Stats: 3,188,982 members, 7,936,162 topics. Date: Saturday, 31 August 2024 at 06:03 AM |
Nairaland Forum / Nairaland / General / Politics / Solution to the Nigerian Economy (20219 Views)
IMF: Nigerian Economy May Collapse If… / 12 Things Buhari Govt Is Putting In Place To Revive Nigerian Economy - Adeosun / Fayose : Nigerian Economy May Collapse In 3 Months!! (2) (3) (4)
(1) (2) (3) (4) (5) (Reply) (Go Down)
Solution to the Nigerian Economy by gohome: 3:41am On Jan 22, 2016 |
We have a problem. 1. Weak Fiscal Policy and political structure. 2. Executing good economic policies. I will only touch on 2 because the ruling party does not have the nerve to dismantle the fiscal structure we have now. Also so unfortunate the last one could not. In the next elections, we should vote for the guy that will stop handouts to states. The gain of just this single decision is too enormous to mention in this thread. Will create another thread highlighting this I will go ahead with number 2. Solutions to number 2 start with a good plan (budget). Unfortunately we have started off in the wrong foot. The growth rate of a country depends on rate of saving and investment. For this purpose, budgetary policy aims to mobilise sufficient resources for investment in the public sector. Therefore, the government makes various provisions in the budget to raise overall rate of savings and investments in the economy. what I have seen so far in this years budget is not impressive. Hopefully next year will be much better. Another example as regards to policy is curbing inflation rate. Look around you, you can hardly find anything manufactured in Nigeria. So what it means is that inflation is going to be in double figures because of a devalued Naira at 310 to a dollar. It's a bad policy to fix the Naira and not let market forces work. A good example to explain this bad policy is the way and manner we have handled our forex. Firstly, the entire policy to control our outflow was not carefully thought through. What we are doing is fixing the roof because of bad foundation. Or repainting the car and feeling good when your engine is about to knock. Bad precedence we have laid in the past 50 years. Keeping the right to set the dollar price exclusively to CBN is a recipe for disaster. It's only a matter of time and that time will be when oil is worthless. Do you know that the CBN gathers all our dollars and print Naira equivalents of these dollars. They flood this Naira in the economy and because the GDP growth is not equivalent to the Flooded Naira, inflation starts to kick in, the CBN the go ahead to reduce to cash in circulation by raising interest rate, selling T bills and even borrowing from bank at huge cost. Imagine! The simple solution to this is to let it stand on its feet. Every body source for your dollars and let your customers buy it at any price. But wait a minute, the decision to do that is not so simple, the dollar will reach 500 Nairas, so politically, it will be suicidal considering the fact that 1 Naira was suppose to be of equal value to the dollar. A true devalued Naira may be a solution to our problems. It will reignite the real sector. Manufactured good in Nigeria can now compete with foreign goods In Nigeria. Thousand of Jobs will be created. We will get better at it and even start to export. There is hope people. That's the only way. For you to increase your outflow, you have to be able to sell manufactured products, resources like oil etc can not cut you in. To be able to manufacture competively with China, Germany etc, you will need 1. Technology 2. Fiscal policies, tax cuts import waivers on heavy duties etc 3. Most important, Infractructural development (1 Trillion US at least).This will include power, rail, roads, ports etc. unfortunately, we have squandered billions of hard earn forex that should have been used for this 4 Human Resource - STEM professionals, technicians etc 5. Strong Policing- strong police force, legal framework etc. 6. Strong Foreign policy What do we do? 1. Can we as citizens reach out to our legislators that the budget should reflect the above and don't be passed until it is changed. 2. Can we also push for a well laid out fiscal policy 3. Can we also push for a policy that will ban all forms of commodities except heavy duty equipment from accessing forex from the CBN 4. Can we set a hard target for the power problem to be fixed. (Milestones included). All projects in the world have targets 5. We consume 40 million liters a day of PMS. Dangote refinery will do 10 million liter max. Can we rigorously push for 4 Dangotes to build refineries especially from the oil majors in country. 6. With just a 10% increase in GDP and 30% increase in manufacturing, 2.2 million barrel a day of oil we produce will not be enough for local consumption. Came across the link below and I thought it might be interesting. https://m.youtube.com/watch?sns=fb&v=xex7NAhTR_w 16 Likes 6 Shares |
Re: Solution to the Nigerian Economy by gohome: 4:55am On Jan 22, 2016 |
Please I would love contributors strictly on the Economy. Also can we use this thread to abstain from not calling names, parties tribes groups etc. and act like we are tomorrow's leaders debating our future for our kids, born and unborn. If we abstain from name calling, Nlanders, trust me we would be proud of ourselves. Let us make this thread a test run for healthy discussion. Lalasticlala, Seun, please do us a favor and move this to front page for wider audience. 16 Likes 1 Share |
Re: Solution to the Nigerian Economy by dotG(m): 5:05am On Jan 22, 2016 |
nice one...FTC
Lalasticlala do the needful.... |
Re: Solution to the Nigerian Economy by Standing5(m): 5:30am On Jan 22, 2016 |
You are being political with the truth here. Russia with all of its technological might even did not attempt to diversify their economy in less than a year, they set a 7-year window for it. That's what they did in reaction to the oil price crash which they know is no fault of Putin or their ruling party. Here you open your brain and try to blame APC for OPEC slipping cartel-like grip on oil prices control. Buhari or APC isn't the reason Nigeria can't attempt to diversify the economy in 7-years, the 16 years of wasteful spending of excess crude accruals under Africa's largest clique (atleast as proven by arms scandal and oil fraud) looked a better time to have divesifyed the economy and substituted as many foreign goods and service with local alternative to boost the economic sustainance of Nigeria. Russia, with all its technological might, still saved for their current state same time Nigeria was experiencing same proportiönal surge in oil earning the did. We know OBJ tried to spur on local production capacity by banning or heavily taxing foriegn alternatives. What i don't know is why one particular man thinks cassava bread as economic diversification stsategy will cushion the massive effects of leakages from oil theft, NNPC looting, arms scandal, ministries stealing etc. 47 Likes 8 Shares |
Re: Solution to the Nigerian Economy by Standing5(m): 5:53am On Jan 22, 2016 |
For the delusional ones amongst us, Buhari has been running same economy other ran with oil earnings averaging $108+/b at average $35+/b. We should be concerned about how this man is being able to meet our 70% recurrent expenditure needs. We have situation where over the years past govt have increase recurremt bill foolishly in response to increased earnings. Imagine the effect of Yar'adua regime increase of federal worker pay, Governing arms of govt pay incrememt under OBJ, quadrapule increament in leakages since the last time oil sold for $20-somethin a barrel that has taken place. All these are now clearly added responsibility with no corresponding developement to sustain. They 16 years of excess earning and its near-total spending on recurrent bills by prfevious administrators is contradictory to what is obtainable in similar oil export dependent economy like ours. Nations like Saudi Arabia, Venezuela, Norway, UAE, Iran, Kuwait, Angola, Canada, Chicago state in the US you name it. 24 Likes 3 Shares |
Re: Solution to the Nigerian Economy by Standing5(m): 6:02am On Jan 22, 2016 |
gohome: |
Re: Solution to the Nigerian Economy by gohome: 6:43am On Jan 22, 2016 |
Standing5: Can we discuss without name calling? Plus I need solutions not blames. Please let us focus on the solutions to our problems with minimal or no blame. That said Comparing Russia to Nigeria is like comparing an ant with an elephant. Russia has a strong economy base. In the range of x100. They have human resources, (among the top 3 in the world) They can manufacture heavy duties. Heavy duties to be used for road construction power station manufacturing plants compressor heat engines cars and not to forget military hardware. We can not even make pensils. What this means is that even though you have all the resources in the world and close your boarders you will still be at the mercy of others. you will need to beg IMF, world bank, Russia and China for help. Some of these technologies are not rocket science. Example is using iron ore to produce metal bars. Most of these technologies are secrets. Only indigenous STEM guys can innovate. That's why I need is to take STEM seriously. Contrary to popular opinion our main problem is incompetence. We are too dumb. Incompetence is what will make a man still billions, ride fancy cars in an unkept road. corruption like lies and stealing is a vice and cannot go away. And like any other vice, you can use it for you and also against you.Do you know corruption built the western world as we know it. Our problems are hydra headed and solving it without proper framework is a tall dream. We need competent people cutting across political divide always there churning out strategies and ideas for growth. The civil service is suppose to be doing this, but unfortunately they can't. Not well trained and exposed, corrupts and just grossly incompetent and to be fair not completely their fault. Brazil with almost the same population as Nigeria has a budget of 980 billion Dollars, guess what's Nigerian budget, more than 10 times less. Which leader will harness effectively harness our potential? Even if we stop the looting of the money we currently have, we would still be in a mess. Do you know that the Nigeria budget is the same as Saudi budget for education alone? Do you also know that New York City budget for 9 million people is more that Nigeria budget of 170 million people? 34 Likes 3 Shares |
Re: Solution to the Nigerian Economy by EternalTruths: 6:56am On Jan 22, 2016 |
Standing5: When will Buhari stop eyeing the oil wealth of the Freeborns and introduce True Federalism OP Anything outside True Federalism won't work 16 Likes |
Re: Solution to the Nigerian Economy by Standing5(m): 8:05am On Jan 22, 2016 |
gohome:Your half smart gimmick won't work. You indirectly blame the current admin but go on to say no name calling. Solution is for folks like you to get up your lazy ässes and do real work that can earn Nigeria forex value. Another solution is for you to allow buhari recover the trillions languishing in private pockets of ex-govt officials in peace. 21 Likes 2 Shares |
Re: Solution to the Nigerian Economy by Standing5(m): 8:08am On Jan 22, 2016 |
EternalTruths:Many monikers won't save you deluded ässès. Oil you are shouting is hard worth anything again. Get up and work out your läzy assès. 11 Likes |
Re: Solution to the Nigerian Economy by tuniski: 8:30am On Jan 22, 2016 |
Standing5:you started like u have good grasp but, quickly went off by the over used lame line of 16yrs of waste. So Russia too had 3r0yrs of waste abi? Stop blame game and come up with solutions. It is actually the problem structurally basing our posterity on oil boom/doom. Apc is here let them solve the part of the problem they can then give way. Govt is a continuum but, apc is an error while the Sai baba chanters today are zombies! 19 Likes 2 Shares |
Re: Solution to the Nigerian Economy by Standing5(m): 8:39am On Jan 22, 2016 |
tuniski:Russia had good savings and invest in technological advancement that they are falling back to now. Nigeria saved and quickly deplete same via frivolous arms purchase, increase recurrent bills. among others. 6 Likes |
Re: Solution to the Nigerian Economy by tuniski: 9:29am On Jan 22, 2016 |
Standing5:Nigeria is not federal govt but, all tiers of govt. Until we look at things in a holistic manner we won't get there. That is why fiscal federalism is critical. Those yeye states premise viability as the basis of their creation but, 35/36 of them can't survive without running to abuja for money sharing. At no time had nigeria the money to take Care of all our developmental needs. it only takes creative thoughts to keep the country going. Our problem is the misfortune of largely having the least amongst us as leaders across board. We have sacrifice competence and innovation for all manners of issues/creed that are slowdown on us like nepotism,regionalism,religious bigotry,class differential and all others. Let us wake up and do things by merit while encouraging innovation and enterprise instead of a massive dependence on govt. No govt builds a nation rather the citizens do! 19 Likes 1 Share |
Re: Solution to the Nigerian Economy by Standing5(m): 9:34am On Jan 22, 2016 |
tuniski:I agree on state, fiscal federalisw, and nation building above. We can't just build nation by wishing it. Monies have been stolen and should be recovered 4 Likes 1 Share |
Re: Solution to the Nigerian Economy by Bevista: 9:42am On Jan 22, 2016 |
tuniski:You started off by berating the man for blaming our current economic predicament on 16yrs of wastage, but ended up feeling justified to push the blame on a 7 months old administration. Nothing could be more hypocritical. --- Why not discuss the issues as requested by the OP rather than all the mudslinging. Apparently, every post is merely an opportunity to throw tantrums at our perceived enemies. 15 Likes 1 Share |
Re: Solution to the Nigerian Economy by mrvitalis(m): 9:57am On Jan 22, 2016 |
Bro the solution is not on grammar we need urgent solutions and I would propose the following Government should set up a farm company like NNPC allocate unfarmed land to the company Develop seedlings true the ministry of agriculture... Farm to substitute the things we import simple as a b c Allocate 200000 hecters for wheat farming 1 million hecters for rice farming Just like that.. . The ban importation of this farmed goods.. . The importers must buy from government U create jobs.. . Save our foreign reserves Generate revenue... . It's not rocket science bro We just have dummies ruling us 17 Likes |
Re: Solution to the Nigerian Economy by tuniski: 9:57am On Jan 22, 2016 |
Standing5:let them recover what ever money that has been looted. However, fighting corruption must be a continuous endeavor not a govt policy! Moreso, recovered loots can only be bonus not what we will run the economy with. Forward we must look to regenerate not a backward looking attempt at hiding incompetence neither will blame game deliver posterity! Having welfarist/socialist trial and error during a period of harsh economic realities is a complete disaster. Enterprise must be encouraged. No one grows wealth without growing humans but, govt dependency only helps in breeding corruption as enterprise! Let us earn forex by doing small exchanges from items in our backyards. Depending on oil for over 90% of our forex earning is a disaster we are witnessing. In all, vilifying other nigerians of different political and ideological leanings instead of tapping into the collective reservoir of our human capital is negating genuine effort at regeneration! 11 Likes 1 Share |
Re: Solution to the Nigerian Economy by tuniski: 10:04am On Jan 22, 2016 |
mrvitalis:no,that will be concentration camp not farming. Moreso, govt doing more aand more Is simply encouraging inefficiency and corruption. Govt is already overwhelmed let citizens be Stimulated and encouraged to do commercial agriculture. Govt must stay off they are a never do good bunch! 6 Likes |
Re: Solution to the Nigerian Economy by yaki84: 10:22am On Jan 22, 2016 |
Standing5: what did the states do with their own share of the oil monies pumped to them since 1999? states control 70percent of lands in the country, federal govt dont hv lands....any projects either housing or roads they build they must allign with states if not it wont work. the last admin made some nice plans towards diversification, monies were pumped into agric sector, we had the auto policy even though the wasterners kicked against it, telecoms sector too was beefed up n restructure n is still passing thru restructuring cos its another economic indices towards attaining robust economy in the future. so many power plants hv been built and soonest some will kickstart example is d one at odukpani in cross river state. states were suppose to be the primary drivers of diversification cos they ave access to lands which the federal govt lack......what did ur state govt did with oil monies allocated to them since 1999? 14 Likes |
Re: Solution to the Nigerian Economy by mrvitalis(m): 10:47am On Jan 22, 2016 |
tuniski:Government can set up this farms..Run them for five years when the private companies are ready they sale them off..... .... The LNG is a good model to follow.. .. Government can own 80% but allow the company that owns 20% to run it and government supervise Nigerian government need cash .... and I see quick cash in the agricultural industry 5 Likes |
Re: Solution to the Nigerian Economy by instinctg(m): 1:03pm On Jan 22, 2016 |
ok |
Re: Solution to the Nigerian Economy by looseweight: 1:04pm On Jan 22, 2016 |
The president must hear this |
Re: Solution to the Nigerian Economy by hucienda: 1:05pm On Jan 22, 2016 |
cc Kemi Adeosun bcc Godwin Emefiele |
Re: Solution to the Nigerian Economy by topstar80(m): 1:07pm On Jan 22, 2016 |
I won't wanna be bias.. the best solution for the Nigerian economy is to rid every looter... if we keep on saying we want a boosted economy and there are still means by which monies are laundered,we will not get There, for what is the use of increasing the water level in a tank when u know that the tank is leaky ?.. we should try and fix the leaky areas first before trying to see a boosted economy... I'm not a politician but I give kudos to the current administration for seeing this need before any other dream.. God bless our Nigeria 8 Likes |
Re: Solution to the Nigerian Economy by kelvyn7: 1:07pm On Jan 22, 2016 |
![]() PLEASE MAKE SURE YOU WRITE THIS AS AN OPEN LETTER TO BABA ![]() |
Re: Solution to the Nigerian Economy by Adesiji77: 1:07pm On Jan 22, 2016 |
Following... |
Re: Solution to the Nigerian Economy by philfrey08: 1:08pm On Jan 22, 2016 |
just booking space o |
Re: Solution to the Nigerian Economy by demarc001: 1:08pm On Jan 22, 2016 |
All hands should be on deck |
Re: Solution to the Nigerian Economy by sidneyj(m): 1:08pm On Jan 22, 2016 |
which I have time to read but all the same
tell them 1 Like |
Re: Solution to the Nigerian Economy by hakeem4(m): 1:08pm On Jan 22, 2016 |
Let's not only depend on oil Like if you agree Share if you disagree |
Re: Solution to the Nigerian Economy by TedBaker(m): 1:09pm On Jan 22, 2016 |
Odoin |
"MMM Better Than APGA Led Government - A Civil Servant Victim" (Pictured) / Edo 2020: Oshiomole Says He Regrets Supporting Obaseki / Buhari’s Medical Trip: Transmitting Power To VP Unnecessary – Garba Shehu
(Go Up)
Sections: politics (1) business autos (1) jobs (1) career education (1) romance computers phones travel sports fashion health religion celebs tv-movies music-radio literature webmasters programming techmarket Links: (1) (2) (3) (4) (5) (6) (7) (8) (9) (10) Nairaland - Copyright © 2005 - 2024 Oluwaseun Osewa. All rights reserved. See How To Advertise. 107 |