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Soludo Asked To Re~present Naira Redenomination?

Presidency directs Soludo to re-present naira redenomination

…Approves FS 2020

Wednesday, July 9, 2008

After nearly a year after its suspension, the Strategic Agenda for the Naira mooted by the Central Bank of Nigeria (CBN) may now get the approval of the Federal Government.

The CBN policy intended to restructure the naira by dropping two zeros to the left from the currency and issuing more coin denominations was greeted with criticisms, which led to its suspension by the Federal Government.

Daily Sun, however, exclusively learnt “all things being equal the CBN Governor, Prof. Chukwuma Soludo had been given the green light to re-present the Naira redenomination policy.

A top source at the presidency said the new development followed a successful defence of the Financial System Stragegy FSS 2020 policy by Soludo recently in Aso Rock.

“The presidency called Soludo to defend the feasibility of the FSS 2020 policy based on objections raised by the economic team. Soludo came well-prepared for the defence and all questions pertaining to its feasibility were well answered,” the source said.

He continued: “But the head of the economic team, that is Dr. Shamsudeen Usman and Economic Adviser to the president, Senator Sanusi Daggash disagreed sharply with Soludo on the grounds that the reality of what is on ground cannot support FSS 2020, and they even went on to describe it as Soludo’s dream. By the time the duo finished with their presentation it was clear that they were not in support of the FSS2020 dream.”

The source further revealed that both Usman and Daggash argued that Soludo was only trying to make Lagos the economic capital of Nigeria again through the FSS 2020 policy and that President Umaru Yar’Adua’s seven-point agenda could handle all that was in FSS 2020.

Minister of State for Finance, Mr Remi Babalola, however, had a contrary view, arguing that the CBN boss’ presentation gave the administration a clear focus of where the country was heading to and how it could get there. “Every macroeconomic indices supplied by the CBN governor are verifiable and supported by the international community,” he reportedly stressed, adding that the FSS 2020 policy was “workable and feasible.”

Following the submissions, President Yar’Adua was said to have given a nod to the FSS 2020, directing the CBN governor to re-present naira redenomination, which is a key aspect of the FSS 2020 document.”

The CBN had bowed to the Federal Government’s suspending the redenomination of the naira.

In a press statement personally signed by the governor, Prof. Soludo, the CBN stated that it had agreed to suspend with immediate effect the redenomination of the naira, which was the soul of its “Strategic Agenda for the Naira.”

According to the statement, the board of the CBN recognized and affirmed President Umaru Yar’Adua as the approving authority in matters relating to the denomination, form and design of the national currency as enshrined in Section 19 of the CBN Act, 2007.

The CBN said it remained committed to President Yar’Adua and his goal of making Nigeria one of the 20 largest economies in the world by the year 2020. The apex bank which recognized the patriotism of the president said it was ready and committed to do all within its powers to accelerate the president’s agenda for a stronger economy.

http://odili.net/news/source/2008/jul/9/512.html

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52 answers

Good thing wen the naira is not doing very well, DEN U RE-INVENT THE CURRENCY, if anyone knows whta dat iss

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I now know that you are silly enough, not to admit that you were wrong.

Go and learn how to debate issues, ok.

You stated clearly that people count money without machines, apparently mis interpreting what redchick wrote,

deor03,Mustay,Gbola and redchick all said you were wrong!!.

Guess who believes that s/he knows everything!!,

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KOBO

MAN NO GO EVER PUT THAT POST FOR HIS PROFILE , KOBO ITS CONFIRMED U BE WOMAN AND U DEY TRY FOR POLITICS

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How do you know this for fact?? @Gbola . Have you some inside information on all banks in Nigeria to say, without a doubt that the above is factual?

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You finally confirm my post. Where exactly did I state that the claim was made by me?? Can you pull how you got from where the debate stated to the conclusions you made? Cause that is where the debate turned to just you being silly. Someone makes a statement, we then go on about how outrageous that is and you start off on your DEFENSIVE spree. Show me, better still don't bother!

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@kobojunkie

I hope you have learnt something new today

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banks in Naija use machines to count money but because of the value of our money and denominations, it becomes a big job to count over N10m. They still hire contract staff that count those money with the machines, haba. It's different in America because we operate a plastic economy here. You cannot see people carrying around over $2k @ a time. the only exception may be departmental stores and casinos that count theirs through a security company and lodge them in banks. Even the casinos still hire people that count money for them in America using the same machines.

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No nigeria bank that hire people for couting morning in nigeria anymore.

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What are you talking about precisesly.

Name one bank that you know in Nigeria that hires people to count money manually. How feasible or sensible is this counting 10 million Naira.

I have had transactions physically in Nigerian Banks in recent times and i know exactly what i am talking about

I rather suggest that you should stop believing you know Nigeria than most people on this forum.

You are spoiling for a fight, sorry to disappoint you. I won't give you one

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how many banks do that presently?

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If you have no clue, don't assume we are all in the same boat as you are. Banks do hire people to count money and not all banks are online. Infact a lot more banks are offline as in still dealing the old way than there are banks that are up to date technology wise.

May I suggest that you stop believing you have Nigeria more figured out that others. That is a ridiculous way to debate.

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@ Mustay et Kobojunkie

Fingers crossed

Let's wait for guyz in Naija to tell us what happens in the banks at home.

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Ofcourse,.,.,.She was in her right mind, I guess you and mustay gave it a wrong interpretation

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Continue playing TWISTER,  when you are done,  we can get back to discussing what RedHotChic actually posted[b] as is[/b].

She was not in her right mind when she posted the above??

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In Nigeria, just like every part of the world. Money counter machines does only one job i.e. Count Money.

I am sure you guys think, when someone mentioned said bank employ people, you think they count the money with their hands.

The just operate the machines and punch in the figures into your account. More or less Money Counter Machines Operators.

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Now you are just being silly. We are discussing MONEY COUNTERS and how the machine could provide a more efficient and effective solution for banks. Please stay on Topic. WHat has the teller ,opening accounts and all to do with this??

By the way,

a) you can open an account online.

b) You can even make deposits without actually walking into banks and there are machines that can read checks.

c) Machines do check for counterfeits

d) Machines can check if you mix 500 and 1000.

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So wait, how the fact that we each may have actually seen human counters in Nigerian banks is of no mind to you?? As far as you are concerned, we are not in Nigeria at this moment and so you automatically know more of what happens in Nigerian banks than anyone else does??

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Dude,  the examples you give above are arguments for why these banks ought to invest in autocounters and not human money counters. I mean accuracy, germs, reduced need for all  that load, time,  all reasons why banks need auto counters vs human counters, don't you think??

I wonder how much time does it takes a human to count 1000K Naira. Compare that to a machine doing the job.

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Hmmm

The stuff is ridiculous.

bank emploing human counter? huh/

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Aren't the machines going to be controlled by human beings? before you ( LMAO) LurAO!!

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Another waste of time.

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How many banks practice that?

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@McKren, that is one of the benefits out of quite a good number of such a venture. If it is feasible i see no reason why a redenomination exercise should not be carried out. As long as the exercise is well managed.

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Economically, it's an idiotic idea. But politically, it's a brilliant idea.

It's a brilliant way to obtain the support of the economically illiterate majority.

Yar'adua recognizes this, but he doesn't want Soludo to get all the credit for it. See?

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I thought they were about to fire him? Why ask his favors again?

could you please tell us why he should be sacked?

for your infomation tribalism and bigotory is never pedestal for any progressive nation.

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You mean banks don't use machines to count money?? LMAO!!!

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Must Naira be re-dominate? I think the issue is not naira re-dominatn. Value naira is the headache. When a hundred naira note purchase one packet of OmO At present time, and after the denominatn it equivalent say 1 has no purchasing power of two packets it became nonsense. It became a waste project. We want a situation where a hundred note of today can double it purchasing power tomorrow. If we can remember in early 80's how strong was the naira purchasing power we would find it amazing.

For those that have regional sentimentality its high time to withdraw such ideologies that cant yield anythn rather than enemity and hatred. Our vision should be toward a great nation not toward a great northern Nig or Lagos and what have you.

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ROFLMAO!!! GOOD TALK~!!

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Can't hear you mentioning any African country girl!

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There are a million and one reasons why this issue should not even be whispered let alone put it upon a public forum like this for individuals of sane minds to debate upon.

Why dont we watch and learn from the attendant failures suffered so far in the Ghanaian economy first.

The federal government should take a step forward and study the numerous failures that has preceded currency denomiations in other countries.

how much would this exercise cost the nation?

we dont have to go through all this alone please

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I wish the Northerners see it hat way because AREWA made it clear last year that the move is threatening their source of livelihood.

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I have to agree with @Oldie there @Redhotchic. There is no price control mechanism to make sure that it works to improve or increase the value of the Naira, so I think it is a long shot to believe it will improve value but, if that is what the man thinks will, then I guess we have nothing to loose at this point.

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Decimalization will not change the value of the Naira

It will only reduce the numbers of billionaires we have

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Does this really increase or improve the value of the naira here??

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Yes, decimation of the naira will fix the lapses in forex and demystify the dollar. How much will they be making as profits from buying and selling when the margin will not be much with the banks? You forgot that bureau de change only became lucrative when the naira value went down during IBB regime. Do you know how many hausas this move will affect?

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Can you please expound on the above??

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It appeared like trying to cut the 'over-zealousness' of soludo

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True but you forgot it'll render the whole alhaji's that control the black market jobless. I read a complaint from northerners on how southerners are trying to manipulate the economy to keep them down on their knees. Soludo would've introduced that bill with a northerner, that way they will be more comfortable.

My gain tho, at least my weak dollar is still relevant in naija.

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Question: How early was it then and How late is it now? Forget story,

I think it was a case of throwing away the baby and the bath water.

When this matter was mentioned it was treated like a treasonable offence.

Nigeria we hail thee.

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What about the westerners that quickly resign at any sign of vilification? Does it mean they lack what it takes to fight back or they are being dishonest?

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the idea sounded logical but then the government felt it was too early

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The Nigerian academics and brilliant minds in our system, will not resign and walk away!

They have seen and tasted the juice

They will always rationalise why they should hold on

They use the system to enrich themselves

They don't have the balls to resign!

It is not because they love the country better than you and I

It is because they make fortunes out of our misfortunes!

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Thank God that common sense is prevailing eventually. A sound mind like Soludo should not be toyed with anyhow. He surely knows his onions and he is very confident going about his 13 point agenda for the Nigerian economy/the Naira.

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please lets not make this debate North vs South

It is rather a debate about maintaining a retrogressive status quo or charting a new progressive economic course as a Nation.

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Usman vs. Soludo; every southerner works for the northerner no matter their positions.

Usman's arrogance, miseducation, and disrespect for Soludo- his former boss is nauseating.

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@Poster, I would not resign if I was being vilified. However, I would take the opportunity to fight back, producing documents/videos/recordings to help clear my name and bring my accusers down where they belong. Yet to see such happen in Nigeria but I hope we get people like that soon. A honest man will stand his ground and fight. We get people who claim to be honest but sit and wait to be axed. Then there are those who proclaim to be honest but step down even before the fight has begun.

My question to people who fall under the above categories is how do they expect to be taken seriously when they rarely put up a fight or do much to defend themselves??

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The most annoying part of the article was the mentioning of Yaradua's seven point agenda. What on earth is the seven point agenda? What targets does the agenda have and what policies are being put in place in order to make sure that these targets are approached? That is the most irritating thing in this administration. It is now over a year since Yaradua got in and there are strikes looming and what seems to be no movement and a maintenance of the status quo. With regards to the redenomination, if Yaradua does it at least it means he has done something, and yes i know how that sounds but nothing is more irritating than a visionless leader, it is like watching grass grow. Besides the redenomination could serve as a means of controlling inflation, especially important within the current global economic climate. I am just wondering how much it would cost and wether it can be properly managed, especially after the whole corruption in the Nigerian money press fiasco, etc

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RedHotchic

If you are passionate about making a difference you will come to understand that resignation does'nt advance those courses you believe in, in a country like Nigeria.

When u go someone will replace u and those who frustrated u out will spin the story why you resign and cook up all sorts of things that ur resignation simply becomes insignificant

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He has not been asked yet officially

Not sure anybody is asking for his favours, he is being asked to do his job.

That said, I will say so much commendations to Soludo for patience and humility against all odds.

It gets very difficult knowing that you are simply being villified for doing the right thing

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