manny4life:
We're here arguing about devaluation which in my opinion isn't the problem, our economy is gravely affected because we lack inward fiscal directives. This is as a result of our political and ethnic differences, if different states are allowed to function on their own without handouts from Abuja, we wouldn't be asking ourselves what can we export. Nigeria is richly blessed in all sorts of human resource, financial capital, mineral resources, raw materials and what not which we can't even develop let alone export, and we're talking about devaluation. Until we change our process from a consuming to a producing nation, IMO, devaluation is NOT the solution at this point. Let's talk about devaluation when we get it right first.

NDPVF:
[s][/s]I av' been hearing this rubbish from Liar mohammad,and now you are regurgitating it. May i ask you, the investors and businesses that are running away from Nigeria now,(am not talking about those that are skeptical of investing here,the ones that were here before now that are folding up,as well as retrenching their workers),are they also portfolio investors?. Why is it hard for you people to understand that you are av' killed Nigerian economic already,and that their is widespread unemployment and poverty in the land already?.

erico2k2:

You just answered the question yourself.But seriously you think all I listed are not exported? I can give you names of companies that export all them things listed. We as a people need govt to give us flexible economic policies to enable biz men xport more. Ie 5am breaks .reduced energy bills.sign trade agreements etc.open some other ports to export cargo.

NavierStokes:


Source:http://www.bloomberg.com/news/articles/2016-04-20/nigeria-economics-loses-to-politics-as-buhari-takes-naira-stand


Having observed the issue of SAP and the IMF coming up repeatedly here on nairaland, I will be doing a thread with the true history of events that diacusses the SAP so some Nigerians can let go off the paranoia assoiciated with the IMF or western governments. If course they look out for their best interests and yours too. Because every time you run into problems you still come to bother them with your issues like Aid moneys and hangouts, immigration issues etc.

TonyeBarcanista:
I don't know who is advising President Buhari but his insistence on not devaluing the Naira to reflect present reality is one decision he would live to regret. The false sense of value we are giving to the naira is not helping anybody neither is political consideration more important than the economy. The suffering we would experience through devalued naira won't be compared to the hopeless situation we are now. in fact, if the country is pragmatic enough, the devalued naira policy would turn to be a blessing.

TonyeBarcanista:

TonyeBarcanista:
I don't know who is advising President Buhari but his insistence on not devaluing the Naira to reflect present reality is one decision he would live to regret. The false sense of value we are giving to the naira is not helping anybody neither is political consideration more important than the economy. The suffering we would experience through devalued naira won't be compared to the hopeless situation we are now. in fact, if the country is pragmatic enough, the devalued naira policy would turn to be a blessing.

TonyeBarcanista:

The benefit are enormous though not immediate, it outweighs the suffering we are subjected to at present

manny4life:


We're talking about quantities large enough to offset our import bill. All these items you listed, I can bet my 1cent that it doesn't add up to 5% of Nigeria's earnings, thus insignificant. In terms of export, I really don't think it's more of an economic policy, rather, I believe it's a fiscal policy (spending at all tiers of govt) to stimulate inward growth. This is why I asked, are you exporting something that you're self sufficient at OR just because it's the basic? Brings me back to my point: exporting right now is somewhat the least of our problems because we're not self sufficient, exporting what we have (especially raw materials) will cause shortage and really not add that much as opposed to finished goods. Let's have more than enough and more importantly, let's be able to afford it, then we export the remaining. You don't sell your food in exchange for less money when you're hungry. This is what's happening to Nigeria, you export logs of woods (solid state) say for $100/log and then import toothpick and pencil for $1,000 and you magically expect yourself to balance at the end of the day. When your pencil and toothpick arrive, they won't be affordable, which is the state Nigeria is in because we're consuming (makes it worse because it's foreign produce) more than we're producing.

AZeD1:

This is probably one of the most stupi.d things i have read on here.

My 3 bedroom flat in the UK cost £600 a month which is £7200 a year, I have a 3 bedroom in Yaba for N600,000 a year use your formula there and give me the purchasing power of the Naira to the pound.

TonyeBarcanista:

The benefit are enormous though not immediate, it outweighs the suffering we are subjected to at present

TonyeBarcanista:

SAP flopped because IBB mismanaged the whole thing for his selfish interest.

Already, businesses are operating on a value of the naira that is over 100% more than the official value. in fact, the naira is technically devaluated due to scarcity of the dollar. What we are saying is for the government to allow the naira to be officially devalued so that businesses can freely operated. This will even boost our export as our goods would be cheaper in the international market, and that would help local economy.


however, it will make import more expensive but we can't depend on import forever

Henryadaku:






Excuse me sir......don't you get it countries that don't export can devalue haba.......its better this way make Una stop to complain abeg the naira being equal or stable with the dollar ain't gonna solve our problem

'The decline in forex allocation to the banks by the CBN was attributed to the deal struck by the Nigerian National Petroleum Corporation (NNPC) and international oil companies (IOCs) on direct dollar sales to oil marketing firms aimed at addressing the fuel shortage in the country.'

AbuMuhammad1:
And some say the price of goods are already at black market rate. if so then what is the point of devalueing when the prices have adjusted themselves?

Empredboy:
tell us our export strength. What goods do we produce for export?

dustmalik:
It's now evident that the west is furious over our deal with China.

tuniski:

U certainly don't get it. Well I can't help u. The cost of production same item is never the same as your rent on accommodation in UK and ikoyi, u hear! Emphasis, the cost of producing same item! It is called purchasing power parity(ppp).

AZeD1:

This is probably one of the most stupi.d things i have read on here.

My 3 bedroom flat in the UK cost £600 a month which is £7200 a year, I have a 3 bedroom in Yaba for N600,000 a year use your formula there and give me the purchasing power of the Naira to the pound.

erico2k2:

Can I ask you a question. What do we have that we can't export?

TonyeBarcanista:

The benefit are enormous though not immediate, it outweighs the suffering we are subjected to at present

erico2k2:

What city is that 3 bed for £600? Una dey grove there

TonyeBarcanista:

The benefit are enormous though not immediate, it outweighs the suffering we are subjected to at present