docsholz:
I'll quote you in a few weeks, pls don't delete it

routed:


The priority of a sensible govt now, my brother, is to strengthen her Monetary and Fiscal policies, take control of his government, save all the deathly subsidies funds and role out an unprecedented social welfare and job target infrastructure expansions in the coming supplementary budget.

Please, read about the economy miracles of S/Korea, Chinese, Singapore and likes, the beginning was deadly and tougher than what you can imagine.

Curvinus:


The poster said, "you can't tax your way out of an economic crisis" to which you replied that his last comment was foolish.

Tianamen1:


Taxes are used to reduce the demand for foreign goods. This helps maintain the value of a country's currency. If taxes a put on imports, people will have less Naira to use to chase the Dollar, thus strengthening the Naira.

Electricity is a main hindrance to Nigeria's industrialization. For the past 15 years, Nigeria has been trying to implement a MYTO policy to gradually increase the unit price of electricity to meet market realities. This has been a complete failure because the Naira keeps losing value.



Nigerians always want to blame people or things for the collective failures of Nigerians. We will blame Emefiele. We will blame Buhari. The reality is that our consumption of foreign goods is why our Naira keeps losing value.

slymansun:



Just be there speaking grammar and be deceiving yourself with your biased and fixated mindset. By the time you realize what Tinubu is doing to your destiny, you will come back here and confess your folly in believing that Tinubu is working for your good.
Why is Tinubu increasing his salary by 114%?
What measures has he put in place to cushion the effect of his stupid policies so far on Nigerians?

Bringbackmandat:
nansens!
will be the worst president of this country.
#renewedsurfer

drlaykay:
This isn't "slightly".
Although we expect it to take time before the effect will be fully felt.
This daily updates isn't doing much.

datola:
It's not really how much Naira exchanges for Dollar that matters. What's important is everybody getting it at the same rate.

Strong Naira is not desirable for an economy that does not export much things.

Most ignorant Nigerians want to consume only imported goods and yet want strong Naira. Ko le work!

pquaver:


All this long lamentations because we no vote obi.. Get it into your thick skull.. Obi is theworst of them all..

Tianamen1:


It is challenging to boost productivity. Nigeria needs years of investment in basic education to catch up. We need to focus on reducing expenditures first.
Your last statement is highly foolish.

grandstar:
It would be nice if the CBN could reduce the red tape involved in purchasing forex from the banks or the alternative, compel banks to open up shops within to buy and sell forex over the counter, with a daily limit of perhaps $10,000 per trade. The present time it takes is simply too long to purchase

080bjaked:
Seun is laundering image. Whole 7naira drop nha slightly?

GreyLaw:


I thought you had even a faint idea of what you were saying, but didn't. That guy is correct: you cannot tax your way out of an economic crisis.

You proposed tax on phones because they aren't necessary. In which world are phones unnecessary. Nigerians use the worst or cars in the world. Nigerians cannot afford new cars. Yet people say Nigerians like effizy. People wey never chop belle full na them like effizzy?

CodeTemplar:
On the contrary, it would be disastrous to do that. Every tom dick and harry will go there to queue for dollar and when demand surpasses supply, you know what it means for prices.

The sensible strategy for turning a weakened Naira into economic fortune is production(I mean a local and robust one that's aggressively competitive). The weakened Naira was suppose to make imported goods more expensive and spur local production. Local production then creates excess supply against local demand until prices fall below foreign alternatives and that triggers a room for export.

But in all of these, local production is always a mirage because we tend to just rationalize on the pages of Nairaland and media and not create the conditions for it.

Didn't you read how bandits inditectly closed the second largest rice farm in Nigeria some weeks ago? What do you think will be the story of rice production and price locally? That's why I laugh at Tinubu's corporate man approach to economics. Squeeze the people and reward the inefficient leaders with jumbo pay. It won't work. Removing subsidy around planting season should have gone hand in hand with fertilizer delivery to strategic large farms in exchange for demands to expand and support smaller farmers in their trade associations. This can increase food production significantly enough to combat some hunger.
They are hounding the man who featured most prominently in anchor borrowers scheme instead of tapping his useful ideas before mildly persecuting him.
The demand for naira remains so high because people are being extorted for being productive. Agbero will extort a bus full of workers. A jobless man who should have a record of misdemeanor with police and be compelled to learn trades of face jail time is what is discouraging productive people and we are here rationalizing economic jargons.

Seun:
Hmmm... I need access to that window.

grandstar:


First and foremost, imports aren't bad for you. The so-called frivolous imports creates jobs and livelihoods for millions of Nigerians.

Next, a weak Naira isn't enough to spur exports. Dangote said something which was very insightful: "how can you expect agriculture to flourish when commercial loans are at 20%?"

The high cost of credit is the biggest deterrent to exportation. What exporters have always focused on are the low hanging fruits such as export of agricultural produce and minerals in their raw form, unprocessed.

The higher hanging fruits such as finished products are ignored. AMCON has been seizing lots of companies assets as they default on their loans. Several are blue chip companies and it is unfortunate. That's why many businessmen prefer to focus on trading which can service the loans they take.

Until lending rates go below 10%, don't expext much miracles except exports are led through Foreign Direct Investments. China used this approach in its early days when it opened up its economy in the late 1970s upwards to turn their economy around.

Massive FTZ will have to be built and foreign manufacturers canvased for to set up shop in these zones.

CodeTemplar:
i get the strong feeling you are trying too hard to win this discussion as a debate and in so doing, are bandying irrelevent facts.

Your first paragraph is flawed. Importation has employments it generates but local production generates additional jobs. Corruption also generates jobs too but fewer job and economic impact. We import powdered milk and rebag in industries but what about the additional jobs milk production from cow stage to powder stage entails? They are lost to foreigners. Import generates few jobs.

The second largest rice farm in Nigeria closed due to insecurity and not lack of low interest loans to farm or buy guns or employ escorts. You samples an excuse that's valid yet irrelant to the discussion.

The other paragraphs are explanation of paragraph two so let me also expand mine a little. Interest is.one factor but there are other factors that will negate low interest advantage in agriculture. Factors like insecurity, bad storage, glut, disease etc. The job of the govt goes beyond making soft policies and extents unto confronting real life challenges as well as lowering entry bar into critical sectors of economy.

Where is the low cost power for industries to produce like their western counterparts? You mean I should take low interest to generate wasteful power, pay private security, agberos, corrupt officials of govt and then magically still break even(make profit) because I used a low interest loan to start? That excuse is real but out of context here sir.

Tianamen1:


To add to your points, the way to get low cost power is through economies of scale. That is the more people can afford to pay for power, the cheaper it gets for everyone.

This is only possible if our exchange rate is managed properly.

grandstar:


First and foremost, imports aren't bad for you. The so-called frivolous imports creates jobs and livelihoods for millions of Nigerians.

Next, a weak Naira isn't enough to spur exports. Dangote said something which was very insightful: "how can you expect agriculture to flourish when commercial loans are at 20%?"

The high cost of credit is the biggest deterrent to exportation. What exporters have always focused on are the low hanging fruits such as export of agricultural produce and minerals in their raw form, unprocessed.

The higher hanging fruits such as finished products are ignored. AMCON has been seizing lots of companies assets as they default on their loans. Several are blue chip companies and it is unfortunate. That's why many businessmen prefer to focus on trading which can service the loans they take.

Until lending rates go below 10%, don't expext much miracles except exports are led through Foreign Direct Investments. China used this approach in its early days when it opened up its economy in the late 1970s upwards to turn their economy around.

Massive FTZ will have to be built and foreign manufacturers canvased for to set up shop in these zones.

CodeTemplar:
Oga economy of scale i know is different from you wrote o.
It simply means scaling up production volume to drive down unit cost of production. Low power cost is good, achievable and desired here, but scaling it isn't straightforward in a chaotic country as ours.

Tianamen1:


Right now, the Gencos have more production capacity than they are producing because the Discos reject power because the Discos are not able to generate enough revenue putting them in debt with the bulk electricity trading company (NBET- I believe they act as the middleman between the Gencos and the Discos)

If Nigerians could pay market rates for power, more investments would flood into the Generating space, scaling up production and thus driving down the unit cost of power production.

CodeTemplar:
You demonstrated valid knowledge and facts.

drlaykay:

Don't let me continue to kindle you with attention. I will only advise that you work hard and be successful, Many years later come back here and thank me when you become a better person. Again let me remind you, not everyone is a lowlife.

Tianamen1:


Taxes are used to reduce the demand for foreign goods. This helps maintain the value of a country's currency. If taxes a put on imports, people will have less Naira to use to chase the Dollar, thus strengthening the Naira.

Electricity is a main hindrance to Nigeria's industrialization. For the past 15 years, Nigeria has been trying to implement a MYTO policy to gradually increase the unit price of electricity to meet market realities. This has been a complete failure because the Naira keeps losing value.



Nigerians always want to blame people or things for the collective failures of Nigerians. We will blame Emefiele. We will blame Buhari. The reality is that our consumption of foreign goods is why our Naira keeps losing value.

TheGoodJoe:


Yes, blame the impoverished people and the lack of genuine investments, with government looting like money is running out of fashion.

Instead of critiquing the likes of Emiefele, that has robbed millions of Nigerians, blame those that were robbed.

Without genuine investments to boost local production, you can't produce.

Soon you will blame Nigerians for using imported petrol with no working refineries.

Tianamen1:


I have loved ones in Nigeria, and I'm deeply troubled by the current events. Tinubu messed up big time by removing subsidies the way he did. I believe this is the main reason for the current problems. Emefiele has his faults, but I don't think his actions are the main issues.

A proper taxation policy will disproportionately affect the rich like Emefiele, so I feel taxation will aid in sanitising Nigeria.
Genuine Investors will not come to Nigeria without electricity, security, and a disciplined workforce.

Stay blessed.

TheGoodJoe:


The only solution is genuine investments to boost production. Nothing cosmetic will work and fix the system.

Government needs to start spending genuinely on the people to make things work.

And Emiefele destroyed a lot. The looting is unprecedented and must affect the economy negatively.