Experts Blame Nigerians Shopping Abroad For The Fall Of Naira & Economic Recession

nigerians shopping abroad fall of naira

September 30, 2016 – Nigerians Shopping Overseas Behind The Fall Of Naira & Economic Recession – Experts

With Nigeria witnessing the worst economic recession in decades, experts, ‎have blamed the free fall of the nation’s currency against foreign currencies on the unquenchable appetite of Nigerians on foreign products.

The experts opined that while it was not impossible for the Nigeria’s economy to come out of recession, but stressed that if the youth could stop looking for ‎white-collar job and think outside the box by providing economic solutions to the needs of the society that the country’s economy would bounce back.

The experts made this known in Abuja at the 2016 edition of the National Youth Summit with the theme; “Harnessing the Untapped Generation.”

Speaking at the event, the Founder of Ace Foundation, Dr. Chiefo‎ Ejiofor lamented that the country is presently going through a ‘silent’ but ‘troubling’ transition, adding that this is supposed to be an opportunity but noted that he was also wary of the consequences.

According to him, “30% of the current Dollar demand is due to the insatiable appetite of Nigerians ‎on imported goods. The average Nigerian doesn’t believe in made in Nigeria goods. Those making shoes in Aba said they have to put Made in Italy before they can sell their products. “

“The unquenchable ‎appetite for foreign products, heavy appetite of what is foreign has made the Naira suffered massively against foreign currencies which is traceable to the value system,” Ejiofor noted.

He emphasised that Nigeria economy is presently under siege from ‘economic soldiers‎’. “Nigeria is under siege, under siege from economic soldiers, back in those days it was the British that colonised us, but now the Chinese are here, buying whatever we have with pea nut.

“Chinese are gradually taking over our economy, and let me tell you how bad is going to get, one day you will have to go ‎to your village to buy a land and it will be sold to you by Chinese,” he said.

Ejiofor‎ however stressed that most of the problems the country is facing presently are man-made, which made them solvable, but added that if everyone could give his all to the Nigeria project, the country would be great again.

Meanwhile, the representative‎ of Central Bank of Nigeria (CBN), and the Manager Development and Finance office CBN Ms. Etim Ejike said the apex bank has rolled out various initiatives to lift the economy out of recession.

Part of this initiatives, according to her include ‎financing the real sector, with special focus on agriculture, and micro small and medium enterprises. She added that CBN has made available N220 billion loan at 9% interest rate for Nigerians.

One of the panellists, Mr. Olumide Omojuyigbe however tackled the apex bank for making the laid down the conditions for accessing the loan too rigid, noting that commercial ‎banks are not making it easy too for Nigerians who are seeking the loan.

[By Adedayo‎ Akinwale, This Day Abuja]

3 thoughts on “Experts Blame Nigerians Shopping Abroad For The Fall Of Naira & Economic Recession

  1. Who are those experts blaming the free fall of our naira against foreign currency on the unquenchable appetite of nigerians on foreign products?

    Such analysis or evaluation from those experts in connection with our currency is inaccurate,counterfactual and deeply flawed.

    The weakness of our currency against other internationally traded currencies was officially determined by the current government heeding the IMF advice to devalue our NAIRA. This call from IMF was heeded by our government in a bid to diversify and stimulate economic growth in Nigeria. And due to that,the central bank of Nigeria officially effected an immediate change of our currency from the rate of N197 per dollar to N285 per dollar back in may 2016. As at that time,the black market was sold at the rate of N350 per dollar. Now going by that new development,what depreciated the value of our currency against the dollar is not categorically the sharp drop in prices of crude oil as some may point out,neither is it the unquenchable appetite of nigerians on foreign products as some experts erroneously concluded,rather the devalued state of our naira was initiated by Nigerian Federal Government with the sole aim of revitalizing our paralyzed economy. The problem we have in the country is that we devalued our naira when we have nothing except crude oil to export to other nations to generate more revenue. And that is what makes the naira devaluation policy in Nigeria today suicidal!

    SECONDLY,expert blaming nigerians shopping abroad as the reason for the free fall of our naira as well as the current recession is total deception and an attempt to divert our attention from the government’s inefficiency,failings and their inability to build our economy.

    Has our Government ask why nigerians are busy running away from our locally made product and shopping abroad? Nigerians are shopping abroad due to the widespread of fake products in the country. And let’s not only blame the producers of fake products in the country rather let’s also direct the same blame to our Government. In advanced countries their are agencies mandated by the government in collaboration with each firm and it quality control officials to examine and cross check the quality of any products manufactured by any company in order to determine it originality and quality before such products will find it way into both the local and international markets. There are also agencies in those advanced countries standby to deter importations of such fake products either through by land,air or sea. While we have the replica of some of the agencies here,we seem not to have the ones that work hand in hand with each company to determine the quality of any products being produced by them e.g bags,shoes,clothing and textiles,wrist watches,necklaces among others. In order to reverse the trend of nigerians chopping abroad as well as their failure in buying our nigerian made products,the government have to do more in tackling the untraceable backyard producers of fake products. Anyone of the self owned small scale company producing any products in Nigeria like the ones we have mostly in the eastern part of the country in ABA and elsewhere should have it company and products registered with the government. And government must make such registration of small scale producing company of finished products compulsory so that they can have complete control of the products quality before it distribution into the markets. They also have to encourage small business owners producing our common wears mainly in the east,assemble them together,make them into big companies in respect of the goods they produce,monitor their production qualities and before we know it,nigerians will start seing sharp drop in fake products made locally. it is by then nigerian people will be moved to buy our locally made goods. No sensible nigerian we like to shop or spend his or her hard earned money on fake products that will quickly fade away without reaping any benefit of from it. That is why government must act now to bring the prevalent scale of fake products in the country to it lowest minimal so as to encourage more consumer spending in locally made products and stimulate socio-economic growths that is extremely needed at the moment in our nation.

    Allocated funds for agricultural purpose in the country should also be made easier and available to both small and large scale farmers without burdensome requirements. But all we’ve being hearing on the TV or in the news paper is how billions of naira have being allocated to agricultural sector without any visible impact on our local farmers in the country. If many of this obstacles are not removed,our economy will continue to struggle without any way out of the recession.
    So Adedayo Akinwale thanks for your article. It was well written.

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