Opinion

Cautious Optimism As Naira Rebounds

Published

1 year ago

April 22, 2024

It has been good news since the past three weeks as our national currency, the Naira, continues to regain its lost value. The recovery follows frantic efforts by a government whose ill-advised, inaugural policies had set the legal tender, and the whole economy, tumbling.
The naira took an unprecedented plunge from last June and hit bottoms by the middle of March, 2024, following a hasty decision by President Ahmed Tinubu’s administration, to let it float freely on the market forces of demand and supply, in addition to removing petroleum subsidy, in disregard of the handicap of Nigeria’s import-dependence.
Without provisions to boost productions that satisfy domestic demands, or prime export capacities to balance import pressures on the local currency, a floating naira depreciated by 25 per cent in a single day in June, 2023, dropping to N1,950 per dollar in March, 2024, from about N750 per dollar earlier in May, 2023, while the price of petrol jumped overnight to 295 per cent, from N189 to N557. By December, 2023 overall inflation, according to official estimates, reached 28.92 per cent and food inflation shot beyond 33.33 per cent.
According to a World Bank report, whereas about 24 million Nigerians crossed the poverty line during the first half of 2023, in the twilight of the Buhari administration, situations got worse by the end of 2023, when accelerating inflations ushered-in by Tinubu’s hasty policies, pushed 63 per cent of Nigerians (about 133 million) into multi-dimensional poverty.
By the first quarter of 2024 hardships drove restive youths to near-uprising, which forced government into another haste – a concoction of palliatives – ironically, a form of subsidy, which it had earlier denounced as government wastefulness.
With the naira regaining its losses, it appears a panicky government has finally groped unto a solution. But if Mr President’s men are remorseful for the havoc done to Nigerians, they should be more sober this time in their computations to avoid distressing the country further.
The Federal Government has resorted to offloading dollar raised from sovereign bonds (in essence, loans), petroleum export proceeds and drawdowns from the external reserves, into the economy to reduce Foreign Exchange (FX) supply pressures, and to help it buy time in the hope of finding solutions to the wider unfavourable economic fundamentals bedevilling the economy.
On the dollar demand side, government has freed-up official restrictions that it believes created artificial scarcities that favour the black market. The Central Bank of Nigeria (CBN) has also cleared-off a backlog of FX obligations to assure investors, lifted the ban on sale of dollar to Bureau De Change Operators (BDCs), clamped down on currency speculators, closed down Binance, a crypto platform government accused of opaque dealings with money launderers, and borrowed dollar through short-term, sovereign bonds to ‘defend’ the naira.
Ever since, the CBN has offloaded dollar to BDCs at progressively reduced rates in the hope of prompting currency hoarders to cut losses and release supposed stockpiles. But in a clime where looted funds are desperately exchanged and exported, not much may be squeezed from hoarders, if surveillance is not stepped up. However, as at April 8, 2024, the CBN has offloaded a second tranche of $10,000 per BDC operator at N1,101 per dollar with a charge not to sell above 1.5 per cent margin. Many predict the CBN would offer the dollar below N1,000 in the coming weeks.
But for how long can the CBN go on with its bonanza to ‘defend the Naira’? And what has been the cost of that defence? While the impact of strengthening naira is yet to reflect on commodity prices in Nigeria, the nation’s foreign reserve has dropped within 18 days by $0.95billion, down from $34.45billion on March 18, 2024, to N33.50billion on April 3, which represents a daily average depletion rate of $52.78 million. This is despite the $3billion loan from the AFREXIMBANK and petro-dollar revenues also thrown into the fray. To sustain its strengths, reports say the federal government plans to take stabilisation loans by June, 2024, speculated at a tune of $15billion, through the issuance of domestic bonds denominated in foreign currency. FG seeks the loans within the window of short-term, volatile Foreign Portfolio Investment (FPI) bonds which may disappoint the country in times of crises, as against Foreign Direct Investments which are more reliable. According to Bloomberg reports, FG has contacted investment banks, JPMorgan Chase & Co, Goldman Sachs and Citibank NA, for advice on Eurobonds, but Nigeria’s Debt Management Office denies Federal Executive Council’s approvals for such.
Certainly, a stronger currency is beneficial to an import-dependent nation like Nigeria, but without strengthening national productivity to generate surpluses for trade-balancing exports, the pursuit of merely high currency valuation becomes a vain strategy. While the naira strengthens, the reality of the adverse economic fundamentals that erode its worth remain unchanged, implying that its buoyancy rides merely on costly FX floods being pumped by the CBN. It is easy to guess the result, should the CBN halt supply.
For years Nigeria relied on its petroleum sector which at present provides about 78 per cent of FX earnings, but constitutes far less than 10 per cent of its real Gross Domestic Product (GDP), implying that to stabilise, Nigeria needs to grow its non-oil sector of over 90 per cent of GDP. Even the petroleum revenue is endangered by sabotage, illegal bunkering, dwindling investments and insecurity.
The FG may have taken the bet that sustaining the naira could buy it time from hard-pressed Nigerians, in the hope that a number of tangible local productions might kick-off. Notable among the expectations is the Dangote Refinery which, with its 650,000 barrels per day refining capacity, is expected to satisfy local demands of petroleum products to ease the huge FX demand in that front, and may hopefully earn FX through exports. Already, Dangote’s recent release of 100 million litres of diesel crashed the price of the product from N1,700 to N1,350, with another batch of 100 million litres expected to crash prices further, while the company plans to supply petrol by next month, but government-owned refineries which have drained so much resources remain dysfunctional. Again, the recent break through against reprocity flight barriers between the UK and Nigeria by Airpeace, reportedly crashed ticket prices to UK by 60 per cent.
FG may also see reliefs in the successful take-off in Aba, of 24-hour power supply by the Geometric Group and the recent commissioning of 700 Megawatt Zungeru hydro-electricity station, a tomatoe processing plant in Nassarawa, and a steel mill in Kaduna. However, agricultural, petroleum and manufacturing sectors remain at their lowest and beseiged by insecurity, while the financial services sector appears to be strong but has incommensurate impact on industrialisation. If government does not encourage productivity in the real economy, its efforts in buoying the naira would be hopeless, while Nigeria falls deeper in debts. Already, as at December 31, 2023, Nigeria’s total debt stood at $106billion, while the 2024 budget of N28.7 trillion projects a deficit of N9.8 trillion to be debt-financed.
When public debt grows fast ahead of GDP growth rate, mounting debt service costs under-cut funds required for investment. That became the plight of Nigeria from Buhari’s era, when from 2016 to 2022 public debt grew by yearly average of 52.4 per cent, and GDP below 2 per cent. In that fateful 2022, debt service cost exceeded government revenue, which is why we are where we are.
The International Monetary Fund projects that Nigeria’s reserve would plummet to $24billion by end of 2024. Meanwhile, a nation’s FX reserve reflects the country’s balance of payments and its ability to settle international obligations. Severe declines in reserve may erode investor confidence and lead to downgrading of its credit ratings, which further worsens the nation’s borrowing costs.
Therefore the current approach towards buoying the Naira through loans can not be any other thing, but a gamble.

By: Joseph Nwankwo

Opinion

184 Days of the Locust in Rivers State

Published

13 hours ago

September 29, 2025

The Tide

Quote:”Sadly, what Rivers State experienced during the emergency rule was more than the devastating effects of a plague of locusts. The tragedy is that the “alien” invasion left a developmentally retarded landscape and a psychologically traumatized people in its wake.”

Locusts are infamous for their devastating impact on agriculture and food security, especially when they enter their gregarious phase. At this stage, they form large, migratory swarms and move with rapid speed, covering up to 150 kilometers in a day. As a result, they strike without warning and make early control very difficult. One locust can eat the equivalent of its body weight in plant materials daily. Its diet includes wheat, maize, rice, fruits, vegetables, and even tree leaves. Locust outbreaks can cripple subsistence farming communities and cause damage that could lead to food shortages, economic losses, and humanitarian crises. Adjudged one of nature’s shapeshifters, the locus leaves a devastated landscape in its wake. The declaration of state of emergency in Rivers State from March 18 to September 17, 2025, crippled the otherwise smooth-functioning bureaucratic institutions and many aspects of life in the state.

The first salvo, which heralded the “locust effect” was the appropriation of N30bn to acquire gunboats. Rivers people wondered aloud if their State had a navy or was at war. Again, N22bn was expended on installing a new close circuit television (CCTV) in a Government House that already had an effectively functional CCTV. Regarding this, Kenneth Okonkwo jocularly asked if they are “trying to see the [genitals] of an ant”. That was an anomaly given the fact that the administration was a stopgap measure. Not a few Rivers people questioned the motive behind the installation, in view of the sensitivity of security; this fact remains very worrisome. Like the shape-shifting locust, the Sole Administrator (SOLAD) consistently shifted from the authoritarianism of military demeanor to the multi-tongued man-of-many-words mien of politicians.

Between these two behavioral extremities of the SOLAD, Rivers people groped in the dark and lived in confusion; they ached from the antics of an admix of “a bird of passage” and “soldier of fortune” who responded only to directives from his masters voice from a distant land. Consequently, non-indigenes began making decisions for Rivers State: Bola Tinubu (Lagos State), Godswill Akpabio (Akwa Ibom), Tajudeen Abass (Kaduna State) and Kudirat Kekere-Ekun (Lagos State). The SOLAD’s mindset became akin to that of an imperial officer assigned to milk a colonial outpost. Resultantly, a non-indigene was appointed to the sensitive position of Chairman, Rivers State Electoral Commission; the position of Chief of Staff went to another non-indigene and, and, and. In the end, it was a classical case of two brothers fighting over inheritance and a stranger stealthily steals it.

In line with the “imperial officer” metaphor, the SOLAD arrogantly and audaciously said that he is not accountable to anybody other than President Tinubu. Incidentally and quite tragically, when asked how the days of the plague will affect the people of Rivers State, one of the SOLAD’s masters gutturally bellowed thus: “To hell with them”. To hell with Rivers people?!! Of course, subsequently, salaries were delayed till the 34th or later in the months. As at September 18 when the days of the locust ended, many workers and pensioners were not paid for August thereby extending the month of August beyond 49 days. This was a sad reminder of the grueling yesteryears of agony occasioned by bureaucratic bottlenecks in salary administration, organizational recklessness and systematized insensitivity to the plight of the people.

In what Rivers people viewed as an adventure of “Alibaba and the Forty Thieves”, the Senate of the Federal Republic approved a budget of a whopping N1.48 trillion for an emergency rule of six months. A clear case of anomalous overreach and an outrage given the fact that the suspended governor was vilified for operating a budget approved by a factional section of the house. Even with the humongous budget, projects across the state were abandoned thereby affecting the economy of the state negatively. Meanwhile, Reuben Abati informs that “over N400bn” was spent within the days of the locust. On September 5, the agony of the ignominious experience of going on holiday without salary, a phenomenon that stopped when Fubara ascended the position of Governor of Rivers State, raised its ugly head again and Rivers people celebrated Id el Maulud empty handed. In other words, Rivers people celebrated “Sallah without Salary”.

Soothingly, the Rivers State House of Assembly has expressed the intention of probing the finances of the State during the emergency rule. Whether anything positive will come out of it is another matter. For Abati, “Ibok Ette Ibas must be prepared to give proper account”. Here is a call to duty for civic groups in Rivers State. Sadly, what Rivers State experienced during the emergency rule was more than the devastating effects of a plague of locusts. The tragedy is that the “alien” invasion left a developmentally retarded landscape and a psychologically traumatized people in its wake. Certainly, March 18 to September 17, 2025 has gone down in the history of Rivers State as 184 days of the locust. No wonder Dr. Nnamdi Azikiwe said that “Nigeria’s problem is not the absence of resources, but the presence of too many resourceful thieves”. Again, skeptical of the then novel concept of democracy, Socrates projected that: “thieves and fraudsters will want important government functions, and democracy will give it to them…when they finally democratically take authority…there will be worse dictatorship than in the time of any monarchy or oligarchy”.

It is however, consoling that, following his reinstatement on September 18, Governor Fubara “directed the immediate payment of pensioners August salary”. Regarding this directive, an author asserts that “This swift action underscores Fubara’s commitment to the welfare of employees and ensuring financial accountability in the state”. What there is to take home from the swiftness of this action is that Fubara is not only simple and humble, he harbors a humane heart. Doubtlessly, the “grasses” of Rivers State have been brutalized and traumatized in the supremacy fight between two elephants. The prayer now is that the actors in the ring and those in the wings, including the millions of cheerleaders on both sides of the amphitheater, should sheath their swords.

By: Jason Osai

Opinion

94 Years From A Turning Point

Published

13 hours ago

September 29, 2025

The Tide

Quote:”What the time demands is not the old strategy of might and arbitrary power claiming right, but balancing of past acts of arbitrariness, subterfuge and live by what the current period demands would fare better and not want to create more entanglements and encumberances.”

Astrology and astronomy may be regarded as being more of speculative than empirical fields of studies, but same can hardly be said about astrophysics. Thus there is an atomic principle known as stellar Activity Cycle (SAC) which stipulates that everything composed of atoms or matter has a duration or time of expiration. Thus all things that exist in physical forms must at a certain stage shed such forms, in preparation for another cycle in an evolutionary movement. A process of re-embodiment is provided for in the evolutionary cycles, which also have duration of time attached to each cycle of movement. Attempts have been made to estimate the age of the earth as a planet, using some plausible assumptions and data, including studies of old rocks. In this way the age of the earth is given as about 4.5 million years, ever though humans came much later when conditions of the environment could accommodate human life form.

Throughout the long period of the earth’s existence there had been cycles of changes meant to prepare conducive environment for human habitation. There had also been other races of different anatomical features floors. There are stones about Lemurians and Athlanteans. Ancient races of previous cycles reached the peak of their civilisations and then gave way for another cycle of which present races of mankind may not bethe last. The story of Noah in the scriptures illustrates how an old order can give way for a new cycle to evolve. Nature does not show that anything in physical form lasts forever; nor does the form of the earth remain same always. Revolutionary movement of the earth in relation to other planets and solar systems, is governed and controlled by strict and accurate order, such that no unintended occurrence ever takes place. Where disasters and calamities occur, the purposes are usually intended to correct some imbalances and arbitrariness caused by human activities and volition.

Thus apart from the cyclic movements in the whole of creation, there are also regulatory movements, meant to restore imbalances and regenerate the system. Specifically, by 21st July 1929, the earth experienced a significant turning point, whose purpose include a comprehensive purification and balancing of imbalances, brought about by humans, over past cycles of existence. What some religious sects called End of the World, War ( 1914-1945) were marked as a period of great expectations, actually ushered in a new turning point for humans, even though the actual event remains unknown to many people. In cosmic events marking major turning points, human concept of time can create misleading ideas, such that a thousand years expressed as one day, can cause confusions.

There are minor and major turning points whose occurrences follow some cyclic order, depending on the maturation and evolutionary movements of various celestial bodies. Such turning points and the changes which accompany them are not accidents but signify various segments in the march towards progressive perfection. Sadly humans usually lag behind in the process of improved status, while the earth follows its marked steps of revolutionary movement. Sweeping changes which become painful calamities are usually the results of human negligence, derelictions and ignorance. There is a strong scientific opinion currently that the earth’s orbit is widening fast, causing the earth to move further away from its central axis (The Sun) and resulting in climate changes and global warning.

From such changes, the earth is likely to reach a stage of catastrophe, with its climate unable to support life as we know it now. While anxiety may be uncalled for with regards to cosmic designs and turning points, it is important to note that human recalcitrance make the application of forceful means to restore order inevitable. The likelihood is that such use of force is called for, now. In the long history of the involution and evolution of man on earth, there was a period of deviation or fall, resulting in attachment to physical demands and over-cultivation of the sensory faculty. Gradually and over a long time, natural intuitive faculty was left unutilized, thus bringing about a grossly limited range of perception, It is to be expected that any ability or endowment that is not used zealously and in the right way must gradually become dormant and lost.

So it was that through personal volition and choice humans became more and more myopic and restricted in perceptive capacity. While the cosmic cycles of revolutionary movements and maturation went on unhindered, the pace of human maturity and transformation became stuggish and encumbered. Having entered a new phase in the revolutionary movement, but with the humans therein lagging behind in the pace of development, the earth bears a pressure too high for humans to endure. This imbalance results in accelerated pace of events and experiences, forcing humans into a state of panic, stress and having to make up for past negligences. Everything dormant now rises to a boiling point. Thus apparently inexplicable events taking place all over the globe currently, are the result of accelerated rays of the new turning point, in which the status of man falls short of what time demands

94 years from 1929 should be long enough a time from anyone to know that humanity is at the beginning of a new era having to do with the cleansing of impurities, to restore good health. What the time demands is not the old strategy of might and arbitrary power claiming right, but balancing of past acts of arbitrariness, subterfuge and live by what the current period demands would fare better and not want to create more entanglements and encumberances. But those who would want to carry on with business as usual are more likely to meet with surprises and frustrations that would force them to find right answers to perplexities of the present time. Experience will be the best teacher of recalcitrant humans. More recalcitrance, more pain!

Vital lessons to learn include the truth that God’s Will manifests as three laws: Sowing and Reaping; Attraction and Repulsion, and rising and sinking; all powered by a cyclic, rhythmic motion, which sustains justice, harmony and equity in creation. Man’s wrong use of his free will brings about contrariness and disharmony, which he must rectify sooner or later, to be able to free himself from burdens. Some drastic measures would feature in the cleansing process which the new turning point entails, so that those striving seriously towards improvement can be protected from recalcitrant ones. The pace of the law of sowing and reaping will be accelerated to an alarming degree! Turning point demands shifting of ground, to have a balance.

By: Bright Amirize

Opinion

Man and Lessons from the Lion

Published

1 week ago

September 22, 2025

The Tide

Quote:“Be not deceived; God is not mocked; whatsoever a man soweth so shall he reap also (Gal 6:7)”

The lion (Panthera leo) is a large carnivorous mammal belonging to the Felidae family. Though native primarily to sub-Saharan Africa, a small population also exists in the Gir Forest of India. Known as the “king of the jungle,” lions are iconic symbols of strength, courage, and majesty. Male lions are distinguished by their prominent manes, which vary in color and size. Their tawny coats help them blend into dry grasslands and savannas. Lions are apex predators, hunting mainly large herbivores such as zebras, antelopes, and buffaloes. They have been reverred in mythology, religion, and heraldry across cultures for millennia and they continue to feature prominently in literature, film, and national symbols around the world. Irrespective of how long the strongest lion lives and reigns in the animal kingdom, it inevitably eventually loses strength, becomes vulnerable and dies, miserably. That is the unavoidable harsh reality of this animal kingdom we call our world. As it is with the lion so it is with man and all mammals.

At the peak of the reign of the lion, it chases, catches, devours and gulps down the remains of other animals; it leaves the crumbs for hyenas in an act of generosity. However, in time, the inevitable natural occurrence takes place. The lion succumbs to the brutal reality of the aging process. It comes face to face with the realities of life after power: It can’t hunt, can’t kill or even defend itself. It roams on limbs enfeebled by time; the roars, which naturally came effortlessly thundering through the forest proclaiming its supreme reign, now require enormous effort to achieve; even a decibel audible enough to proclaim its kingship within the immediate surroundings has become a Herculean task. At this stage, the king of the jungle routinely climbs and takes refuge on trees during the day, away from hyenas that have become the predators. It is the existential reality of this stage in its life that informed the Igbo aphorism that translates thus: “Ukwu ji agu, mgbada abiaya ugwo” meaning when the lion is enfeebled, antelopes come to demand debts.

Everything it does now is with a lot of effort until it runs out of luck. The lion is cornered by a clan of hyenas that turns into a cackle with the mocking laughing-like vocalizations that characterize hyenas. The king is nibbled at and eaten alive by those it used to leave crumbs for. The hyenas won’t even let it die before they methodically dismember it thereby subjecting the “king” to the same treatment it subjected its preys during its reign. That is retributive justice. For both lion and man, life is short and physical beauty and strength are short-lived; they are ephemeral. Restated, as it is with the lion so it is with man especially those who rise to positions of great authority and enormous power in the affairs of man; more so with those who use it with reckless abandon without caring whose ox is gored. Everyone who lives long enough will naturally become weak, very vulnerable and, at some point, helpless. Therefore, let us be humble, simple and treat our fellow human beings with respect and compassion knowing that retributive justice is an immutable natural law.

Helena Blavatsky (1831–1891), the Russian philosopher and writer, who co-founded the Theosophical Society in 1875, and a key figure in introducing Eastern spirituality to the Western world, holds that every thought and act throughout life affect other members of the human family. A crime once committed and an evil thought sent out from the mind, are past recall; no amount of repentance can wipe out their results in the future. While repentance, if sincere, will deter a man from repeating errors, it cannot save him or others from the effects of those thoughts and actions; they will undoubtedly overtake him either in this life or in the next rebirth. Here lies the falsehood of vicarious remission of sins as touted in Abrahamic religions. The above highly spiritual deposition echoes the essence of the immutable law of nature, which applies to all, irrespective of station, location, color or creed. St. Paul admonished thus: “Be not deceived; God is not mocked; whatsoever a man soweth so shall he reap also (Gal 6:7).

Jesus informs thus: “I come quickly with my rewards in my hands. To give unto each man according as his works shall be (Rev. 22:12). The universality of these Biblical injunctions is found in their focus on “a man” and “each man”, respectively. Again, hinging on “soweth” and “works”, both admonitions emphasize DEEDS as the basis for salvation. History is replete with accounts of conquerors who captured vast lands, subdued millions of people and acquired stupendous wealth but who, eventually, went the way of the “King of the Jungle”. Is anyone listening? Is the roaring lion, whose thunderous voice currently permeates and sends the shivers across the length and breath of this tiny little minuscule corner of our planet, listening? Egbema people say that if a man fights different people during nine consecutive market days and his opponents are guilty every time, his kinsmen call him aside and advise him not to fight again irrespective of how right he is always.

A major difference between man and the lion is that man knows when to sheathe his sword and let peace reign. Peace is priceless and development thrives only in peaceful environments.

By: Jason Osai