AtlanticBreeze:
Nigeria's President Muhammadu Buhari on Monday told a gathering of business leaders that he did not see the benefit of the naira's currency peg against the U.S. dollar being removed.

Nigeria's central bank abandoned the naira's 16-month old exchange rate peg, of 197 naira to a dollar, a week ago in an effort to alleviate the chronic foreign currency shortages that have choked growth in Africa's biggest economy.

The naira ended at 282 to the dollar on Monday but was trading at round 350 on the black market.

"I don't like the returns I get from the CBN (Central Bank of Nigeria)," said Buhari, addressing a group of business leaders that included Africa's richest man, Aliko Dangote, Zenith bank founder Jim Ovia and oil billionaire Femi Otedola.

The 73-year-old former military ruler, addressing the group at his official residence in the capital, Abuja, said the devaluation of the naira in 1985 saw the naira trading at 1.3 to the dollar, whereas "now you need 300 or 350 naira to a dollar".

"How much benefit can we derive from this ruthless devaluation of the naira? I'm not an economist neither a businessman - I fail to appreciate what is the economic explanation," said Buhari.

In a June 3 letter to Buhari, seen by Reuters, the central bank governor said he hoped the naira would eventually trade at around 250 per dollar, a level the president had "approved".

Buhari had consistently said he was opposed to the removal of the currency peg but, in an essay published in the Wall Street Journal earlier this month, appeared to back the adoption of a more flexible foreign exchange policy.

The economy in Nigeria, an OPEC member, has been hit hard by the sharp drop in global oil prices since the country's crude oil sales make up about 90 percent of foreign exchange earnings and 70 percent of government revenues.

Foreign exchange restrictions were imposed by the central bank last year in an attempt to conserve dwindling U.S. dollar reserves.

"What has happen to us now is that we have manoeuvred ourselves into mono-economy which led to the collapse we are seeing now," said Buhari. (Writing by Alexis Akwagyiram)

http://www.reuters.com/article/nigeria-currency-idUSL8N19J5MP

AtlanticBreeze:
This man is an embarrassment.... Anyway I'm happy Buhari is still committed to his campaign promise of making $1 = N1. Since CBN is not helping matters, I advice Buhari to use the military instead to stabilize the economy.. what an economic illieterate. Although I didnt support the free floating of the naira by CBN but I think Buhari should allow the CBN do it's work, this is purely and economic matter, not political. I wonder how a man that agreed he is an economic illiterate and without any economic advisers will want to direct the forex market.. smh

prstge007:

look dear friend you cant be a professional in all areas, he has only allowed the expert or better to say the technocrat to take care of it while stating want he want as an end result. as a president the expected change didn't came up and he was worried. Before man and God I may not support some other things he was wrong about but yet being a president does mean he will wear lab coat put on apron and also helmet to operate, cook and engineer the country at the same. the ministers or whosoever is in the realm of affairs will submit a review based on there expertise then he will review to see the functionality of such.

AtlanticBreeze:

so he expected the end result to be instantaneous? Lmaooo... what an economic illiterate you have just confirmed he is.

AtlanticBreeze:

so he expected the end result to be instantaneous? Lmaooo... what an economic illiterate you have just confirmed he is.

greatiyk4u:



Liberate your self from this chronic hatred for PMB and see that he is actually acting like a true leader and manager

Delegate a job to ur experts and monitor the progress based on the quality-time-cost-sustainability matrix

muri4mig:
[s]See all the wailers above me, their mental case has no remedy. He express his opinion. That means floating of FX is entirely CBN idea which currently seems not be working and the bulk of the blame will still be trace to him.

Diversification which PMB so much believe in is the only solution to our current predicament. Before now, we have been using the proceed from the sale of crude oil to patch up the value of naira. With the collapse of the price of oil, we are exposed to the harsh reality of what the real value of Naira is. No more extral $ from crude oil sales to support the naira which make our naira now vulnerable.

Even before GEJ left, the $ at the parallel market was around 216 which will eventually crash further by the day. Not even John maynard Keynes will be able to save the naira. Some of us think that best economist will make a better manager of the economy. I beg to differ in that line of thinking.

It is a only a good and prudence leader with strong political will that can save the economy not the numbers of PHD that u have. Robert Mugabe is one of the most educated president the world has ever seen, but ask me how much does zimbawain $ exchange to US $.
Their is no fast and rule about FX. The only solution to a weakened currency is diversification in order to reduce import bill and increase export to rake in more $. Floating or pegging, our naira will not be make better off without stimulating local production.

In my humble opinion, let support PMB to steer this economy to the promise land rather than criticize him destructively. Whether we like it or not he will still their in the next 3 years.[/s]

greatiyk4u:



Liberate your self from this chronic hatred for PMB and see that he is actually acting like a true leader and manager

Delegate a job to ur experts and monitor the progress based on the quality-time-cost-sustainability matrix

989900:


Leave him alone, he is doing what 'wailing zombies' do. #trutotype

"How much benefit can we derive from this ruthless devaluation of the naira? I'm not an economist neither a businessman - I fail to appreciate what is the economic explanation," said Buhari.

post=46996218:



How much benefit can we derive from this ruthless devaluation of the naira? I'm not an economist neither a businessman - I fail to appreciate what is the economic explanation," said Buhari.

muri4mig:
See all the wailers above me, their mental case has no remedy. He express his opinion. That means floating of FX is entirely CBN idea which currently seems not be working and the bulk of the blame will still be trace to him.

Diversification which PMB so much believe in is the only solution to our current predicament. Before now, we have been using the proceed from the sale of crude oil to patch up the value of naira. With the collapse of the price of oil, we are exposed to the harsh reality of what the real value of Naira is. No more extral $ from crude oil sales to support the naira which make our naira now vulnerable.

Even before GEJ left, the $ at the parallel market was around 216 which will eventually crash further by the day. Not even John maynard Keynes will be able to save the naira. Some of us think that best economist will make a better manager of the economy. I beg to differ in that line of thinking.

It is a only a good and prudence leader with strong political will that can save the economy not the numbers of PHD that u have. Robert Mugabe is one of the most educated president the world has ever seen, but ask me how much does zimbawain $ exchange to US $.
Their is no fast and rule about FX. The only solution to a weakened currency is diversification in order to reduce import bill and increase export to rake in more $. Floating or pegging, our naira will not be make better off without stimulating local production.

In my humble opinion, let support PMB to steer this economy to the promise land rather than criticize him destructively. Whether we like it or not he will still their in the next 3 years.

DIKEnaWAR:





So how has he started the so-called diversification? Buhari's body language and statement since he assumed office points to oil...oil..and oil. He kept lamenting about falling price of crude, how GEJ did not save money from oil windfall, how he wished to have another windfall during his time and planning to burn more money looking for oil in the Lake Chad basin.

All of you clowns that brought an old man whose ideas are trapped in the 80's( he doesn't miss an opportunity to hurry back to the 80's with nostalgia), a failed cattle rearer, who conned us with his anti-corruption stance to lead this country to prosperity, in the 21st century, shall end up gnashing your teeth and crying. Your lives shall be run the way Buhari runs this country.

No Nigerian President has the kind of support Buhari has gotten. From the Legislators, Judiciary, Human Rights Activists and Lawyers to the organised labour, press, associations, opposition and all of us either support him willingy or have been beaten into submission, yet he has refused to perform.

Buhari's Presidency is dead on arrival bro. The man does not have it in him. Sit down quietly and analyse the decisions he has taken without bias and you'd discover the man knows nothing about modern governance. Has the economy not crashed on Buhari's head like in Zimbabwe under Mugabe? Why do you keep blaming a government that left office over a year ago for your failures? We started this warning when Buhari delayed the appointment of his Ministers, that governance has been put on hold. From there he appointed Ministers and almost stopped short of making all of them Ministers of state with him as the substantive Minister. Now all of them are scared of bringing their ideas to the table because Buhari must vet it, even when he knows nothing about the field. Now governance is run by a few cabal whose sole aim is protecting 'their' hard-won power . I thought that Yar'adua was going to be the worst thing that happened to my country in my lifetime, I didn't know a Buhari was lurking in the corners to wreck this country. Point to one thing that is working under this government? Is it also the former government that has taken electricity from our homes and increased the tariff? Spare the bullcrap about gas pipeline vandalism. This government should ask the previous government how they secured the pipelines to deliver electricity to an extent to Nigerians(at a reduced rate!). If you think GEJ's people are frustrating Buhari's government by blowing oil installations, then you are no different from GEJ's people that said Boko haram was created to derail GEJ's govt by the north. Both theories are daft and baseless.

Buhari would be better as Emir of Daura; leading prayers and sitting at home to read papers. Other than this, he is a looming disaster.

We are waiting and watching how he handles the Buratai issue. That would say a lot about the only thing some people still think he has.

knightsTempler:


God Bless my brother, you have said it all.

This govt doesn't have anything to offer, it's so glaring. A govt that brings hardship on its citizenry in just 1 year deserves to be criticized and condemned.

All the zombie that sees nothing wrong with this government should as a matter of urgency retrieve their conscience from Satan.

DIKEnaWAR:


It took Robert Mugabe 36 years (1980 -2016) to wreck Zimbabwe, Buhari has done 70% of same wrecking to Nigeria within a year in office. This government has taught me something: that many Nigerians are dull and empty skulls. That many people are not what we thought they were.

For everyone's information, every successive government since 1960 till date, have engaged in massive looting of our resources. Let none of them pretend not to.