.

Cheers

PS: Is the dollar really going for N200 or is that just speculation?

I have no soyrce for stat, that is why I implied that "if" these things happen there will be a void that has to be filled until then it leaves room for speculation.

naira sold at N196 to a dollar today, f**k yahoo finance, they are not the abokis.

[size=50pt]Let the value of naira against dollar continue to rise. Amen.[/size]

This is not good for the Nigerian economy. The long term effect is going to be harsh especially for civil servants who depend on their monthly salary-which, of course, is not increasing. In Imo State, teachers are still being owed 3 to 4 months salary and public schools are on strike. How are these people going to survive? Some people are here dancing because the value of naira is falling. We need to be praying for some change. Look at Zimbabwe today. They were better than Nigeria years ago. This is what inflation can cause!!!!

san26dy:

This is not good for the Nigerian economy. The long term effect is going to be harsh especially for civil servants who depend on their monthly salary-which, of course, is not increasing.  In Imo State, teachers are still being owed 3 to 4 months salary and public schools are on strike.  How are these people going to survive? Some people are here dancing because the value of naira is falling. We need to be praying for some change.  Look at Zimbabwe today. They were better than Nigeria years ago.  This is what inflation can cause!!!!

I totally agree with you. For those of us who live abroad, it may be good news, but how about those who are not privileged to be recipients of dollars and pounds sterling? Lets also think of them. I know the devaluation of the Naira is bad news to the economy and might lead to social unrest in the country. Now, nobody in their right mind would want that to occur. Let Nigeria rise up again like the Phoenix.

Pro Soludo, Does anyone know what he is doing now. I hope he is not wasting the foreign reserve.

Please can someone ask Mallam Exchange rate for £ and $ today's price please

$ slumped today on the news of the US govt. buying bonds and that made crude price jump. Remember crude is priced in USD.
165 naira xchanged for $1 in PH today.

In the name of free speech, it's OK to shout out your glee at the fall of the naira but the reality is that kind of behavior is in very bad taste 

Bigmodo is looking for Girl friends at unilag. Please do't waste your dollars on girls.

I dont understand you people! When Soludo wanted to redenominate the Nigerian Naira to N1 for $1. Nigerians were shouting NO NO NO, and their reason was that they will never become millionaires like that. Now you are complaining about a falling Naira!

bigmodo:

[size=50pt]Let the value of naira against dollar continue to rise. Amen.[/size]

AMENNNNNNNNNNNNNNNNNN

I heard the Dollar sold at N157 in Benin today.

Warning bells,

http://odili.net/news/source/2009/mar/19/405.html
 
Going back days of Abacha; failure to perform because of wrong choice(political reasons) in administration of sectors.

Thursday, March 19, 2009  Printer Friendly Version

[size=20pt]FG confused over fate of refineries [/size]

By Obinna Ezeobi, Abuja

Indications emerged on Wednesday that the Federal Government had become befuddled on the course of action to take concerning the non-performing refineries being run by the Nigerian National Petroleum Corporation.

The refineries are located in Kaduna, Warri and Port Harcourt.

A participant, who attended the meeting between the Presidential Steering Committee on the Global Financial Crisis and organised labour on Monday in Abuja, told our correspondent that government was torn between different options.

According to him, government is considering revisiting the privatisation of the refineries, even though President Umaru Yar'Adua had cancelled the sale of the Port Harcourt and Kaduna refineries to Blue Star Consortium, led by Alhaji Aliko Dangote, soon after the assumed office in May 2007.

The source added that government was afraid that revisiting the cancellation of the sale could incur the wrath of workers, who perennially oppose privatisation.

Similarly, the NNPC board, which met recently in Abuja, opted to engage in strategic partnership with renowned refining companies, which would run the refineries efficiently.

The suggestions are, however, at variance with the provisions of the Petroleum Industry Bill presently before the National Assembly.

The PIB, prepared by the Oil and Gas Reforms Implementation Committee, proposed that the refineries would still be owned by the new NNPC Limited, which would be free to incorporate its subsidiaries and sell some of its stake to the private sector.

However, the Presidential Steering Committee on the Global Financial Crisis had hinted on the privatisation of the refineries after it announced the withdrawal of subsidy on petroleum products prices.

For many years, the refineries have been allegedly mismanaged, with millions of dollars committed to their turn around maintainace, procurement of spare parts and payment of staff salaries without commensurate value being obtained from the plants.

The committee stated that the Federal Government would no longer inject funds into the refineries.

Minister of Petroleum, Dr. Rilwan Lukman, said, "Our refineries are not being run well, they have been mismanaged."

He added that NNPC would be encouraged to engage in offshore refining.

Here is an imaginary Cartel responsible for govt failure, just throw more money(less brain)

http://odili.net/news/source/2009/mar/20/420.html

Friday, March 20, 2009  Printer Friendly Version

[size=20pt]Generator importers frustrating power projects - FG [/size]

By Ihuoma Chiedozie, Abuja

The Presidential Steering Council on the National Integrated Power Projects on Thursday raised the alarm that an unidentified generator importation cartel is frustrating the success of ongoing power projects aimed at alleviating the dismal power supply situation in the country.

The Council, which is chaired by Vice-President Dr. Goodluck Jonathan, met in the State House, during which the sum of N43.29bn was approved for the rehabilitation of existing Power Holding Company of Nigeria infrastructure.

Addressing journalists after the meeting, which was attended by contractors handling the projects, Delta State Governor, Dr. Emmanuel Uduaghan said that already, moves by the Federal Government to complete the NIPPs have come under attack.

"As at today, even efforts of the Federal Government to ensure completion of the NIPPs are even being attacked (in the press).

"Somebody has an interest to ensure that whatever we are doing fails.

"The problem of power in this country did not start today. Each time government tries to move there is always somebody who ties a rope and pulls government back.

"It is a complex thing, it is a big cartel", Uduaghan said.

He further enjoined those involved to search their consciences, saying, "You who is supplying generator, are you comfortable?

"Ghana today has 24 hours power; why can't we have it?", he queried.

However, the governor stressed that President Umaru Yar'Adua is determined to ensure that Nigerians enjoy 24 hours power supply.

Earlier, while disclosing decisions arrived at the meeting, Uduaghan said a budget on N43.293bn for the rehabilitation of existing PHCN infrastructure was approved by the NIPP Steering Council.

He said, the money would be sourced from a consolidated account contributed to by the federal, state and local governments for implementation of plans to revive the power sector.

The establishment of the contributory account was agreed to at a meeting of the National Economic Council in 2008, and was subject to approvals by the various state assemblies, as well as the National Assembly.

Good story, explains activity in parallel market with hint of decreased productivity in economy switching to imports i.e between Sanusi and Soludo.

Consideriing reasons being given for dollar demand by reports, it not normal for most of the transaction in a country to go to mortgages, tuition and medical bills if only there was a data for each of these categories. If 10% was used to buy Equipment from US to maintain infrastructure monthly it will be a good thing.

Thursday, March 19, 2009


[size=20pt]CBN explains naira's fall [/size]
From Madu Onuorah, Abuja

GOVERNOR of the Central Bank of Nigeria (CBN), Prof. Chukwuma Soludo, yesterday told the Federal Executive Council (FEC) that measures were in place to shore up the value of the naira "in a matter of days."

Soludo, who spoke at a special briefing of the Council, said the measures were to ensure that 95 per cent of legitimate businesses were done by the banks at the official rate of N150 to the dollar.

Part of the measures, he noted, were also to ensure that the parallel market remained unattractive to genuine businessmen.

Soludo, who briefed journalists at the end of the Council meeting alongside Minister of Information and Communications, Prof. Dora Akunyili and Minister of Youth Development, Akinlabi Olasunkanmi, said investigations had shown that most of the transactions in the parallel market involved those who wanted to avoid documentation, adding that they were more like smugglers and money-launderers.

According to the CBN governor: "We briefed the Council on the developments in the foreign exchange market and the exchange rate regime, especially at this time of global financial crisis. We tried to put it in the global context, that this is what is going on globally, that this is a consequence of the unprecedented global crisis that we are having. Resource flows and capital flows around the world are frozen up. Nigeria depends for more than 95 per cent of its foreign exchange earnings on oil, and the price has also crashed to the extent that from about July last year, the outflow of foreign exchange has actually far outstripped the inflows. In fact, last month, we received about $800 million when last year we were selling about a billion dollars a month to the bureaux de change.

"In fact, up to January, February this year, we were selling about $800 million a month to the bureaux de change alone not to talk about the official window. But the total inflow last month was about $800 million while the total inflow this month is about $691 million. Therefore, since no one knows how long the global financial crisis will last, as a country, our national strategy should be to conserve the foreign exchange that we have so that even if the crisis lasts for an extended period, we as a country will continue to guarantee access to foreign exchange for end users, for legitimate business for the duration of the crisis.

"We also briefed the Council on the various measures we have put in place on reverting to the Retail Dutch Auction System, getting all inflows from official sources now to the Central Bank and, of course, managing the official exchange rate with a band of plus or minus three per cent. We are also trying to emphasise, and this is very important for Nigerians to know, that the official exchange rate at the CBN window that you will go to bank and obtain has hovered between N144 and N150. It has never exceeded N150 since this year. And that is the exchange rate at which about 95 per cent of legitimate transactions take place.

"We have stopped supplying foreign exchange to the bureaux de change. And that is why you are seeing the parallel market rate beginning to soar, simply because we couldn't afford to continue the way we were doing before. But now, we are opening a new window. We are supplying foreign exchange through the banks. At least, that we can monitor and make sure they comply with documents requirements."

Soludo added that FEC was also told that the reforms would make sure that people making "most of the legitimate transactions for foreign exchange, be it for payment of school fees, for mortgages abroad, medical purposes, businesses, or personal travel allowances can now go to their banks and get them. Whatever the amount, the banks will bid for them and transfer these monies for you. If you are also importing goods, $10,000, $15,000, $50,000 whatever it is, you can go to your banks and bid for foreign exchange and obtain at the official exchange rate. But for those who don't want to pay duties, those who want to launder money, those buying money to keep under their mattresses, when we are capturing most of the legitimate transactions, we will then ask the question who are the people going to the parallel market?

"It is for you in the media to help us in communicating these facts to Nigerians; that the exchange rate for the naira is the official exchange rate because that is where more than 95 per cent of the transactions take place. It is not the people who are smuggling goods, people who want to avoid paying duties, people who are laundering money; this is not the rate of the market that should be used to talk about the exchange rate for the naira. With the new reform and our decision to now fund the exchange rate operated by the banks, we will also be able to make cash available to them. We believe that the rate will be crashing down very seriously in the days ahead and that most of the transactions in the other market will be those who want to avoid documentation."

Asked if the CBN could meet the demands given the fact that the government was receiving reduced foreign exchange, Soludo said the signals from rates at the various markets as at yesterday's morning revealed that the rates had begun to creep back.

He said the naira went as high as N190 last week but as at yesterday, it was being bought at N178 and sold at N181.

FEC also approved the implementation of the Nigerian Youth Employment Action Plan (NIYEAP) from 2009 to 2011 as presented by Senator Olasunkomi.

It also approved the short-, medium- and long-term strategies for addressing the goal of the action plan for job creation. It equally approved the establishment of the National Employment Council (NEC).

The action plan, according to Akunyili, was developed by the Ministry of Youth Development in collaboration with development partners like ILO, UN agencies, youth organisations, state ministries responsible for youth development and other stakeholders.

Prof. Akunyili noted that the action plan was to address the menace of unemployment and under-employment. The plan is to adopt mainstreaming approach which addresses all components of job creation across ministries, departments and agencies and proposes solutions under four main themes of employability, entrepreneurship development, employment generation and equal opportunities. The plan is to also pave the way for the creation of one million jobs this year.

She said the Yar'Adua's administration attaches priority to the issue of employment generation and human capital development in the national seven-point agenda.

Meanwhile, the Nigeria Labour Congress (NLC) has urged the National Assembly to conduct a public hearing on the continued downward slide of the naira.

The Vice President of the Congress, Isa Aremu, who stated this yesterday, called for the resignation of Soludo for failure to halt the devaluation and inability to tame the rising lending rate.

His words: "Let me say this, while we are celebrating the gathering of the about N1.1 trillion pension fund in just over five years, that gain is at risk if the continued devaluation of the naira is not halted by the CBN. When Soludo took over, the exchange rate was about N90 to dollar and today, we are seeing a different story.

In fact, he was appointed to remedy the situation when he took over from Chief Joseph Sanusi who was sacked for not being able to tame the exchange rate. Soludo promised that the bank consolidation will grow the economy as the bank will have more money to put into the productive sector of the economy. But today, we know better. Under the present condition, only cocaine and drug business people can borrow money at 27 per cent and make a return in their investment. The National Assembly should wake up and organise a public hearing on how to rescue our economy. President Umaru Musa Yar'Adua must also make this economy work because it is not working as at today.

Whats it at now? Anyone know?

Reason for recent dollar fall is because USA is printing money 1.3 trillion dollars. Can you imagine. And now nigerian newspapers has attributed that to Soludo's clever moves. How can that be,

Vasuani brother are blamed for naira fall by buying dollar officially and selling on the Black market. If there is a lot of supply of dollars in the Black market, won't the naira gain value. I don't know how this people think. It may be true that the brother are profiting from the sale. But the dollars they are changing is not enough to pull the naira back. So the underlying problem with naira is the price of oil , non else. So Soludo and EFCC, don't blame others for Nigeria's problems,

The dollar was exchange for N185 yesterday.

It is now N160 to $1 at the Parallel market. I hope this trend continues.