@ IbXavier,

Your right up is totally silly. VISA/MASTERSCARD etc are international cards and everyone has the right to spend their cash how they want and where they want.

You need a little education and please stop writing until you upgrade yourself.

Abbycite:



Yeah.....He made a contribution but certainly not intelligent.......but u wont notice, 'cos u are not....

typical Nigerian, all noise with nothing to offer.
Bye.

Atmmachine:
Bullshit.
I repeat again, Bullshit.

Banning the use of ATM cards abroad ain't the solution to Naira's problem.
You can't send Western union out from Nigeria to other countries, when Nigerians abroad get low on cash and decides to steal, Una go say them dey bring us bad name.
Another bullshit.
Who are you gonna deceive with that pile of steaming shiit you just wrote.
I have a degree in Marketing.
You're making Nigerians look uneducated.
Have you heard of Pegged Exchange Rate ??
It's a type of Exchange Rate regime where a currency's value is fixed against either the value of another single currency.
In a fixed exchange-rate system, a country’s central bank typically uses an open market mechanism and is committed at all times to buy and/or sell its currency at a fixed price in order to maintain its pegged ratio and, hence, the stable value of its currency in relation to the reference to which it is pegged. The central bank provides the assets and/or the foreign currency or currencies which are needed in order to finance any payments imbalances.
The last large economy to use a fixed exchange rate system was the People's Republic of China which, in July 2005, adopted a slightly more flexible exchange rate system called a managed exchange rate. The European Exchange Rate Mechanism is also used on a temporary basis to establish a final conversion rate against the Euro (€) from the local currencies of countries joining the Eurozone.
Jamaica, United kingdom and the United States of America also used the method.

I wish i can see you face to face so i can seize your degree and send your ass back to primary school

Quite respectfully, you haven't said anything other than bashing the OP. China and EU are heavy export -based economies thereby earning huge Forex so much that both of their currencies are vying to replace the US dollar as international currency amongst their other strengths.

Just say the ban may affect your business interests, we will understand

Kingbilo:


You think people don't understand the economics?

They do. Right now my siblings are STRANDED at school because of this scheme. You think people are considering economics lol

The measures are only sensible if you don't consider those Nigerians in diaspora as citizens of this country.

For some working Nigerians in diaspora the solution is simple, they will stop remitting funds they usually send home in order to protect themselves.. Government has forgotten that's also a huge part of revenue entering this country. In the end the so called solution will be pointless..

Nigerians can't even do business with people outside this country again.. It's not as if we produce anything..

There are many other ways to solve this problem which don't involve putting pressure squarely on the Nigerian people.

Have you heard of form A sir...ask your bank. Its specifically for paying school fess abroad and isn't banned so far you can provide accompanying documentation for their school

YomiYarzo:
Well your illustration looks like a short sighted view of the situation
every Nigerian is at liberty to transact legitimate business anywhere in the world or pursue education, your analysis makes it look like
opting for foreign education contributes to this issue.
With all the monies budgeted for and allocated to both federal and states universities there is no excuse for Nigerian universities not to be the best in africa attracting interest from foreign students and providing a source of revenue for the country.
The Naira/Forex issue is indeed a complex one requiring a practical solutions from industry experts
lets look at CBN policies today.
My opinion is these policies bites hard on the masses, why should should Nigerian be made to suffer this much,
Am not a finance expert neither am i an economics expert but a concerned Nigerian simply speaking from the impact of the CBN and it's money polices. Today Banks can no longer accept dollar deposits, you cannot use your ATM abroad for international transactions, banks don't have BTA to give to those travelling, i cannot send money in dollar out of the country, i cannot decide to open a domiciliary account and transfer the dollar equivalent from my Naira account. the general trend is i have to go to the black market of i need Forex for a legitimate business

CBN on one hand has been promoting cashless policy and on the other hand fueling the growth of a cash based parallel (Black) market which i find hard to understand

Some questions i need answers to;
- Why do we need the parallel market? it is clear that this market is not as regulated as the banking industry. i can buy dollars from an 'aboki' on the road side as long as am ready to part with as much as 262 Naira to a dollar undocumented today.
- Also is this market not an avenue to launder stole public fund?
- A 50,000 naira paycheck in Jan.2015 carries much more value that the same pay check in in December 2015 and considering the fact up to 50% of what is required in the average home is imported from shoes to clothes, electronics and in some cases food and sold to Nigerian at parallel market rate dollar conversion, is this not crises in the making?
- If the banks do not accept dollar deposit, and cannot give dollars for legitimate business and personal transactions, forcing individuals and business to result to the black market, are the Banks not failing to carry if primary function as an organization? Is CBN not encouraging illegal undocumented transactions by allowing this market?
- Why is it that CBN policies is further creating a panic about dollar scarcity which directly benefits the black market. Banks don't have Forex yet parallel market has got loads to sell

Am of the opinion that CBN policies right now should be enabling Nigerian banks to handle all legitimate personal and business transactions requiring foreign currencies. I think we should be seeing policies like a complete closure of the Parallel (black) market and all other illegitimate Forex source, while all legitimate transactions should go to the bank. This will immediate reduce the pressure on dollars:
- As people hoarding dollars at home right now would be able to dump them in the bank
- Dollars becomes available in the banks for legitimate personal and business transactions
- The arbitrary black market rate will no longer be there as banks will have better rates even with commission charged

Also right now CBN should be educating the public with statistics like
- Weekly/monthly Forex demand/consumption for legitimate personal and business transactions
- How it plans to strengthen the Naira over the next 6 months
- How the economy moves for dependent of foreign products to strengthening local production and export of local produce


Experts in the House please kindly share your views on all these Naira/Forex brouhaha

Guy.......u are d man....
The policy is zigzag in nature......there is no way u can justify d adverse effect of d policy

This post is just bullshit. Is it only schooling that ATMs are used for? What of thousands of Nigerian that depend legitimately on the internet for living? I am a web designer and this useless policy has greatly affected how we get paid tools for our work online. I intended adding mini importation by January, but now, it can't be done.
And if going to schools abroad make us lose money, according to your lame and shallow analysis, then let the govt do something on regulating it, not to ban it outrightly.
Do some of us even know we are in a digital age at all?

lordmayor4:



Sorry but you lost it

Can you prove me wrong and come with counter information.
Please, please,

you mean wrong points for un educated Nigerians

Vikings007:
Nigerians re super quick in condemning intelligent contributions.

The OP made valuable points, can we see Yours? Oga "economist"

Mcowubaba:
This is Crap..
There are other ways to control nd stablise the Economy nd naira, than banning naira ATM, restricting daily purchase nd withdrawal...
This sh!t is affecting me nd millions of other Nigerians...

Everybody has the right to any type of Education he/she can avoid
Everybody has the right to purchase whatever type of goods nd services he/she desire (provided it is legal)
Na by force to buy laptop for naija
Na by force to go sch for naija

Come to think of it, do u knw it is easier to gain admission to study ur preferred course abroad than in Nigeria, our Education system is in a mess...(U go choose medicine nd surgery for naija university, dem fit give u Agric extension )

Don't restrict people from aspiring to greater heights nd yes greener pastures.....
I am not an economist, but I believe that there are other ways to improve the naira nd economy..

Good points you made brother, but these are just part of the decays of the previous successive governments, but we must all be ready to make it work now. This is one of the numerous sacrifices we have to make as a people of common goal. This policy affected me personally alot no doubt, but if this what I need to endure in order to make the economy great again, then I have no choice than to go by it.

Economics as a subject is based on a lot of theories.. These theories are churned out backed up by assumptions..nigeria is trying to practicalize a theory in economics which cant work because the assumptions underlying it is not practicable in nigeria! Cbn governor is assuming other things are being equal but it isnt.. Pls there are better ways to go with this naira dollar brouhaha than this! Nigeria had two oil booms and they r complaining of depleted foreign reserves! All the money that has been tiffed years past is enough to foot 2016 bugdet! Cbn! Bring back our atm cards!

solibayo:


Quite respectfully, you haven't said anything other than bashing the OP. China and EU are heavy export -based economies thereby earning huge Forex so much that both of their currencies are vying to replace the US dollar as international currency amongst their other strengths.

Just say the ban may affect your business interests, we will understand

What about Jamaica, what do they import or export ?? Yet their currency is very strong

I have only one question for the OP..

How does South Africa, Ghana and ever other African country manage this situation?

It's like you were sponsored by bihari. Yeah, some nice points though but must Nigerians outside suffer for the many sins of politicians who still walk about freely? The fall in naira is due to corruption which had kept eating deep until now and it's effects are just surfacing coupled with the fact that oil prices are dropping and leaving our dear Nigeria in a shameful state.

Holyman3:
I have only one question for the OP..

How does South Africa, Ghana and ever other African country manage this situation?

No mind am.

According to the OP

" This literally mean , we are giving out without receiving except from petrol which is our major source of income "

This theory of yours is arrant nonsense.

Are you aware that Nigeria received $21 billion dollars in remittances in 2015?




http://www.premiumtimesng.com/news/top-news/195633-remittance-nigerians-in-diaspora-sent-home-21-billion-in-2015.html

IbXavier:
By : Apena Ibrahim Adeboye

This is a personal analysis which is subjected to empirically backed criticism.

As at 7th of December 2015, Naira to dollar stood at ₦250 to $1, which was the highest fall of Naira to Dollar in history (Reference 1). As at today 28th of December, 2015, Naira to dollar stands at ₦197 to $1 (Reference 2), this shows there is an improvement.

All the same, have you ever asked why the value of Naira keeps dropping its value, Have you ever imagine if exchange rate of naira to dollar stands at ₦500 to $1, Did you make research on why use of NAIRA ATM abroad was ban ? (Kindly read reference 4 to know why). All these will help us understand the effect of the Ban of Naira ATM usage outside Nigeria.

It’s no news that some Nigerians in Diaspora are working towards protesting against the ban of Naira ATM abroad, especially those studying. With due respect, it's shameful that some Students who schooled or are schooling outside the country, especially those who offered or are offering business related courses do not understand why the inability to use Naira ATM outside Nigeria will be better off in the long run. Let’s kindly visit Economics as a course before complaining, though I am not an economics expert but I will apply the fair knowledge I have by the grace of God.

Let’s start with a simple analysis, this analysis will focus mainly on those schooling outside Nigeria;

SCENARIO ONE
Schooling Abroad and its effect on Naira. (Nigerians Schooling in Ghana as a case study)
The case study below is used for about 200,000 Nigerians schooling in Ghana, according to statistical fact (Reference 3)
Scenario Effect on Naira & Nigeria economy
1. Average School fees for a student per year ₦400,000_ Naira Out , Nothing In ,
2. Accommodation for about ₦100,000_ Naira Out , Nothing In,
3. Living expense of about ₦300,000 _ Naira Out , Nothing In,
Total expenses incurred by a Foreign trained Nigerian annually _₦800,000 Out, Nothing In.

Cost for 200,000 students per year ₦160,000,000,000 (₦160B)
Total expenses in 4 years ₦640,000,000,000 Out, Nothing In

Note:
Living expenses of 200,000 foreign trained in Ghana alone for a year is about ₦60,000,000,000 (₦60B)

Over 200,000 Nigerian were schooling in Ghana as at 2013.
(Reference 3)
SCENARIO TWO
1. Mr Ade imports phone to sell in Nigeria with about ₦100,000 each.
2. A student who schools in Ghana left this phone to buy the same worth of phone in Ghana.
EFFECT OF SCENARIO TWO
1. ₦100,000 gone out of Nigeria, ₦100,000 worth of Phone Imported (balanced)
2. ₦100,000 worth of phone ignored by student, yet such student took another ₦100,000 out of Nigeria to buy same phone in Ghana without any return to Nigeria. This means Nigeria has lost 100,000 to the Ghana Market despite having such product in Nigeria. Funny enough, if such phone is stolen before such student gets back to Nigeria, it means such student has made Ghana economy ₦100,000 better.

In one semester, an average Nigerian Schooling in Ghana must have spent about 800,000 of Nigerian currency in Ghana. Assuming we have about 200,000 Nigerians schooling in Ghana, it means about ₦160B is spent in Ghana education system within a year without any monetary return for Nigeria. Assuming this 160B is invested in Business , it would have been better because we would get goods in return for such chunk of money going out of the country , bear in mind that there are a lot of Nigerian students scattered around the world, Just imagine how much schooling abroad alone is taking out of Nigerian economy annually, imagine how much money spent on luxurious items , Health and so on in Ghana and other countries, Trillions of Naira. Have you imagined what it would look like if these monies are invested in our educational sector? That by the way.

After schooling abroad, some of the foreign trained do not even think of coming back to create jobs in the country, they rather think of coming back to earn from a white collar job, having used their certificate to bully home trained Nigerian Graduates. Does this really justify the huge amount spent on education outside Nigeria, Though, it’s a fact that knowledge must have been acquired and one can spend as much as possible to acquire knowledge.

As an average Nigerian Schooling outside the country, it’s normal to feel very bad when such news is broken (Ban of Naira ATM abroad). However, it will be a big disgrace to jump up to protest over it without understanding what is being protested about.
The question is simple ,
1. Do we prefer the value of naira to keep falling while we have access to spend naira anyhow outside Nigeria or we reduce the amount of naira going out and maintain a valuable naira.
2. The amount of Nigerians in diaspora are not up to 20% of those in Nigeria, thus , do we suffer those in Nigeria for the happiness of those in Diaspora or those who travel out to flex on vacation.

Imagine you wake up one day to see the exchange rate of naira to dollar standing at 500 Naira to 1 Dollar, Do you think it will be easy for parents to pay fees abroad.

SUGGESTIONS
1. Students schooling or intending to school abroad should rather think of how government can help in providing a means for students to transfer their school fees and money for upkeep. Though, this should be regulated, but not to protest over the Ban of ATM usage Abroad. NANS Excos and other student activist abroad should get to work on how to get alternatives for students to get money abroad. Who knows , students might be allowed to use Naira ATM abroad but lets consider the effect.
2. Most traveling outside Nigeria , especially within African countries should stop the habit of taking naira out to buy what can be bought in Nigeria , eg Phones , Laptop e.t.c
3. This is also the best avenue to challenge the government to work on the educational sector of Nigeria so that Nigerians will stop wasting chunk of money on schooling outside. In Ghana alone, Nigerians spends about 160,000,000,000 on education. The question is ;
a. How many people come to Nigeria to study or spend such money?
b. How many countries appreciate the monies spent by Nigerians in their economy.
Thus, if government won’t allow free usage of Naira ATM for students, then, they should provide alternatives or better our education system by scrapping JAMB and POST JAMB.

RECOMMENDATIONS TO LEARNED COLLEAGUES
Please let's apply what we learnt in school. When we spend more of our currency to import without Export, the value of Naira will keep dropping. So let’s plead to government to rather work on a policy to support fees payment and up keep money for students schooling abroad, also for business men. Also why are we not thinking of business we can do in abroad , afterwards , we send the little money you earn to Nigerian banks.

CONCLUSION
This literally mean , we are giving out without receiving except from petrol which is our major source of income , NB , price of Petrol is also dropping. If you give out without receiving you must reduce in whatever you have. This is one of the reasons why naira is dropping value. Therefore, ban of Naira ATM use outside Nigeria is a good policy. I don’t care who the governor of Central Bank of Nigeria is but I salute him/her for this. At least , this Policy should be maintained till Naira can be equivalent to about ₦100 – $1 dollars. If buhari Claims to take ₦1-$1, Do we think he will just perform Miracles, these are some of the ways to achieve it. Lets think of what to do so that others will come and spend or invest in our economy, However, there should be a way out for those who genuinely need to use the ATM outside Nigeria (Businessmen, students and likes ) Surely Politicians and those who pay visit to other countries Should be totally BANNED from use of Naira ATM abroad, amount taken out of Nigeria should be regulated.

This write up is not in any way to support any political party but for the betterment of Nigeria. Change and betterment will not occur if we won’t pay the price, ABOVE ALL, THIS IS A TEMPORARY MEASURE FOR THE SAKE OF STABILIZING THINGS. It is mainly geared towards those who spend naira on luxurious stuffs abroad.

Thank you for reading, comments to enlighten me are welcomed.

Reference
Referece 1 https://www.thecable.ng/finally-naira-falls-to-dreaded-2501

Reference 2 http://www.cenbank.org/rates/ExchRateByCurrency.asp

Reference 3 http://www.vanguardngr.com/…/nigerian-students-spend-n100b…/

Reference 4 http://thecitizenng.com/…/banks-blame-atm-card-ban-abroad-…/

Refeerence 5 http://ynaija.com/why-we-cant-reverse-ban-on-atm-card-use-…/

Form A ends the school fees issue.....you can still pay your child's school fees so far you can proof they are actually in a a school abroad

Talk to your bank about form A my people's

Nice well researched write up, nevertheless, don't expect a standing ovation, because wailers don't need long term solutions so as not to deprive them of a reason to wail.

As at 7th of December 2015, Naira to dollar stood at ₦250 to $1, which was the highest fall of Naira to Dollar in history (Reference 1). As at today 28th of December, 2015, Naira to dollar stands at ₦197 to $1 (Reference 2), this shows there is an improvement.

The way people lie without the fear of God, tufiakwa.

As of few minutes ago today (30/12/15), I was charged N274.+ to $1 on a transaction I did with my visa card.

YomiYarzo:
Well your illustration looks like a short sighted view of the situation
every Nigerian is at liberty to transact legitimate business anywhere in the world or pursue education, your analysis makes it look like
opting for foreign education contributes to this issue.
With all the monies budgeted for and allocated to both federal and states universities there is no excuse for Nigerian universities not to be the best in africa attracting interest from foreign students and providing a source of revenue for the country.
The Naira/Forex issue is indeed a complex one requiring a practical solutions from industry experts
lets look at CBN policies today.
My opinion is these policies bites hard on the masses, why should should Nigerian be made to suffer this much,
Am not a finance expert neither am i an economics expert but a concerned Nigerian simply speaking from the impact of the CBN and it's money polices. Today Banks can no longer accept dollar deposits, you cannot use your ATM abroad for international transactions, banks don't have BTA to give to those travelling, i cannot send money in dollar out of the country, i cannot decide to open a domiciliary account and transfer the dollar equivalent from my Naira account. the general trend is i have to go to the black market of i need Forex for a legitimate business

CBN on one hand has been promoting cashless policy and on the other hand fueling the growth of a cash based parallel (Black) market which i find hard to understand

Some questions i need answers to;
- Why do we need the parallel market? it is clear that this market is not as regulated as the banking industry. i can buy dollars from an 'aboki' on the road side as long as am ready to part with as much as 262 Naira to a dollar undocumented today.
- Also is this market not an avenue to launder stole public fund?
- A 50,000 naira paycheck in Jan.2015 carries much more value that the same pay check in in December 2015 and considering the fact up to 50% of what is required in the average home is imported from shoes to clothes, electronics and in some cases food and sold to Nigerian at parallel market rate dollar conversion, is this not crises in the making?
- If the banks do not accept dollar deposit, and cannot give dollars for legitimate business and personal transactions, forcing individuals and business to result to the black market, are the Banks not failing to carry if primary function as an organization? Is CBN not encouraging illegal undocumented transactions by allowing this market?
- Why is it that CBN policies is further creating a panic about dollar scarcity which directly benefits the black market. Banks don't have Forex yet parallel market has got loads to sell

Am of the opinion that CBN policies right now should be enabling Nigerian banks to handle all legitimate personal and business transactions requiring foreign currencies. I think we should be seeing policies like a complete closure of the Parallel (black) market and all other illegitimate Forex source, while all legitimate transactions should go to the bank. This will immediate reduce the pressure on dollars:
- As people hoarding dollars at home right now would be able to dump them in the bank
- Dollars becomes available in the banks for legitimate personal and business transactions
- The arbitrary black market rate will no longer be there as banks will have better rates even with commission charged

Also right now CBN should be educating the public with statistics like
- Weekly/monthly Forex demand/consumption for legitimate personal and business transactions
- How it plans to strengthen the Naira over the next 6 months
- How the economy moves for dependent of foreign products to strengthening local production and export of local produce


Experts in the House please kindly share your views on all these Naira/Forex brouhaha

God bless you real good for this submission..your intellectual prowess is amazing!

Atmmachine:


What about Jamaica, what do they import or export ?? Yet their currency is very strong

Jamaica earns huge Forex from tourism

solibayo:



Jamaica earns huge Forex from tourism

More than what Nigerian earns from oil ??

mradjoy:


Don't we have equally good private universities here, if the so called Gov't owned aren't good enough? I bet you some private universities here in Nigeria are far better than those universities there in Ghana and are even more cheaper than their Ghanaian counterpart.

Yes we have them, and they are full.

chinedu1nig:
I appreciate your prowess for making this basic analysis to some gullible Nigerians, " the most amusing part is even those in Nigeria criticize this policy and it got me wondering what crop of half baked self acclaimed intellects wee breed in Nigeria.. They all want miracle"....

This is what i posted earlier on my Facebook:

We will be far from rescuing our economy from impending disaster if we effortlessly embrace the economic policy of this incumbent government. It’s no time to throw tantrums, blame past government or concur to the directives of this present administration, the dwindling and sharp decline in the rate of oil per barrel that is projected to fall an all-time record low as $20 per barrel could be termed chaotic for an economy that largely breathes on this resource. The expected influx of Iranian oil by the first quarter of 2016 makes it a lot scarier. It’s time to go back to the basic, produce, manufacture, plant, harvest on what we have as a country blessed with unimaginable natural resources and consume, there is no time to diversify other than now, the ban on the use of naira debit card outside Nigeria is a welcome development considering the misuse, it will not only curtail excesses but also discourage the culture of frivolous spending. Policies are reviewable. No one has said this one is the best. I presume it’s a short term monetary policy to checkmate the stress the economy has received. It affects all, even the big industries. We all should join hands to look around for solutions.

My brother, your analysis are very accurate

I am an importer of goods from China, but I'm supporting this policy with all my heart. Anybody that is against this forex spending regulations is an economic saboteur.

Most Nigerians are blind and unwise, some are educated illiterates. A ban was initially placed on some 40+ items( incuding rice and veg.oil) to access forex officially. Some ill informed Nigerians and economic saboteurs protested the ban. I even read somewhere that MAN ( Manufacturers Association of Nigeria) Lagos Chapter was against the ban, and I was like WTF.

Do you know that the real beneficiaries of our lack of strict forex policy are the Indians and their Nigerian collaborators. Companies like Stallion group, Dana group, Church gate group, Promasidor, United foods. They import virtually all foods for our families. Something that can be easily sourced and processed here but they choose to import because of our stupidity and carelessness.

They devised another means of getting forex by sending some Mallams ( like the one that has 850 atm cards at Kano airport) to go to Dubai and Mumbai and use naira debit cards to withdraw the fund that they couldn't source officially again. That is what prompted the ban on Naira debit card withdrawal.

Nigeria will rise again.

Atmmachine:

More than what Nigerian earns from oil ??

Hello!!! The price of oil is falling and we've got no tangible forex savings which is why we are in this present quagmire; then previously we've intentionally devalued our currency on many occassions since the 80's

OP just in case u don't kn

Ofcourse, it is always the sycophants from that part of Nigeria that would rise up to the challenge of defending the indefendable.
I saw the author, read a few lines and left.
Who has time for oluwole economics?

IbXavier:
By : Apena Ibrahim Adeboye

This is a personal analysis which is subjected to empirically backed criticism.

As at 7th of December 2015, Naira to dollar stood at ₦250 to $1, which was the highest fall of Naira to Dollar in history (Reference 1). As at today 28th of December, 2015, Naira to dollar stands at ₦197 to $1 (Reference 2), this shows there is an improvement.

All the same, have you ever asked why the value of Naira keeps dropping its value, Have you ever imagine if exchange rate of naira to dollar stands at ₦500 to $1, Did you make research on why use of NAIRA ATM abroad was ban ? (Kindly read reference 4 to know why). All these will help us understand the effect of the Ban of Naira ATM usage outside Nigeria.

It’s no news that some Nigerians in Diaspora are working towards protesting against the ban of Naira ATM abroad, especially those studying. With due respect, it's shameful that some Students who schooled or are schooling outside the country, especially those who offered or are offering business related courses do not understand why the inability to use Naira ATM outside Nigeria will be better off in the long run. Let’s kindly visit Economics as a course before complaining, though I am not an economics expert but I will apply the fair knowledge I have by the grace of God.

Let’s start with a simple analysis, this analysis will focus mainly on those schooling outside Nigeria;

SCENARIO ONE
Schooling Abroad and its effect on Naira. (Nigerians Schooling in Ghana as a case study)
The case study below is used for about 200,000 Nigerians schooling in Ghana, according to statistical fact (Reference 3)
Scenario Effect on Naira & Nigeria economy
1. Average School fees for a student per year ₦400,000_ Naira Out , Nothing In ,
2. Accommodation for about ₦100,000_ Naira Out , Nothing In,
3. Living expense of about ₦300,000 _ Naira Out , Nothing In,
Total expenses incurred by a Foreign trained Nigerian annually _₦800,000 Out, Nothing In.

Cost for 200,000 students per year ₦160,000,000,000 (₦160B)
Total expenses in 4 years ₦640,000,000,000 Out, Nothing In

Note:
Living expenses of 200,000 foreign trained in Ghana alone for a year is about ₦60,000,000,000 (₦60B)

Over 200,000 Nigerian were schooling in Ghana as at 2013.
(Reference 3)
SCENARIO TWO
1. Mr Ade imports phone to sell in Nigeria with about ₦100,000 each.
2. A student who schools in Ghana left this phone to buy the same worth of phone in Ghana.
EFFECT OF SCENARIO TWO
1. ₦100,000 gone out of Nigeria, ₦100,000 worth of Phone Imported (balanced)
2. ₦100,000 worth of phone ignored by student, yet such student took another ₦100,000 out of Nigeria to buy same phone in Ghana without any return to Nigeria. This means Nigeria has lost 100,000 to the Ghana Market despite having such product in Nigeria. Funny enough, if such phone is stolen before such student gets back to Nigeria, it means such student has made Ghana economy ₦100,000 better.

In one semester, an average Nigerian Schooling in Ghana must have spent about 800,000 of Nigerian currency in Ghana. Assuming we have about 200,000 Nigerians schooling in Ghana, it means about ₦160B is spent in Ghana education system within a year without any monetary return for Nigeria. Assuming this 160B is invested in Business , it would have been better because we would get goods in return for such chunk of money going out of the country , bear in mind that there are a lot of Nigerian students scattered around the world, Just imagine how much schooling abroad alone is taking out of Nigerian economy annually, imagine how much money spent on luxurious items , Health and so on in Ghana and other countries, Trillions of Naira. Have you imagined what it would look like if these monies are invested in our educational sector? That by the way.

After schooling abroad, some of the foreign trained do not even think of coming back to create jobs in the country, they rather think of coming back to earn from a white collar job, having used their certificate to bully home trained Nigerian Graduates. Does this really justify the huge amount spent on education outside Nigeria, Though, it’s a fact that knowledge must have been acquired and one can spend as much as possible to acquire knowledge.

As an average Nigerian Schooling outside the country, it’s normal to feel very bad when such news is broken (Ban of Naira ATM abroad). However, it will be a big disgrace to jump up to protest over it without understanding what is being protested about.
The question is simple ,
1. Do we prefer the value of naira to keep falling while we have access to spend naira anyhow outside Nigeria or we reduce the amount of naira going out and maintain a valuable naira.
2. The amount of Nigerians in diaspora are not up to 20% of those in Nigeria, thus , do we suffer those in Nigeria for the happiness of those in Diaspora or those who travel out to flex on vacation.

Imagine you wake up one day to see the exchange rate of naira to dollar standing at 500 Naira to 1 Dollar, Do you think it will be easy for parents to pay fees abroad.

SUGGESTIONS
1. Students schooling or intending to school abroad should rather think of how government can help in providing a means for students to transfer their school fees and money for upkeep. Though, this should be regulated, but not to protest over the Ban of ATM usage Abroad. NANS Excos and other student activist abroad should get to work on how to get alternatives for students to get money abroad. Who knows , students might be allowed to use Naira ATM abroad but lets consider the effect.
2. Most traveling outside Nigeria , especially within African countries should stop the habit of taking naira out to buy what can be bought in Nigeria , eg Phones , Laptop e.t.c
3. This is also the best avenue to challenge the government to work on the educational sector of Nigeria so that Nigerians will stop wasting chunk of money on schooling outside. In Ghana alone, Nigerians spends about 160,000,000,000 on education. The question is ;
a. How many people come to Nigeria to study or spend such money?
b. How many countries appreciate the monies spent by Nigerians in their economy.
Thus, if government won’t allow free usage of Naira ATM for students, then, they should provide alternatives or better our education system by scrapping JAMB and POST JAMB.

RECOMMENDATIONS TO LEARNED COLLEAGUES
Please let's apply what we learnt in school. When we spend more of our currency to import without Export, the value of Naira will keep dropping. So let’s plead to government to rather work on a policy to support fees payment and up keep money for students schooling abroad, also for business men. Also why are we not thinking of business we can do in abroad , afterwards , we send the little money you earn to Nigerian banks.

CONCLUSION
This literally mean , we are giving out without receiving except from petrol which is our major source of income , NB , price of Petrol is also dropping. If you give out without receiving you must reduce in whatever you have. This is one of the reasons why naira is dropping value. Therefore, ban of Naira ATM use outside Nigeria is a good policy. I don’t care who the governor of Central Bank of Nigeria is but I salute him/her for this. At least , this Policy should be maintained till Naira can be equivalent to about ₦100 – $1 dollars. If buhari Claims to take ₦1-$1, Do we think he will just perform Miracles, these are some of the ways to achieve it. Lets think of what to do so that others will come and spend or invest in our economy, However, there should be a way out for those who genuinely need to use the ATM outside Nigeria (Businessmen, students and likes ) Surely Politicians and those who pay visit to other countries Should be totally BANNED from use of Naira ATM abroad, amount taken out of Nigeria should be regulated.

This write up is not in any way to support any political party but for the betterment of Nigeria. Change and betterment will not occur if we won’t pay the price, ABOVE ALL, THIS IS A TEMPORARY MEASURE FOR THE SAKE OF STABILIZING THINGS. It is mainly geared towards those who spend naira on luxurious stuffs abroad.

Thank you for reading, comments to enlighten me are welcomed.

Reference
Referece 1 https://www.thecable.ng/finally-naira-falls-to-dreaded-2501

Reference 2 http://www.cenbank.org/rates/ExchRateByCurrency.asp

Reference 3 http://www.vanguardngr.com/…/nigerian-students-spend-n100b…/

Reference 4 http://thecitizenng.com/…/banks-blame-atm-card-ban-abroad-…/

Refeerence 5 http://ynaija.com/why-we-cant-reverse-ban-on-atm-card-use-…/

You have written a s tete mentioned with no policy or system to back anyway you wrote what you think.I'm sorry to say it's Bull shyt

Atmmachine:
Bullshit.
I repeat again, Bullshit.

Banning the use of ATM cards abroad ain't the solution to Naira's problem.
You can't send Western union out from Nigeria to other countries, when Nigerians abroad get low on cash and decides to steal, Una go say them dey bring us bad name.
Another bullshit.
Who are you gonna deceive with that pile of steaming shiit you just wrote.
I have a degree in Marketing.
You're making Nigerians look uneducated.
Have you heard of Pegged Exchange Rate ??
It's a type of Exchange Rate regime where a currency's value is fixed against either the value of another single currency.
In a fixed exchange-rate system, a country’s central bank typically uses an open market mechanism and is committed at all times to buy and/or sell its currency at a fixed price in order to maintain its pegged ratio and, hence, the stable value of its currency in relation to the reference to which it is pegged. The central bank provides the assets and/or the foreign currency or currencies which are needed in order to finance any payments imbalances.
The last large economy to use a fixed exchange rate system was the People's Republic of China which, in July 2005, adopted a slightly more flexible exchange rate system called a managed exchange rate. The European Exchange Rate Mechanism is also used on a temporary basis to establish a final conversion rate against the Euro (€) from the local currencies of countries joining the Eurozone.
Jamaica, United kingdom and the United States of America also used the method.

I wish i can see you face to face so i can seize your degree and send your ass back to primary school

Oga u copied some of your lines here online. You don't understand what you wrote here. What the op wrote was very on point. Ur own analysis was just theory in international trade, which explains the type and determinants of exchange rate regime.

However, what is happening in the economy and CBN decision is a practical issue and a solution driven.
We import more and demand for dollars is on the high side. Reducing the demand for dollars will stre

Yanks101:
Ofcourse, it is always the sycophants from that part of Nigeria that would rise up to the challenge of defending the indefendable.
I saw the author, read a few lines and left.
Who has time for oluwole economics?

Thank U.imagine e comparing ammount spent in Ghana to our problem.I say palm wine bar economics

mradjoy:


Good points you made brother, but these are just part of the decays of the previous successive governments, but we must all be ready to make it work now. This is one of the numerous sacrifices we have to make as a people of common goal. This policy affected me personally alot no doubt, but if this what I need to endure in order to make the economy great again, then I have no choice than to go by it.

I am not here to start pointing fingers @ any politician or party. I don't give a hoot abt dem...

All I am saying is there are better ways of handling the Economy than all this harsh restrictions without any feasible alternative nd machinery...
If not for the deutsche blocked account stuff German schs use, I would have been in a serious deep sh!t..
Ma younger bro is in Germany, he had to transfer some cash to me to use for some transactions, because there were restriction to my account
in Nigeria..

But Canada, USA nd Uk don't have this blocked account principle for International students..nd this is making life very tuff for Nigerians...
People having hop for transfers from dia parents/guardians in Nigeria, were disappointed...
It is very terrible...
Nigerian Economic team are so annoying

IbXavier:
By : Apena Ibrahim Adeboye

This is a personal analysis which is subjected to empirically backed criticism.

As at 7th of December 2015, Naira to dollar stood at ₦250 to $1, which was the highest fall of Naira to Dollar in history (Reference 1). As at today 28th of December, 2015, Naira to dollar stands at ₦197 to $1 (Reference 2), this shows there is an improvement.

All the same, have you ever asked why the value of Naira keeps dropping its value, Have you ever imagine if exchange rate of naira to dollar stands at ₦500 to $1, Did you make research on why use of NAIRA ATM abroad was ban ? (Kindly read reference 4 to know why). All these will help us understand the effect of the Ban of Naira ATM usage outside Nigeria.

It’s no news that some Nigerians in Diaspora are working towards protesting against the ban of Naira ATM abroad, especially those studying. With due respect, it's shameful that some Students who schooled or are schooling outside the country, especially those who offered or are offering business related courses do not understand why the inability to use Naira ATM outside Nigeria will be better off in the long run. Let’s kindly visit Economics as a course before complaining, though I am not an economics expert but I will apply the fair knowledge I have by the grace of God.

Let’s start with a simple analysis, this analysis will focus mainly on those schooling outside Nigeria;

SCENARIO ONE
Schooling Abroad and its effect on Naira. (Nigerians Schooling in Ghana as a case study)
The case study below is used for about 200,000 Nigerians schooling in Ghana, according to statistical fact (Reference 3)
Scenario Effect on Naira & Nigeria economy
1. Average School fees for a student per year ₦400,000_ Naira Out , Nothing In ,
2. Accommodation for about ₦100,000_ Naira Out , Nothing In,
3. Living expense of about ₦300,000 _ Naira Out , Nothing In,
Total expenses incurred by a Foreign trained Nigerian annually _₦800,000 Out, Nothing In.

Cost for 200,000 students per year ₦160,000,000,000 (₦160B)
Total expenses in 4 years ₦640,000,000,000 Out, Nothing In

Note:
Living expenses of 200,000 foreign trained in Ghana alone for a year is about ₦60,000,000,000 (₦60B)

Over 200,000 Nigerian were schooling in Ghana as at 2013.
(Reference 3)
SCENARIO TWO
1. Mr Ade imports phone to sell in Nigeria with about ₦100,000 each.
2. A student who schools in Ghana left this phone to buy the same worth of phone in Ghana.
EFFECT OF SCENARIO TWO
1. ₦100,000 gone out of Nigeria, ₦100,000 worth of Phone Imported (balanced)
2. ₦100,000 worth of phone ignored by student, yet such student took another ₦100,000 out of Nigeria to buy same phone in Ghana without any return to Nigeria. This means Nigeria has lost 100,000 to the Ghana Market despite having such product in Nigeria. Funny enough, if such phone is stolen before such student gets back to Nigeria, it means such student has made Ghana economy ₦100,000 better.

In one semester, an average Nigerian Schooling in Ghana must have spent about 800,000 of Nigerian currency in Ghana. Assuming we have about 200,000 Nigerians schooling in Ghana, it means about ₦160B is spent in Ghana education system within a year without any monetary return for Nigeria. Assuming this 160B is invested in Business , it would have been better because we would get goods in return for such chunk of money going out of the country , bear in mind that there are a lot of Nigerian students scattered around the world, Just imagine how much schooling abroad alone is taking out of Nigerian economy annually, imagine how much money spent on luxurious items , Health and so on in Ghana and other countries, Trillions of Naira. Have you imagined what it would look like if these monies are invested in our educational sector? That by the way.

After schooling abroad, some of the foreign trained do not even think of coming back to create jobs in the country, they rather think of coming back to earn from a white collar job, having used their certificate to bully home trained Nigerian Graduates. Does this really justify the huge amount spent on education outside Nigeria, Though, it’s a fact that knowledge must have been acquired and one can spend as much as possible to acquire knowledge.

As an average Nigerian Schooling outside the country, it’s normal to feel very bad when such news is broken (Ban of Naira ATM abroad). However, it will be a big disgrace to jump up to protest over it without understanding what is being protested about.
The question is simple ,
1. Do we prefer the value of naira to keep falling while we have access to spend naira anyhow outside Nigeria or we reduce the amount of naira going out and maintain a valuable naira.
2. The amount of Nigerians in diaspora are not up to 20% of those in Nigeria, thus , do we suffer those in Nigeria for the happiness of those in Diaspora or those who travel out to flex on vacation.

Imagine you wake up one day to see the exchange rate of naira to dollar standing at 500 Naira to 1 Dollar, Do you think it will be easy for parents to pay fees abroad.

SUGGESTIONS
1. Students schooling or intending to school abroad should rather think of how government can help in providing a means for students to transfer their school fees and money for upkeep. Though, this should be regulated, but not to protest over the Ban of ATM usage Abroad. NANS Excos and other student activist abroad should get to work on how to get alternatives for students to get money abroad. Who knows , students might be allowed to use Naira ATM abroad but lets consider the effect.
2. Most traveling outside Nigeria , especially within African countries should stop the habit of taking naira out to buy what can be bought in Nigeria , eg Phones , Laptop e.t.c
3. This is also the best avenue to challenge the government to work on the educational sector of Nigeria so that Nigerians will stop wasting chunk of money on schooling outside. In Ghana alone, Nigerians spends about 160,000,000,000 on education. The question is ;
a. How many people come to Nigeria to study or spend such money?
b. How many countries appreciate the monies spent by Nigerians in their economy.
Thus, if government won’t allow free usage of Naira ATM for students, then, they should provide alternatives or better our education system by scrapping JAMB and POST JAMB.

RECOMMENDATIONS TO LEARNED COLLEAGUES
Please let's apply what we learnt in school. When we spend more of our currency to import without Export, the value of Naira will keep dropping. So let’s plead to government to rather work on a policy to support fees payment and up keep money for students schooling abroad, also for business men. Also why are we not thinking of business we can do in abroad , afterwards , we send the little money you earn to Nigerian banks.

CONCLUSION
This literally mean , we are giving out without receiving except from petrol which is our major source of income , NB , price of Petrol is also dropping. If you give out without receiving you must reduce in whatever you have. This is one of the reasons why naira is dropping value. Therefore, ban of Naira ATM use outside Nigeria is a good policy. I don’t care who the governor of Central Bank of Nigeria is but I salute him/her for this. At least , this Policy should be maintained till Naira can be equivalent to about ₦100 – $1 dollars. If buhari Claims to take ₦1-$1, Do we think he will just perform Miracles, these are some of the ways to achieve it. Lets think of what to do so that others will come and spend or invest in our economy, However, there should be a way out for those who genuinely need to use the ATM outside Nigeria (Businessmen, students and likes ) Surely Politicians and those who pay visit to other countries Should be totally BANNED from use of Naira ATM abroad, amount taken out of Nigeria should be regulated.

This write up is not in any way to support any political party but for the betterment of Nigeria. Change and betterment will not occur if we won’t pay the price, ABOVE ALL, THIS IS A TEMPORARY MEASURE FOR THE SAKE OF STABILIZING THINGS. It is mainly geared towards those who spend naira on luxurious stuffs abroad.

Thank you for reading, comments to enlighten me are welcomed.

Reference
Referece 1 https://www.thecable.ng/finally-naira-falls-to-dreaded-2501

Reference 2 http://www.cenbank.org/rates/ExchRateByCurrency.asp

Reference 3 http://www.vanguardngr.com/…/nigerian-students-spend-n100b…/

Reference 4 http://thecitizenng.com/…/banks-blame-atm-card-ban-abroad-…/

Refeerence 5 http://ynaija.com/why-we-cant-reverse-ban-on-atm-card-use-…/

Hmmmmmmm.. ...