Former Finance Minister: Ngozi Okonjo Iweala Speaks:
I still find it funny that most people
don't know why Nigeria economy
went into recession, they love the
incompetent lies of Lai Mohammed
about the past government ruining
everything. It's also myopic to think
that if Jonathan were to still be in
power, we would be worse off.
The truth about Nigeria's recession
is this; it was caused by the
president's unguided rhetoric and
uncultured body language.
Firstly, there is nothing we are
buying today that we weren't buying
5 years ago, therefore it's not our
purchase that put pressure on Naira
but withdrawal of funds by foreign
investors.
After the election, the president
created instability with his unguided
statements about how everyone is
corrupt and how everyone is going to
jail. The instability made foreign
investors to liquidate their
investment and change their money
to dollars.
In the process of trying to
flee, they were willing to buy dollars
at any price, which lead to high
exchange dollar rate.
Even though some of them were not
ready to run away, but want their
money in dollars to save their
investments from devaluation, the
president gave a bad signal by
banning deposit of foreign currency
into dormiciliary accounts. That was
enough for free market believers to
see the draconian handwriting on
the wall, that was the beginning of
dollar rush.
To make matters worse, the
president came up with another
outrageous policy of rationing dollar
to certain sectors and blocking many
sectors out. That was the nail in the
coffin which facilitated the
emergence of free FALL.
In the end, foreign investors took
over $80B out of the economy within
a short period and everything went
down to free fall.
To those who believe it will be worse
if Jonathan is still there, you are all
wrong. Policy continuity and political
stability will not let billions of
dollars leave our shores within such
tiny time frame. Even though the
government might have income
shortage, the private sector will
weather the storm by their
confidence in the market.
The fear of the unknown created by
PMB is responsible for the economic
downturn not low oil price. Interest
rate in America is currently at 0.5%
while it is 12% in Nigeria. JP Morgan
Chase will not mind borrowing $50
billion from Feds at 0.5 and put in
Nigeria for return of %2000 profit.
Citi bank will do the same, likewise
US Bank Corp. Chase gave Buhari
warning about the repercussions of
his fixing policy before they pulled
out, but his illiterate cyber warriors
and misseducated e-soldiers said
JPMORGAN can go to hell, they no
longer believe in economic metrics
since their messiah is in charge.
Funny enough they are all suffering
today because of the stupid policy,
but they find relief by blaming it on
past administration and Gucci
appetite of average Nigerians.
For your information, if your
president "continues" with his
unguided rhetoric, Naira will go
down to N1000/1 $. But we thank
God, he is no longer talking.

Its only a very big fool, who is blinded by sentiments, that will follow what lai said and will repudiate this tested and trusted former minister

So very true,coupled with the fact that it took his government many months to start running and his globe trotting adventures when newly elected.
But they will have those not on the know to believe it was Jonathan's WITCHCRAFT that was responsible .

Goodluck Jonathan came earlier before his time, Nigeria is not yet mature for the kind of leadership Goodluck offered.

Buharri belongs in the 1930s

Only people whose O level Economics was written and passed at a miracle centre or someone who entered the army or Federal job with only a recommendation letter from their Principal without ever writing WAEC will dispute this.

okosodo:
Its only a very big fool, who is blinded by sentiments, that will follow what lai said and will repudiate this tested and trusted former minister

They are not opposite,the one good and the other bad.
There is nothing tested and trusted about Iweala
She is incompetent. Sadly we focus on sentiment rather than facts
Jonathan brought her in August 2011 and her first act was to prepare the budget with petroleum subsidy jumping from a few hundred billion to over a trillion naira by January 2012. We all remember the New Year present of 2012.
It later emerged there was huge fraud in the subsidy which she never detected
Next up ECA. she consistently blamed the governors for not saving anything despite the fact that the FG share of that fund is 52% if the governors don't want to save the FG can't force them. Why did she not save the 52%that was the FG share.
Let me say this is not just a matter of saving but spending without appropriation. It was spent illegally. With illegal withdrawals on her Watch through the NSA.
Pretty much everything she did as minister was first to put the interest of the likes of JPMORGAN and Citi above that of Nigeria.
That is why she has been warmly received afterwards. What did she do about unemployment? What was interest rate when she was there

By the time she left office she was borrowing to pay salaries despite the fact that in Nigeria history no finance minister, NONE has enjoyed higher oil revenues.
Compare with Awolowo who was finance Minister during a 30 month war who did not borrow and even had a surplus.

Yes Buhari is nothing to write home about but she cannot talk.
Under her watch the main challenge was to take advantage of huge oil revenues and diversify the economy and prepare for the rainy day. She failed.
She did not save as she could

Once again 52% the question that won't go away. Why did she not save the FG share of the ECA .

Sprumbabafather:
Goodluck Jonathan came earlier before his time, Nigeria is not yet mature for the kind of leadership Goodluck offered.

Buharri belongs in the 1930s

The kind of leadership where people die taking an employment exam in a stadium and no one is held to account?

8. Don't post false information on Nairaland