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See Why The Naira May Fall To The Dollar At #1000/$ - Business (3) - Nairaland

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Re: See Why The Naira May Fall To The Dollar At #1000/$ by IMO22(m): 6:47pm On Jan 31, 2016
Ur article cost me a tear....THANK U BUDDY!!!

3 Likes

Re: See Why The Naira May Fall To The Dollar At #1000/$ by olas24u(f): 6:47pm On Jan 31, 2016
we need to withdraw from the world trade organization first and engage in massive enlightenment
Re: See Why The Naira May Fall To The Dollar At #1000/$ by Analysiscorner: 6:48pm On Jan 31, 2016
great664:
I feel you Sir, Nigerian stupidness just tire me , and the problem is there is no WAY to survive it cuz the policy makers are the most consumer of foreign product so any policy in banning them will be shooting themselves so it won't work, do You expect the President, senators, Reps even LG chairman to withdraw their children abroad to school in Nigeria? No way so they will surely frown in such policies..

The only way we can survive it a little is if the Govt can Totally close the Ports and ban everything we import, it will be a hard decision but trust me Nigerians will surely survive the hardship for months and withing months alternatives will be put in place , u trust naija for that..

Government should Ban everything m
Your view may be good. But, have you considered what will happen if other nations ban Nigerian goods?
Instead of total ban on importation, let us hasten the mining of solid minerals, and then support farmers to produce cash crops. Then, let there be partial ban -affecting only those commodities that we can produce.
Re: See Why The Naira May Fall To The Dollar At #1000/$ by macklef(m): 6:48pm On Jan 31, 2016
Basic truth. But its those that are broke that are digesting the truth.
The rich ones be like

1 Like

Re: See Why The Naira May Fall To The Dollar At #1000/$ by princetom1(m): 6:49pm On Jan 31, 2016
I want to be part of the new generation of difference. With my actions
Re: See Why The Naira May Fall To The Dollar At #1000/$ by mildflame: 6:49pm On Jan 31, 2016
Bookiemart01:


Source:


http://thenakedconvos.com/plunging-naira-before-you-blame-emefiele-look-at-yourself/

PERFECT + SUPERB + EXCELLENT

Bro as for me not now, today or yesterday, DUDU OSUN na my soap. We only eat local rice brought down from my state, Dare( DRE) na my fashion paddy. ZINOX is my laptop, GLO my major line and I produce my feeds for my birds. Very soon our tiles solely manufactured in Nigeria we hit the market, except it aint available anything made in 9ja is always my FIRST CHOICE

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Re: See Why The Naira May Fall To The Dollar At #1000/$ by TruthHurts1(m): 6:51pm On Jan 31, 2016
God bless whoever wrote this. You are absolutely right.
Nigeria is a mono product economy. Our economic fortunes are tied to the price of a barrel of oil. So when oil prices are high, our currency becomes relatively stable,but on the other hand when oil prices plummet, our currency loses value massively. To make matters worse, we don't have a vibrant and thriving manufacturing sector to fall back upon when oil let's us down. Everyday thousands of companies and factories are shutting down because the overhead costs of doing business such as buying fuel for generators is greater than the profit margin.
My fear is that things will get worse before they get better.
Re: See Why The Naira May Fall To The Dollar At #1000/$ by bezimo(m): 6:51pm On Jan 31, 2016
I was wondering. Now that oil prices are so low at $30 per barrel, the value of the Naira has depreciated to almost N300 to the dollar for the first time ever.

But When oil was been sold at an oil time high price of $140 per barrel.Why didnt the Naira appreciate to at least N100 or lesser to the dollar?

No one should tell me about the market forces of demand, supply and export.

When export value of the oil was so high why didnt the Naira gain so much.
I guess some forces didnt want naira to appreciate.

2 Likes

Re: See Why The Naira May Fall To The Dollar At #1000/$ by banmee(m): 6:51pm On Jan 31, 2016
cana882:
I believe it was great before independence. Nigeria is like a boy serving his master and all of a sudden, feels that he has known it all. He leaves, starts his own shop, but at the end his business collapsed. Only few people were matured enough for independence but those few can't run the entire country for years...

It is all about exposure. Nigerians are not exposed to how things are done. The sooner they are the better.
Re: See Why The Naira May Fall To The Dollar At #1000/$ by Nobody: 6:53pm On Jan 31, 2016
I can't believe am reading this. It's too true for my liking
Re: See Why The Naira May Fall To The Dollar At #1000/$ by Nobody: 6:53pm On Jan 31, 2016
Deep sigh
Re: See Why The Naira May Fall To The Dollar At #1000/$ by Nobody: 6:53pm On Jan 31, 2016
So true.... I don't understand it at all
Re: See Why The Naira May Fall To The Dollar At #1000/$ by yomalex(m): 6:56pm On Jan 31, 2016
Littlebrowser:
Lol..goodnews to bloggers and folks that earn in dollars smiling to the bank things.
and where will they spend it
Re: See Why The Naira May Fall To The Dollar At #1000/$ by Nobody: 6:56pm On Jan 31, 2016
RichYoungNigger:
The exchange rate is now $1 to 307 naira.

I wish it will get to $1 to 2000 naira before December

Why would you wish this? It isn't like you will be able to buy three times the stuff with a dollar.... The price of everything will go up. It is called hyper inflation.

1 Like

Re: See Why The Naira May Fall To The Dollar At #1000/$ by cana882(m): 6:57pm On Jan 31, 2016
PBundles:
This article is more a patriotic call to arms then it is about economics. Yes some points are valid, ..................but these are not the main reasons why we are seeing the Naira fall. All these things she mentioned, were they not taking place, last year, the year before etc etc. I concur, your knowledge on economics is lacking, but there are valid PATRIOTIC points, not ECONOMIC.
well from your comment, I can say you have vast knowledge in economics, probably your specialization. I would like to know why you said this is not the cause because last year we exported oil and oil alone as major export, and same last year, the price dropped.

1 Like

Re: See Why The Naira May Fall To The Dollar At #1000/$ by bookface: 6:58pm On Jan 31, 2016
great664:
I feel you Sir, Nigerian stupidness just tire me , and the problem is there is no WAY to survive it cuz the policy makers are the most consumer of foreign product so any policy in banning them will be shooting themselves so it won't work, do You expect the President, senators, Reps even LG chairman to withdraw their children abroad to school in Nigeria? No way so they will surely frown in such policies..

The only way we can survive it a little is if the Govt can Totally close the Ports and ban everything we import, it will be a hard decision but trust me Nigerians will surely survive the hardship for months and withing months alternatives will be put in place , u trust naija for that..

Government should Ban everything m

Hmm...

Let's see how this works out.

Ban everything - then everything becomes incredibly more expensive! Think about that for a second. The current Ban is pushing inflation to crazy levels already. How would you feel if you need to buy a used laptop at 1 million naira?


There are no easy solutions. But the current approach is worse!

Emefiele should take the following steps.

First, allow a modest devalution of the naira. ---- This should allow the foreign portfolio flows that we urgently need. It would bolster the government coffers and put an end to depletion of the foreign reserve

Second, given that the step above will surely lead to an increase in inflation, he should immediately accompany it with an increase in interest rates

Third, fiscal consolidation is required in non productive sectors - cutting down salaries, laying of non productive workers etc - and simultaneously boost spending in productive sectors - like infrastructure, and agriculture.


The current approach of banning imports and drawing down on foreign reserve seems to rely on hope - hope that one day oil prices may recover. This may well be the case, but who knows? What if it is not? Then what? we draw down on the last bit of foreign reserves and we start borrowing money at incredibly high interest rates.

2 Likes

Re: See Why The Naira May Fall To The Dollar At #1000/$ by forap(m): 6:59pm On Jan 31, 2016
It begins with you and I
Re: See Why The Naira May Fall To The Dollar At #1000/$ by Infomizer(m): 7:00pm On Jan 31, 2016
Unfortunate reality. We must agree though that even countries like China who are largely export based aren't finding it funny either, but we could have been way way way better than where we are now.

1 Like

Re: See Why The Naira May Fall To The Dollar At #1000/$ by cana882(m): 7:00pm On Jan 31, 2016
banmee:


It is all about exposure. Nigerians are not exposed to how things are done. The sooner they are the better.
now we do get exposure and a lot of it that if we return, it's to find our way back there instead of impacting our society.
Re: See Why The Naira May Fall To The Dollar At #1000/$ by Nobody: 7:02pm On Jan 31, 2016
bookface:


Hmm...

Let's see how this works out.

Ban everything - then everything becomes incredibly more expensive! Think about that for a second. The current Ban is pushing inflation to crazy levels already. How would you feel if you need to buy a used laptop at 1 million naira?


There are no easy solutions. But the current approach is worse!

Emefiele should take the following steps.

First, allow a modest devalution of the naira. ---- This should allow the foreign portfolio flows that we urgently need. It would bolster the government coffers and put an end to depletion of the foreign reserve

Second, given that the step above will surely lead to an increase in inflation, he should immediately accompany it with an increase in interest rates

Third, fiscal consolidation is required in non productive sectors - cutting down salaries, laying of non productive workers etc - and simultaneously boost spending in productive sectors - like infrastructure, and agriculture.


The current approach of banning imports and drawing down on foreign reserve seems to rely on hope - hope that one day oil prices may recover. This may well be the case, but who knows? What if it is not? Then what? we draw down on the last bit of foreign reserves and we start borrowing money at incredibly high interest rates.




Ban foreign goods and the local goods will prosper. Foreign jobs do not mass produce jobs like a locally manufactured job will. I had a great idea for local Nigerian good but my fiance wouldn't hear ofbit because it wasn't the import from China, sell to Nigerians that he was used to. It was export to usa, made in Nigeria
Re: See Why The Naira May Fall To The Dollar At #1000/$ by Infomizer(m): 7:03pm On Jan 31, 2016
bezimo:
I was wondering. Now that oil prices are so low at $30 per barrel, the value of the Naira has depreciated to almost N300 to the dollar for the first time ever.

But When oil was been sold at an oil time high price of $140 per barrel.Why didnt the Naira appreciate to at least N100 or lesser to the dollar?

No one should tell me about the market forces of demand, supply and export.

When export value of the oil was so high why didnt the Naira gain so much.
I guess some forces didnt want naira to appreciate.

Sadly, we were IMPORTING pms and other crude oil products...What we earned, we spent, and spent on thieves unfortunately. If we had sold oil and not had to import oil products, then we would have been well-off..on paper.

2 Likes

Re: See Why The Naira May Fall To The Dollar At #1000/$ by Chukzyfcb(m): 7:04pm On Jan 31, 2016
OP you'v spoken well, but I'll like to let you know. Production or Manufacturing cannot work especially WITHOUT POWER!!! Do you know that NBS ( Nigeria brewery) reported in the dailies sometime ago that they spent 33bn on fueling within 5yrs?..................................................................do u know that, The cost of manufacturing in nigeria is 2 times the cost of what you'll get in ghana & 9 times the cost of what you'll get in china (sentence made on goodmorning nigeria nta by president of M.A.N; Manufacturing association of Nigeria)?

You have the solution, but the government need to lay the foundation. Coz china and some other countries have made these products cheaper to Import than to manufacture in Nigeria

2 Likes

Re: See Why The Naira May Fall To The Dollar At #1000/$ by ooshinibos: 7:12pm On Jan 31, 2016
Bookiemart01:


Source:


http://thenakedconvos.com/plunging-naira-before-you-blame-emefiele-look-at-yourself/

good point ...what happen to the cocoa and palm oil farms ??
Re: See Why The Naira May Fall To The Dollar At #1000/$ by muredo(m): 7:14pm On Jan 31, 2016
What a pure truth!!!!!!
Re: See Why The Naira May Fall To The Dollar At #1000/$ by Jeromedaniel: 7:15pm On Jan 31, 2016
Easily the realest article i've read on Nairaland. Am weak.
Re: See Why The Naira May Fall To The Dollar At #1000/$ by blackboy(m): 7:15pm On Jan 31, 2016
Nooo Nigerians want and are expecting N1 to $1. Telll me your write up is a joke
Re: See Why The Naira May Fall To The Dollar At #1000/$ by olayinkafuny80(m): 7:16pm On Jan 31, 2016
oh what a great write you have say it all wow but what of you want to start a business of manufacturing and no one to give you loans
Re: See Why The Naira May Fall To The Dollar At #1000/$ by Nobody: 7:17pm On Jan 31, 2016
Booty4me:
One crazy nairalander will come and quote all τ̲̅ђe article
Re: See Why The Naira May Fall To The Dollar At #1000/$ by obailala(m): 7:21pm On Jan 31, 2016
grandstar:
The naira will touch a 1000 if Buhari is allowed to continue with his preprosterous economic policies.

Ther naira has already lost 30% of its value in 8 months, the fastest decline since democracy started. The naira will touch 400 by year end if his policies are not scrapped.

By next year, 600.

Both Soludo and Sanusi have condemned these statist policies
I knew someone was going to jump in here and attempt to politicise this matter. Oh yes, the Naira has fallen 30% in 8 months under Buhari, but after reading that article, do you really think there is any economic magic that can be done to instantly save the naira even with oil prices presently below $30??... If with all you know already and with what you read from the article, you still think it's Buhari's policies that caused the Naira to fall 30% in 8 months, how then do you explain the fact that the Naira also fell by a similar 30% between November 2014 and May 2015, a 6 months period prior to when Buhari took over government?

I advise you just stick to the factual issues raised by the author of the article and stop trying to be politically correct.

8 Likes

Re: See Why The Naira May Fall To The Dollar At #1000/$ by yhemini: 7:21pm On Jan 31, 2016
I read dis am I feel so bad for my country. Can dis country get better? GOD HELP US!!!
Re: See Why The Naira May Fall To The Dollar At #1000/$ by Izontubo(m): 7:22pm On Jan 31, 2016
Nothing but the truth..oil destroyed us instead of it to build us..We became a useless nation with each passing time..

When would we all thing of true federalism so that we can all develop our individual states of abode and move nigeria back to how it was..presently we are running around trying to proffer patch patch economic policies when the real truth is starring at us in the face..

Let us go back to cocoa farming...let us get back our rice Mills on track..my mum's village used to have the largest rice farm in West Africa right in bayelsa...but it's all gone...Oil took it away..

I expect every government to think regionalism and lets be a great people again..Let people run to nigeria for good things...

If only we can think beyond where we stand...
Re: See Why The Naira May Fall To The Dollar At #1000/$ by bookface: 7:22pm On Jan 31, 2016
tomyka81:


Ban foreign goods and the local goods will prosper. Foreign jobs do not mass produce jobs like a locally manufactured job will. I had a great idea for local Nigerian good but my fiance wouldn't hear ofbit because it wasn't the import from China, sell to Nigerians that he was used to. It was export to usa, made in Nigeria

let's assume Emefiele agrees to your recommendation tonight - and tommorow, your car had some engine issues. Upon taking it to the mechanic, the nice chap politely informs you that he has no spare parts left to fix your car because all foreign goods had been banned.

Or better still - he says "Oga, we get 2 spare parts left, but the thing don scarce for market now, so you need to pay 2 million"..

so...you manage to get trek to work and upon getting in, your supervisor says "Mr Shakiti, sorry we will have to let you go because the company is no longer profitable and the management has decided to downsize. The reason, Mr Shakiti, is that we can no longer import raw materials to manufacture soft drinks after the Central Bank's policy". Just wondering...is this a sort of scenario you would be comfortable with.


Most people screaming "ban this, ban that" are short-sighted and cannot see how this will affect the lives of people around them. Let's face it, we cannot become a manufacturing economy overnight - we may not even become one in a decade. Already, the current CBN's policy is causing massive job losses in some sectors. The worse thing that could happen to anyone is to loose their jobs in an environment of rising inflation and stagnant economy.

4 Likes

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