RHMSTECH:
It’s a good policy to float the NAIRA but there’ll still be black market simply because it’s a problem of liquidity, the supply is low and access by ordinary Nigerians is limited. If dollar is readily available and there’s transparency in the market, this policy might work. Get Dangote refinery working asap , that’s the single most important project we need right now.

The reason behind it is more like subsidy on petrol, we are been force to buy dollar on high rate while the so call business men buy such on low rate and end up selling the goods to us on high rate .... on I&E they and banks get dollar from CBN at around 480 naira most of them don't end up using it for business they just approach any BDC and sell the same to him at 600+naira and gently make their profit without sweating now they make more gain compared to CBN , the same goes to the bank .... the floating now is that theirs is no special passage for anyone again if you like they sell your USD for 1000 naira but from CBN the price will be the same from BDC right now there is cash trap for some people now because there is now where to sell their dubious USD rather than to return it Bank hall

And for federal government to gain from these for long term I will advice that any country that is trading with us in USD should come and change it to naira equivalent first before transaction here because Dollar is not our legal tender by so doing on the long run if we can produce enough goods for international trade Naira will be somehow scarce but not to citizen because by then cashless would have been embrace.... no need for more cash for the citizens

Flets:
All tinubu has done is to set up Nigerian masses for absolute and perpetual suffering.

Why the urge to quickly float the naira without plans? Do we have sufficient USD to flood the market and meet the FX demands in the near term? If people cannot walk into the bank and buy USD without filling forms A, M etc.... its only little time before USD exchanges for 1000 naira

On fuel subsidy, Why should the masses bear the responsibility of the inefficiency of the FG?,

why can’t the FG protect the boarders to ensure subsidized PMS does not get to neighboring countries?

Why has the FG not prosecuted and jailed anyone involved in the subsidy fraud to stop others from doing so?,

The claim that subsisdy is a burden is fallacy cos the subsidizing the actual consumption of less than 10million liters per day is not a burden compared to the FG’s current fraudulent claim of 66million liters per day. Why not a gradual removal of the subsidy?

Where is the savings from Diesel and kerosene subsidy and what has it been used for?

The student loan bill is a plot by the Tinubu led FG t to stop funding tertiary education in Nigeria leading to the end all education subsidy. Who do you think are the final beneficiaries of these moves, same criminals who will end up looting the funds meant to fund the tertiary education.

What exactly is the role of the Nigerian FG if they relinquish every responsibility to the masses? What sacrifice has the political class made in all these mess? Have their allowances being reduced? Any efforts at stopping the lootings?

All Tinubu has done is to transfer responsibilities to the already suffering Nigerian Masses to ensure there is enough for him and his goons that supported him into office

What a cynic you are!. You spilled so much biles over nothing.

deeva2:


South South has produced President, Vice President, Senate Minority Leader, deputy senate President and now senate President.

South East has produced Elu Pee, and online/Twitter president.

He deceived his people and destroyed their stake both in PDP and APC.

Flets:
All tinubu has done is to set up Nigerian masses for absolute and perpetual suffering.

Why the urge to quickly float the naira without plans? Do we have sufficient USD to flood the market and meet the FX demands in the near term? If people cannot walk into the bank and buy USD without filling forms A, M etc.... its only little time before USD exchanges for 1000 naira

On fuel subsidy, Why should the masses bear the responsibility of the inefficiency of the FG?,

why can’t the FG protect the boarders to ensure subsidized PMS does not get to neighboring countries?

Why has the FG not prosecuted and jailed anyone involved in the subsidy fraud to stop others from doing so?,

The claim that subsisdy is a burden is fallacy cos the subsidizing the actual consumption of less than 10million liters per day is not a burden compared to the FG’s current fraudulent claim of 66million liters per day. Why not a gradual removal of the subsidy?

Where is the savings from Diesel and kerosene subsidy and what has it been used for?

The student loan bill is a plot by the Tinubu led FG t to stop funding tertiary education in Nigeria leading to the end all education subsidy. Who do you think are the final beneficiaries of these moves, same criminals who will end up looting the funds meant to fund the tertiary education.

What exactly is the role of the Nigerian FG if they relinquish every responsibility to the masses? What sacrifice has the political class made in all these mess? Have their allowances being reduced? Any efforts at stopping the lootings?

All Tinubu has done is to transfer responsibilities to the already suffering Nigerian Masses to ensure there is enough for him and his goons that supported him into office

We can only hope that the government's good intentions to eradicate unscrupulous practices by a few individuals who exploit our shared resources will be successful. In my view, the effectiveness of this FOREX policy effort largely relies on the genuine commitment of the banks. Although the foreign exchange (FOREX) rate is theoretically determined by market forces through import and export transactions, the banks, acting as intermediaries in these transactions, may choose to allow their associates to monopolize the available FOREX, artificially creating a scarcity. Consequently, the price of the dollar could rise even higher, surpassing the current rate.

Considering our GDP in relation to earnings from crude oil sales, diaspora remittances, foreign direct investments, and other factors, it can be argued that a well-managed Import and Export (I&E) window would provide Nigerians with readily available forex at a significantly lower cost compared to the prevailing black market rate.

BreconHills:


It's the people that liked and shared what you wrote here that I feel the most pity for.

You say Tinubu should not have floated the dollar without infusing the market with dollars. If you infuse the market with usd at 435 its going to end up in the black market at 750. Simple. There are only two ways to correct the value of the naira vi's a vis the dollar. The first is to produce and export more so that reserves can be built up for the demand side. That's not going to happen overnight. The second way is to fuse the rates and encourage free inflow of usd - after an initial spike usd inflows will begin because people know that when they want to repatriate invested funds it won't be at a different or lower rate.

You said Tinubu stopped subsidy. Wrong again. There is no money budgeted for subsidy. NASS has just been promulgated so who will pass a budget for subsidy? In fact Nigeria has been borrowing trillions from NNPC to fund subsidy. NNPC is now a private company and says it is has no money. Can you not see that the end of subsidy is opening up innovation in other forms of energy e.g CNG?

Student loans is a plot to what? How does giving people loans to study amount to stopping funding to tertiary institutions? Student loans are not new to Nigeria. We've had them since independence. The only reason they were stopped was because of the high rate of default. Those gaps can now be closed due to bvn.

I suggest you apply for the student loan when it comes up and go back to school. You need it.

I love the way you wrapped up your piece. Epic!

MT:


What a cynic you are!. You spilled so much biles over nothing.

Actually, he's right. We should ask questions. -How much money has been saved on kerosene and diesel?

-What have they done with it?

-Who are the subsidy money robbers?

So the suffering masses will not do so in vain after all said and done because corruption always fight back

After floating the Naira:
How many months of honey mooning should we give BAT to start seeing result? 3/6/9 Months. Reason is we can't wait forever to sacrifice when all the senior men are still enjoying the pecks of office.

2) The KPI and the SI to know if this policy is guaging positive and can guarantee reduction of poverty for our people

3) Tinubu should be ready to receive backlash from us ooooo, if things are not moving in the right direction and solvings hanging fruits day to day common man challenges

4) Can we open the damn border to bring in more milks and Chicken. Cos many of our under 5 are currently suffering from SAM, severe acute malnutrition.

EXPRESSSMAN:


Past governments could not do it because they knew the implications to the masses.
BAT and you guys don't know the implication for now. just the announcement.
Everything PBAT did so far is like burning down the whole house to kill a rodent

No planning before acting. We are all waiting to see what follows.

;Dso you mean the masses has been enjoying under past administrations.
nigerians really suffer i swear.
never knew you were more knowledgeable than bloomberg and other economists that has been lauding BAT's initiatives.
purge your mind of hatred and see the bigger picture.

lailo:

Then why didn't ur GEJ and other former presidents use same simple economics to better our lots since?

Your Bat started a propanga to make it look bad..

In ajepako's voice Eluuuuu p sebenty seben

KingOfIsoko1:
Nothing to applaud here,

It’s simple economics

Yes, it's simple economics and Buhari didn't do it. Jonathan didn't do it...simple economics my foot!

EXPRESSSMAN:


Past governments could not do it because they knew the implications to the masses.
BAT and you guys don't know the implication for now. just the announcement.
Everything PBAT did so far is like burning down the whole house to kill a rodent

No planning before acting. We are all waiting to see what follows.

sorry sir I want to get something does it means 1dollar is equal to N750..I really want to understand something

9jantatainment:


We can only hope that the government's good intentions to eradicate unscrupulous practices by a few individuals who exploit our shared resources will be successful. In my view, the effectiveness of this FOREX policy effort largely relies on the genuine commitment of the banks. Although the foreign exchange (FOREX) rate is theoretically determined by market forces through import and export transactions, the banks, acting as intermediaries in these transactions, may choose to allow their associates to monopolize the available FOREX, artificially creating a scarcity. Consequently, the price of the dollar could rise even higher, surpassing the current rate.

Considering our GDP in relation to earnings from crude oil sales, diaspora remittances, foreign direct investments, and other factors, it can be argued that a well-managed Import and Export (I&E) window would provide Nigerians with readily available forex at a significantly lower cost compared to the prevailing black market rate.

Very valid points. All of the recent changes will improve our economy only if FG is ready to plug holes and fight corruption. Otherwise, we will just be changing the beneficiaries of corruption. A few years ago, the price of PMS at market price, without any subsidy was about N150 per litre. PMB actually removed most of the subsidy when he more than doubled the price of PMS, but it took just a little while for the Naira to be devalued and we found ourselves where we started. Essentially, what we have been paying for is the inefficiency in our exchange rate and not really any subsidy. The marketers during GEJ era were stopped and some other entity took over importation, so we essentially just changed the beneficiaries of the corrupt and inefficient system. I think if care is not taken, with the change in I&E window, we could find ourselves back in the era on banking greed, where banks and bankers lorded over the forex markets and made unimaginable gains. An efficient economy should not really worry so much about the price of the dollar but worry more about access to the factors of production in the local economy. Can people afford to move around to produce? Not really. Transport cost is too high. Insecurity is still barring people from cross-country trade and distribution. Is land cheap, accessible and affordable? No. Looters launder their money a lot in real estate, forcing the prices beyond the reach of many people. To get the cost of raw materials down, transportation and land costs down, the issue of corruption needs to be addressed. If the current administration is not treating this with urgency, it will be a signal that it is going to be 'business s usual' and the perpetrators will quickly device means to evade capture. PMS price is tied to forex price. Dangote is not a CSR initiative, the man will sell at prevailing rates! There is no serious country that assumes that forex prices will be favourable unless of course you massively improve local production or you just do not allow your currency to float! Your currency is of utmost national security and one way or the other should not be allowed to free-fall.

femicyrus:

Nigeria is not a country where you fight corruption and win.
What the president is doing is preventing corruption.

Have you ever bought dollar anywhere at the CBN price before?
But big, powerful and connected corrupt business man are those getting it while they sell whatever they buy/produce with it to Nigeria at the open market price

the dollar is still not available,the black market we sell it for 1000k or even more self

CondenseMilk:
what's this man saying sef?

You removed subsidy and still importing fuel !

build refineries simple!

In two weeks?

BarrElChapo:


You don’t even know him or his specialty 😂😂😂

Let wait for 6 months before celebrating.

KingOfIsoko1:
Nothing to applaud here,

It’s simple economics

Simple economics with benefits
Why wasn't it applied bfr now??

Lots of new policies, may they favour us in the long run.

I greet Bosses in the house

Please I'm looking for a car to drive
Rentals to remit weekly

Your car won't be overflogged


I stay in Oshodi

Contact: 07034524895 Calls only
Thanks.

KingOfIsoko1:
Nothing to applaud here,

It’s simple economics

If you think otherwise, go to court.

masseratti:
how many masses has access to government rate dollars in the bank?.
What this simply means is that no need to fill any form anything.. Same price you buy dollars from aboki is same you will buy from the bank.. Cash and carry.. No more Government rate but market rate, simply as ABC.. Some people with connections are the one benefiting from the CBN govt rates and selling it in the black markets.

Lets have a level playing field and the true business men do real business.. Things will be much more stable, next round for the government to go to to improve our production level... Involve a large number of working men in public construction.. Not Chinese.. Not necessarily giving out contracts.. There are a lot of government agencies that can handle this and get people working. That will boost the economy.

The most brilliant post here, not all these empty rhetoric, needless arguments or daft praise singing.
After waste is removed, good governance MUST replace it or there will be no gain.
And good governance must also involve putting Nigeria(ns) to work by exposing the entire population to the means, the bolts and nuts of productivity in public works, the extractive industry, mechanised agriculture, small scale manufacturing, etc.

The seeding or spurring of these production centres is what the savings of subsidy removals should be spent on. We must do away with meaningless, heavily inflated white elephant projects that favour fat cat government contractors at the expense of the state and only lead to more capital flight and currency depreciation.

Finally government must trim its overheads. The administration of this country is far too high and is another subsidy we just cannot afford.

KingOfIsoko1:
Nothing to applaud here,

It’s simple economics

Simple and Buhari see otherwise. If you can't applaud this simple economic, You won't applaud Macro economics either. Hate is your driver

CondenseMilk:
what's this man saying sef?

You removed subsidy and still importing fuel !

build refineries simple!

He should build the refineries within 16days in office, right?

deeva2:


South South has produced President, Vice President, Senate Minority Leader, deputy senate President and now senate President.

South East has produced Elu Pee, and online/Twitter president.

He deceived his people and destroyed their stake both in PDP and APC.

On the SS leadership achievement...how does that affect the lives of the indigenes positively

We are looking at what the common man on the street can benefit not individual & selfish achievement

Look at the North for instance, they have ruled this country more than any region but they suffer more from poverty than any other region

Sablexxxtoons:
Great .. that guy ranting above so you know more than Mr Agbakoba?

That one na swegbe

Subsidy is what made our refineries not to function because some people felt they made more money from the scam than having a functional refinery. It's the same people in government that have been feeding fat from the scheme.

Curvinus:
Subsidy removal and floating of the Naira, though laudable policies, their application however in the present Nigerian situation are a recipe for disaster. They are akin to removing the column pillars holding up a structure without introducing an external support base. The compressive weight of the structure would sooner or later crumble under intense stress.


One would understand the haste by Tinubus Administration to correct the anomalies that agreeably have left the nation's economy thethering on the brinks.

But nonetheless, one would still have expected that a cautious approach be adopted in dismantling these fulcrums on which the ecoonmm also stands due to the crumbling effect they could have on the country.

Take the floating of the naira for instance, the fundamentals show that demand for foreign exchange are still very high. A lot of airlines have their funds trapped in Nigeria which accounts for nearly 50 percent of trapped funds of airlines worldwide. Nigeria's economy is also heavily reliant on imports which is also done majorly in foreign currency. Add to these the pressures of tuition fees, medical bills, travels, debt servicing, petrol imports and you are looking at a senario not far from what happened in Zimbabwe and Venezuela.

What Tinubu and his hailers are failing to under stand is that economic reforms of these magnitude are not done overnight without proper thought process and groundwork to counteract their effects.

One would have expected to see refineries producing petrol for local markets and for exports to increase the country's forex earning capacity before floating the naira. Even the administration of former President Buhari tried this experiment and was forced to quickly reversed itself when the Niara suddenly jumped from about 300 to 650 to a dollar.

Nigeria is at a tipping point with these poorly timed policies and only a miracle would save the economy from implosion.

The clown and his dumb followers want to impress by all means.

Most of the followers do not understand the 2 policies neither do they understand its effect, but they are quick to hail it.

Clowns

Marvfem:
the dollar is still not available,the black market we sell it for 1000k or even more self

Let dangote and others also buy it at that rate.
CBN is for Nigeria not for them alone

Flets:
All tinubu has done is to set up Nigerian masses for absolute and perpetual suffering.

Why the urge to quickly float the naira without plans? Do we have sufficient USD to flood the market and meet the FX demands in the near term? If people cannot walk into the bank and buy USD without filling forms A, M etc.... its only little time before USD exchanges for 1000 naira

On fuel subsidy, Why should the masses bear the responsibility of the inefficiency of the FG?,

why can’t the FG protect the boarders to ensure subsidized PMS does not get to neighboring countries?

Why has the FG not prosecuted and jailed anyone involved in the subsidy fraud to stop others from doing so?,

The claim that subsisdy is a burden is fallacy cos the subsidizing the actual consumption of less than 10million liters per day is not a burden compared to the FG’s current fraudulent claim of 66million liters per day. Why not a gradual removal of the subsidy?

Where is the savings from Diesel and kerosene subsidy and what has it been used for?

The student loan bill is a plot by the Tinubu led FG t to stop funding tertiary education in Nigeria leading to the end all education subsidy. Who do you think are the final beneficiaries of these moves, same criminals who will end up looting the funds meant to fund the tertiary education.

What exactly is the role of the Nigerian FG if they relinquish every responsibility to the masses? What sacrifice has the political class made in all these mess? Have their allowances being reduced? Any efforts at stopping the lootings?

All Tinubu has done is to transfer responsibilities to the already suffering Nigerian Masses to ensure there is enough for him and his goons that supported him into office

Oil dey ur head. People hailing tinubu are ignorant and easy to fool. Wat tinubu has done is the implementation of imf/ world bank reforms which will lead to serious inflation, reduction of purchasing power and improvisation of the masses

1. By allowing a free float, the question is who leads in determining the dollar price of naira. Cbn or aboki fx. Of course where you have dollar shortage, high demand, all these talk of of demand and supply, free float will be determined by the black market

2. B4 now import duties are based on cbn rate of 460. With free float the basis of calculating duties will be 750 and above. It means all price of all imported goods will rise.....inflation

3. Fuel import and subsidy by nnpc is also based on
Cbn rate of 460. With free float it's going to be 750. Price of fuel will rise further....inflation

4. Without functioning refinery, with Nigeria unable to meet its opec quota, dollar inflow will be low while demand will increase, resulting in dollar hitting 1000. Resulting in inflation






3. I

lailo:

Then why didn't ur GEJ and other former presidents use same simple economics to better our lots since?

Bross no worry shey you dey buy petrol with your money tonight

KingOfIsoko1:
Nothing to applaud here,

It’s simple economics

Mumu man...did anyone have the balls to do it before now.

SLOVFO:


The past past presidents didn't do it because they understood the risks involved and didn't want any of it. The Nigerian economy is very unpredictable because of sabotage by citizens. We have massive oil theft going on, the petrol subsidy was alleged to be misused by those that were never apprehended and prosecuted. If the Naira is allowed to float freely there is a possibility that powerful Nigerians could find a way to manipulate the market and cause the Naira to free fall.

Call a spade a spade. For how long are we going to keep cowering because some powerful men can do and undo? From generation to generation?

He that removed it, I am sure knew about all this problems, loopholes and will tackle it with time. We can't keep succumbing to what's not healthy simply coz we feel some persons can do and undo na.

No one is above the law, with time this quote will become a reality even in Nigeria as we see and hear of it in Abroad

KingOfIsoko1:
Nothing to applaud here,

It’s simple economics

Painment. If it was Pandora doings you would see million reasons to applaud. Kontinu