Breaking News

Price of bread is now N300

Announcement on shop window at Odunlami Street, Lagos Island. Odunlami Street, for those not familiar with Lagos Island, is famous for the shops selling coffins and arranging funerals. The bread shop is stuck between two of those shops. So its announcement concerning the increase of bread price was made with all the finality of a death sentence pronounced by a hanging judge. Bread, as the saying goes, is the staff of life. No food is more universally consumed than bread; the second is rice.

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Why CBN and Lagos state might fail to save Skye Bank

The Central Bank of Nigeria, CBN, and the Lagos State government have different reasons for desperately averting possible Skye Bank distress. Even the hint of likely distress inhibiting deposits and inviting a run on the bank is not in their interests. For the CBN, the collapse of any bank, at this time, is likely to create collateral damage affecting other banks, governments, the organized private sector and the financial system. So their anxiety on this matter is understandable.

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Thank God for Godwin Emefiele

There must be occasions when the Governor of the Central Bank of Nigeria, CBN, Mr Godwin Emefiele, must feel like the late Italian dictator, Benito Mussolini, 1883-1945, who declared that “Governing Italians is not impossible; it is merely useless”. Governing the Nigerian monetary policy sector and its financial systems, rationally, is also not impossible. It is increasingly clear that is might be the closest thing to exercise in futility.

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APC’S welfare package commences next month

Kolawole is one of the reasons for buying THISDAY. His economic analysis is always incisive and professional. Even when you don’t agree with him, it is almost impossible not to respect his point of view. Simon, though generally correct in that article made two minor errors. First he assumed we don’t have an “economic war room” and that jollof rice was not part of the package of giveaways by the APC government which would have loved to have the Biblical Prodigal son as a member of that war room.

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Recapitalisation: MfBs canvass regulatory support to attract investors

Have bandit bankers struck again?

“Banka’ toxic assets may hit N3.0 trillion”. Emeka Anaeto, Economy Editor, VAGUARD, July 17, 2016. When George Santayana, 1863-1952, warned that “Those who do not remember the past [mistakes] are condemned to repeat it” (VANGUARD BOOK p 93), he did not have Nigeria’s banking sector in mind. In fact, that sector had recorded more high profile crooks than any other since the first authentic Nigerian banks were established in the 1950s by individuals whose names would not be mentioned now.

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Nigeria’s economic outlook for the rest of 2016

That the Nigerian economy is in a recession is no longer news. In fact, for some of us, it was predictable, even long before the Economic Management Team was aware that it was on the way. The International Monetary Fund, IMF, recently projected contraction of 1.8% for 2016. The Federal Government while not officially contesting the IMF estimates still clings to the faint hope that “the economy will show recovery in the third quarter of this year” (Mrs Adeosun).

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Diving headlong into another debt trap – 2

Popularity, real or imagined, is the opium of the political classes. The only way to wound a politician’s ego is to tell him that he is no longer popular or that his popularity is nosing downwards. Two weeks ago, President Buhari announced that the goodwill he started with among Nigerians is still intact. That shows the reader what the shift from candidate to President can do to anybody.

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Bailout, governors

Diving headlong into another debt trap

There are two Ministries scaring the hell out of a lot of experts these days the Ministries of Justice and Finance. Right now, it is difficult to know which of the two will finish us in first. This is not the Law page, comments on the activities of the Minister of Justice and Attorney-General of the Federation will be left to others versed in litigation. Finance is another matter and here what is easily discernible is that the Federal Government is setting a bad example in fiscal irresponsibility for the states by adopting a “borrow-and-spend” policy.

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