Soludo - Nigeria To Face Harsh Economic Times

The Former Governor of Central Bank of Nigeria (CBN), Prof. Charles Soludo, has warned the managers of the Nigerian economy to prepare for stiff economic times.

Soludo gave the charge during the 14th Annual Conference of the Nigerian Association of Industrial Pharmacists (NAIP) explained that there were grave uncertainties and risks, with threats of another global recession.

He explained that according to the World Bank and the International Monetary Fund (IMF), the world's economy is entering a dangerous phase with a darkening outlook.

"This is only a probability not that it is inevitable but they are only saying that if the world fails to do something now, we will probably end up that way. I just hope that the major industrial countries of the world especially the G20 will hasten up coordinate their resources to make sure that the world does not go into another recession. It will be a terrible thing if the world gets into that again.

According to him, Nigeria is not an island, stressing that if the world goes into recession it would definitely affect oil prices. "If oil prices come down, the economy comes down. It just tells us that we have to be prepared and strategise for alternative responses, should it happen," he stressed.

"We are also in a world in which the old order is fast disintegrating, and there is a rapid structural rebalancing of economic power away from the Euro-American beltway to the Asia-Pacific and emerging markets," he said.

He said the rebalancing of economic power would inevitably entail a rebalancing of geo-political and perhaps even military power.

"I see a world economy in the near future with three dominant reserve currencies (US$, Euro and Chinese Yuan/Renminbi) with all the instabilities it would entail and a world economy with increasing turbulence where only those who are constantly ahead of the curve will continue to prosper," he added.

He noted that the global pharmaceutical industry is an oligopolistic $900 billion market, consolidated mainly in the US, Europe and with the Asia-Pacific as the new frontiers and dominated by 15 global conglomerates.

He pointed out that Nigeria has neither a comparative nor a competitive advantage in pharmaceuticals, saying that to deliberately create a competitive advantage for the industry would require serious strategising and efforts. He stated that on cost considerations, Nigerian firms cannot compete

In his words, "The risk-adjusted rate of return on investment in the industry is comparatively very low. It is not surprising that the global majors in the industry are not pouring in capital."

He said the pharmaceutical sector estimated at about $1, which is less than 0.5 per cent of the country's Gross Domestic Product (GDP), represents the size of a medium-sized pharmaceutical company abroad and said that the share of Nigeria's pharmaceutical industry in the global industry was basically zero.

"Local manufacturers have been consistently losing market shares in the local market, let alone being competitive in the international market. I understand that to date, none of the pharmaceutical companies in Nigeria is WHO-certified," he said.

He said the fate of the pharmaceutical industry was tied to the Nigeria paradox: a rich country with poor firms and poor people. He added that the global economy was decoupling and recoupling in a manner no one foresaw a decade ago, nor does anyone know exactly what the future portends.

"Two things are however certain: only the rugged and dynamically self-regenerating economies will continue to emerge winners and the future belongs to societies with cutting edge labour skills and technology. Nigeria has all the potentials to be great, but its self-inflicted chains hold it down," he said.

"If you adjust for the outsourced production to foreign firms, the 100 or so largely small and fragmented companies in the industry account for about 20 per cent of domestic drug consumption. It is a struggling industry," he added.

He said Nigeria, one of the world's fastest growing populations, evidently has a potential huge domestic demand that can support a vibrant pharmaceutical industry.


"Translating potentials into reality is yet another matter. With pervasive poverty and extreme inequality, only a small percentage of the population can afford quality health care and quality drugs," he said.

Also speaking at the event, the National Chairman, NAIP, Mr. Lolu Ojo, said the association was not satisfied with its current position and had at various fora highlighted the need for the Federal Government to pay attention to the development and growth of the pharmaceutical sector.

"We are determined to continue to press for this attention until our goals are achieved. This conference, with the theme: Improving the pharmaceutical sector as a catalyst for national development is part of the efforts exerted in this direction," he said.

http://allafrica.com/stories/201110041329.html

Worldwide consumption is falling including the demand for oil.

This should have been forseen and factor into future budgets.

Sun of god:

Worldwide consumption is falling including the demand for oil.

This should have been forseen and factor into future budgets.

Worldwide demand will fall even more drasically in the near future when electric vehicles replace cars relying on fossil feul. I suggest Nigerians do basic research to see that commercial production of electric cars in the West is now a well supported inevitability. The electric car will replace fossil fuel cars same as lcd TV has replaced CRT TV. Alas, while our top leaders are reactionary mediocrities, we can always bank on Nigeria lagging behind as far as the notion of responsive and visionary leadership that plans ahead.

Also add the fact that the US/West seemed to have gained control of Libyan oil fields.

Therefore demand for our oil is bound to drop once they up production levels in Libya.

There is no more 'Ghaddafi' to do 'Guy Man' with them and drip feed the oil in the most beneficial manner to the country.

I think the powers that be dont want to unleash the electric cars yet even though the technology is there.

i hope he contest for president in 2015.

Gbawe:


Worldwide demand will fall even more drasically in the near future when electric vehicles replace cars relying on fossil feul. I suggest Nigerians do basic research to see that commercial production of electric cars in the West is now a well supported inevitability. The electric car will replace fossil fuel cars same as lcd TV has replaced CRT TV. Alas, while our top leaders are reactionary mediocrities, we can always bank on Nigeria lagging behind as far as the notion of responsive and visionary leadership that plans ahead.

Isn't feasible bro. Electric cars require massive subsidies from the government to be competitive. Also I don't think that the batteries have a great lifetime. Cannot remember how frequently you have to replace. . . on the order of 5-10 years?

According to economic reports, Nigeria is not longer heavily DEPENDENT on Oil for it's wages, so NO PROBLEM!

We need to start manufacturing and stop importing so much. Once the power is 24 7 Nigeria's economy can grow +15%

ekt_bear:

Isn't feasible bro. Electric cars require massive subsidies from the government to be competitive. Also I don't think that the batteries have a great lifetime. Cannot remember how frequently you have to replace. . . on the order of 5-10 years?

Man mi, what are you talking about? Currently browsing on a tablet and about to catch a flight so cannot bounce around too much but will supply more info later. I am afraid you are grossly misinformed. Government subsidy doesn't come into this because most major manufacturers already have commercial electric car models that retail at around the cost of normal cars!!!! In fact, because of the huge strides made in the sector, the British Government is directing that developers build new homes with charging points for electric cars. I don't know about America but I can tell you that electric cars will be the norm in Europe very soon. Do some basic research see for yourself. Citreon and other manufacturers already have electric cars models available commercially. Major manufacturers are all jumping on board and I see electric cars becoming standard as technology improves.

Isn't cost effective where I live.

Was on the market in 2007 for a car. Ended up buying non-electric. Would have cost me 3k-4k more, even with the subsidy and tax break to buy the electric.

Who knows, maybe the dynamics in the UK are different

GEJ should change sanusi before he criples our economy with his mujahadeen policies!

GOD forbid

ekt_bear:

Isn't feasible bro. Electric cars require massive subsidies from the government to be competitive. Also I don't think that the batteries have a great lifetime. Cannot remember how frequently you have to replace. . . on the order of 5-10 years?

if you live in the western europe the you will not say this honestly.
in sweden for instance, the public transport bus is powered by ethanol. in the 60s nd 70s who will ever believed that there will be anything to power the train except the coal? i wonder what will happen to naija if the demand for our crude is no longer useful to the world

@ currently browsing on my tablet about to board a flight! Lol you have killed me you just made my morning.

I pray nigeria economy will nt fall beyond control o

^^^ Continue praying. The fact is we are not insulated from a global recession because of our oil.

M M M:

GOD forbid

Nigeria better get ahead of the curve or else "God will not forbid".

I reject it IJN

Hey Journalist, you mean our pharmaceutical sector is worth only $1? Who wrote that article?

This is simple international economics Soludo is trying to lecture us about.

How can you get 95% of foreign exchange through oil, you supply to foreign buyers and expect your economy to be fundamentally strong?

How can a country of about 200million people generate 5000 megawatts of electricity and expect the manufacturing industry to be viable and competitive? South Africa, a country of about 45million people generates about 50,000 megawatts of electricity.

When the recession hits again, there will be shortage of hard currencies(dollars, euros) because of less demand in oil. In turn, that will depreciate the naira further and make import more expensive, thereby causing inflation while wages remain stagnant or even slashed . Unfortunately, the Nigerian common man would be the one to suffer from lack of visionary on the part of our leaders.

@ekt_bear

Isn't cost effective where I live.

Was on the market in 2007 for a car. Ended up buying non-electric. Would have cost me 3k-4k more, even with the subsidy and tax break to buy the electric.
Who knows, maybe the dynamics in the UK are different

In France, they are putting out electric Taxis for rent. In Israel, by 2015, they have plans to install electric stations in all part of the country. In Denmark, the Israelis are undertaken the same projects there. Germany, the same, watch documentaries on DWTV and you will see for yourself, gigantic projects going on. In North Africa, they are building a massive solar panels to supply the whole western Europe and further eastern Europe and North African countries with electricity. The USA that buys 1/4 of Nigerian crude are given out incentives to entrepreneurs and pumping money into research. It is just a matter of little time before you start seeings these new technologies evolved and claim its place like never before. Who ever thought Computers and the Internet would evolved and spread so fast in its short history?

Man, if we continue to remain in our slumber, before we wake up, others will already be living in futuristic Age, while we are stuck in the Stone Age. Our leaders have to start diversifying or else expect an inevitable violent revolutions in many parts of Africa.

Nigeria will be better when there is less demand for oil. The superiority of man over other animals is the ability to adapt. Finally the government or the people who constitute the government will be forced to think of ways to solve the matters arising.

yet during ur tenure os cbn gov u said that nigeria banks were immuned to the global financial crisis as a result of ur bank consolidation.now see what our banks have turned into. some voodoo economist.

llbhuds:

if you live in the western europe the you will not say this honestly.
in sweden for instance, the public transport bus is powered by ethanol. in the 60s nd 70s who will  ever believed that there will be anything to power the train except the coal? i wonder what will happen to naija if the demand for our crude is no longer useful to the world

Indeed. I Think America must be addicted to oil and that is why those in America seem to have no clue about strides made in non-oil fuel for vehicles. Electric cars are already for sale and popular in Europe. Awareness is growing and technology is improving rapidly. Prices will tumble as well same as 42" Plasma TV's cost 12, 000 pounds new yet a 42" LCD's , superior to Plasma, now cost 300 pounds today !!!! Batteries for electric cars will become more efficient and it is predictable that , eventually , solar panels will be built into the cars itself to trickle charge batteries. The Plasma TV of 8 years ago were relatively crude compared to the abilities of the latest TV technology today i.e LED . The same will happen with electric cars. In fact we will all probably own one in ten years time. Nigerian leaders, naturally, will be the last to see the writing on the wall.


http://www.electriccarsite.co.uk/citroen-c-zero

Citroen C-Zero



So we now have three very similar electric cars on sale in the UK.  The Citroen C-Zero featured on these pages, the Peugeot iOn and the Mitsubishi i-MiEV.

The C-Zero is being developed in cooperation with the Mitsubishi Motor Corporation.  It looks a little like a big brother to the Citreon e'vie. 

The stats:

    The C-Zero has a range of about 90 mile
    Its lithium-ion batteries take six hours for a full recharge with an 80% charge possible in just half an hour.
    The C-Zero is a four-seater with a top speed around 80mph (130km/h)
    To compare these stats to other currently available UK electric vehicles have a look at our handy comparison table.

More info to be added,
Citroen C-Zero - Top Trumps Stats

Manufacturer: Citroen
Availability: Now
Top Speed: 81
Acceleration: 0-62mph (0-100km/hr) in 15 secs
Range (max): 93
Max Charge Time:
Price: 28990

Folks should note how aggressively Government and manufacturers are working to get folks into electric cars. The UK Government gives a lot of incentives i.e zero congestion charge fee, parking discount, zero tax fee , cash grant etc , etc. Below , Citreon is offering the C-Zero for 415 monthly. when prices begin to tumble , as more manufacturers become involved as we are seeing , it will be feasible to get an electric car for 99- 150 pounds a month. When the price is in that bracket , virtually everyone will own an electric car in the UK.


http://www.citroen.co.uk/new-cars/car-range/c-zero/c-zero-price/

Citroën C-Zero price: an all inclusive offer
The new Citroën C-Zero makes the electric car cost-effective and practical for you! Get congestion charge exempt, benefit from the electric car grant, and more.

Our mission was to bring you a truly affordable electric car. On a four year, 40,000 mile contract excluding the monthly payment will be £415 VAT, which includes:



- The electric car lease, including both the vehicle and its battery pack
- Vehicle Warranty: 2 years manufacturer warranty plus an additional 6 years of warranty provided by your UK Citroen Dealer (or a maximum of 80,000 miles)
- Drivetrain Warranty: 5 years manufacturer warranty plus an additional 3 years of warranty provided by your UK Citroen Dealer (or a maximum of 80,00 miles)
- Full servicing and full maintenance for four years and 40,000 miles

[b]Economical car benefits

An electric vehicle is one of the most economical car types and brings several economic benefits:

- Fuel cost
A C-Zero owner never needs to visit a fuel station again. The car can be simply plugged in and re-charged for as little as £1.50 for 93 miles. A similar sized petrol car would cost approximately £60 to fill with fuel. This means that the ‘fuel’ cost equals to 2 pence per mile approx. for a C-Zero versus 11 pence per mile approx. for a petrol car.

The UK Government wants to be at the forefront in terms of supporting the introduction of Electric vehicles. As a result the Government has created a range of financial incentives, including a number of tax breaks, to encourage the early uptake of this new technology:

- Vehicle Excise Duty (Road Tax) Exempt
Your electric car is tax exempt! Electric vehicles are exempt from annual Vehicle Excise Duty (Road Tax) - Plug-incar grant From January 2011 the Office for Low Emissions Vehicles (OLEV) will make a government grant available towards the cost of buying a new electric car. The electric car grant will be 25 per cent of the cost of the car, to a maximum of £5,000. This £5,000 grant will be available to all buyers of the new Citroën C-Zero.

- London Congestion Charge Exempt
As a fully electric vehicle C-Zero qualifies for a 100% discount on the London congestion charge. This discount is worth up to £2,000 per year (200 working days x £10 charge per day from Jan 2011)

- Electric car parking prices
Many London Boroughs and some towns offer significant discounts for electric vehicle parking. For example in the London Borough of Hackney a 100% price discount applies this would save a C-Zero driver £1,750 per year.

In addition for business users there are also further financial incentives to run an electric car such as Benefit in kind electric car tax exemption and 100% first year Capital Write Down Allowance.[/b]

Do you not realize that the ambition of every Nigerian leader has been to be immensely rich, own estates around the world and relish the joy ride of private jets and noisy siren convoys?

Naija is sinking.

Mr--Why:



In France, they are putting out electric Taxis for rent.  In Israel, by 2015, they have plans to install electric stations in all part of the country. In Denmark, the Israelis are undertaken the same projects there.  Germany, the same, watch documentaries on DWTV and you will see for yourself, gigantic projects going on. In North Africa, they are building a massive solar panels to supply the whole western Europe and further eastern Europe and North African countries with electricity.  The USA that buys 1/4 of Nigerian crude are given out incentives to entrepreneurs and pumping money into research.  It is just a matter of little time before you start seeings these new technologies evolved and claim its place like never before. Who ever thought Computers and the Internet would evolved and spread so fast in its short history?

Man, if we continue to remain in our slumber, before we wake up, others will already be living in futuristic Age, while we are stuck in the Stone Age.  Our leaders have to start diversifying or else expect an inevitable violent revolutions in many parts of Africa.

Thank you . I am surprised at how little Ekt-bear knows about the huge strides and development being made in the electric car sector throughout the World. Car manufacturers are currently all trying to have a presence in the sector so that they are not left too far behind !!!! Responsible Governments are doing their bit as well with all manner of incentives to attract folks to electric cars. Cutting down on fossil fuel emission is also an attractive bonus of electric cars. In the UK, where the pump price is one of the highest in the world, many are already very disillusioned with petrol/diesel cars to the extent that they have sold their vehicle or abandoned it for public transport !!!!!

No one is saying the demand for Nigerian oil will fall drastically today but the story could be very different in 6 - 10 years. As electric cars become more attractive and effective, i.e able to travel significantly farther on one charge, petrol and diesel vehicles will gradually lose popularity. You cannot even give anyone in Europe a CRT TV for free these days. They will refuse the gift because CRT TV's , for their size, weight and relative crudeness, are simply a hassle.

Some electric cars. Please go to website to see more cars if you wish.

http://www.bestelectriccars.co.uk/

Best Electric Cars UK 2011 Best Electric Car





Mitsubishi and Peugeot aren't exactly strangers to each other, the two are planning a new project together, the introduction of the Peugeot iOn in Frankfurt. If the iOn pictured above looks familiar, that's because it's simply the Mitsubishi iMiEV sporting Peugeot's lion badge in front.

With 64 horsepower and 132 lb-ft of instantaneously available torque, the iOn's range will be 130 km (approx. 80 miles) on a full charge. Plugging the car into a conventional 220V outlet will give it a full recharge in six hours. A fast-charger system will also be available, and Peugeot says that it will allow the urban runabout to be charged to 80% capacity in jst 30 minutes.




Tata's Electric Nano

This is an electric version of the world’s cheapest car, the Tata Nano, at the 80th Geneva Motor Show. The car is basically the same as The TATA Nano with the conventional engine – 600cc gasoline engine. The TATA’s Nano is the cheeapest car already with a great commercial success, but with conventional engine only. The electric version of the car should be no difference. Bring the electric cars to the masses !! Great.

There are some estimates for the range. They say that a fully charged battery pack will take you 160km with an acceleration of 0-60kph in under 10 seconds.

Tata is planning to put the Nano EV into production soon and sell it alongside their Indica Vista EV, which goes on sale in Europe later this year.



Mitsubishi i-MiEV Electric Car



Tesla Roadster Electric Car

The Tesla Roadster, achieves up to 300 miles per charge.With 0-60 mph in 3.9 seconds, the Roadster outperforms almost all sports cars in its class yet is six times as energy efficient as gas guzzlers and delivers 244 miles per charge. It also has a 45-minute QuickCharge capability.

The Model S, which carries its charger onboard, can be recharged from any 120V, 240V or 480V outlet, with the latter taking only 45 minutes. By recharging their car while they stop for a meal, drivers can go from LA to New York in approximately the same time as a gasoline car.

The floor-mounted battery pack is designed to be changed out in less time than it takes to fill a gas tank, allowing for the possibility of battery-pack swap stations. 

Tesla expects to start Model S production in late 2011. The company believes it is close to receiving $350 million in federal loans to build the Model S assembly plant in California from the Dept of Energy's Advanced Technology Vehicle Manufacturing Program.



Toyota Scion iQ Electric Car

In 2012 we should see available a new electric car from Toyota. This micro-subcompact car should be fun to drive, but only if you live in a city center, because the drive range is only about 50 miles. Toyota says the Scion iQ can only go 50 miles on a charge.

The price and the availability are to be announced, but should be available in US in 2012. It’s been tested by Toyota for more than a year already, and passed many security tests.

The competitors – Nissan Leaf does 73 miles per charge and Mitsubishi iMiev does 85 miles per charge.



Ford Focus EV

Ford has revealed its Focus electric vehicle. The first ever zero-emission production car to come from the global car giant. Aimed directly at the Nissan Leaf and Chevrolet Volt, the Ford Focus Electric was unveiled at the 2011 consumer electronics show in Las Vegas ahead of an appearance at the Detroit motor show.

As with most EVs, power for the Ford Focus Electric comes in the form of lithium-ion batteries that re-charge from a home charging station. The battery power allows the electric Focus to be whisked to an adequate 84mph.

Inside, the Ford Focus Electric benefits from technology unseen in the standard car. Most notable is the MyFord Mobile smartphone app. Developed in conjunction with Microsoft, the app allows Focus Electric owners to charge their car remotely and monitor its state of charge.

The Ford Focus Electric will be officially launched in late 2011, with deliveries in Europe and North America in 2013. The price of Ford's first EV has not yet been announced, but expect it to be priced to compete with the Nissan Leaf, which comes in at £23,350 after the UK government's £5000 grant.





Audi e-tron Electric Car

An all-wheel-drive, all-electric, high-end sports car. Audi is talking as if e-tron will become a production model by the end of 2012 that could sell for around $200,000. Styling, for the moment, is much like the R8 sports car without the carbon-fiber panels.

The engine behind Audi's latest eco-machine is powered by a 42.4 kilowatt-hour liquid-cooled lithium ion battery which supports four motors in each corner that produce 313 horsepower. With 3,319 pounds of torque, the car goes from 0 to 60 in 4.8 seconds, and 60 to 120 in 4.1 seconds -- a level of power almost unprecedented in an electric car. .

Luxury guzzlers, now being dumped like hot coal, may come back into fashion.


http://www.bestelectriccars.co.uk/




Liberty Range Rover Electric Car

Newly formed Liberty Electric Cars Ltd is investing £30 million in the re engineering of large luxury cars and 4 x 4s into emission-free, high performance electric vehicles.

The company will design and manufacture a unique electric drive-train platform to power a wide range of large vehicles, which will also have the flexibility to incorporate emerging technologies.

Annual vehicle production, which will include the world's first zero emission, electrically powered Range Rover, will be in tens of thousands and will create around 250 new technology and manufacturing jobs.

Barry Shrier, Liberty founder and CEO says; "The Liberty Electric Range Rover takes electric vehicle technology into a new sector, to large luxury cars that people aspire to drive, particularly in cities and urban environments where environmental controls are becoming increasingly tighter.

The Liberty Electric Range Rover will drive cleanly and quietly around roads and cities, free of tax, congestion and parking charges, making less environmental impact than even the smallest, most fuel efficient car, yet still offering the comfort and security of a luxury 4 x 4."





Fisker Karma Electric Car

The Fisker Karma is the first vehicle released by the Fisker Automotive Company. The Karma features the Q-Drive technology and is powered by a innovative petrol engine/electric motors combination;

Q-Drive is a series hybrid system meaning that the engine is mated with a generator to provide an electrical connection to the motors and also recharge the batteries and as such the electric motors are the only mechanical driving force connected to the wheels.

As a factory option the Karma can be fitted with a solar paneled roof not only to aid in the recharging of its Lithium-Ion batteries but also to aid the cabin climate control system. The solar roof is capable of a half kilowatt-hour per day and is estimated to provide up to 4 to 5 miles of additional range per week assuming continuously sunny days.

Maybe it is all the high petrol prices you guys face in Europe that make it feasible. But when I was carshopping myself a few years ago, it didn't make economic sense for me.

Anyway, YMMV I guess (no pun intended)

I m surprised this guy hasnt been charged for corrupt enrichment,yet,

Nigeria To Face Harsh Economic Times - Soludo

I and my family are well protected from the impact of the Harsh Economic Times    

ekt_bear:

Maybe it is all the high petrol prices you guys face in Europe that make it feasible. But when I was carshopping myself a few years ago, it didn't make economic sense for me.

Anyway, YMMV I guess (no pun intended)

Come on man, is it only high petrol prices? How about the environmental impact, technology challenges, economical advantages. How do u mean it did not make ANY economic sense to you? Please give us details including ###. Personally, this electric cars are the future, probably in the next 10 years, they'll be quite saturated.

manny4life:


Come on man, is it only high petrol prices? How about the environmental impact, technology challenges, economical advantages. How do u mean it did not make ANY economic sense to you? Please give us details including ###. Personally, this electric cars are the future, probably in the next 10 years, they'll be quite saturated.

Indeed. Today , electric cars make perfect sense and will make even more sense tomorrow . As you conclude, it is not about petrol price alone but about many other issues that have implications for a sustainable and healthy Planet.