Adaure4ever:
I don't trust china, thìs may be a plot to use Nigeria as a tool inorder to anger America and believe me, America will be preparing to deal with Nigeria angrily for this..
-- 2NDLY, China is an economy colonalist who will use this flooding of Yuan in Nigeria market and Loan to dominate our market heavily with made in china products.
We will keep importing importing and importing their products heavily now.
Lastly, Nigeria should prepare for the fury of USA Economic CIA, they will be preparing to catch Nigeria through the World Bank or deal with Buhari.. Go and read about what happened to Gaddafi when he tried his One Africa currency against the USA.

So we should be afraid of those terrorists? F*ck the USA

BiafranNigerian:
Unfortunately, we dont have Yuan denominated acct, so you are heading to black market, so use black markt permutations.

it can still be negotiated with a chinese indigene who has and operates yuan account.

northvietnam:
I must confess and for the first time am about to Call him Mr president not Dullardi.

Am proudly 5% and this policy will benefit my Alaba and onitshaa brothers wellaaaaa.

Spoke with some of them on phone and told them the news, i had to explain in a lay mans way for them to comprehend, they were happy and one even said to me so nwoke fulani nwere this kind brain...

We need good governance. I will not stop wailing if Bubu, sorry if mr president jonz again in policy making.

Long Live the Lands Across the Niger River..

Proudly 5%

so nwoke fulani
nwere this kind brain...Hahahahahaha

faaiz4ever:


They will never allow you to convert yuan to dollar straight off. This way u can't make any nonsense profit.

i disagree on this with proof. In Dubai,i convert aed to dollars anytime anyday,anywhere.

faaiz4ever:


They will never allow you to convert yuan to dollar straight off. This way u can't make any nonsense profit.

i disagree on this with proof. In Dubai,i convert aed to dollars anytime anyday.

America will not like this.

ogunsinamayowa:
What about if you want to buy from china's store directly ( allibaba, alliexpress etc)? Will you need to convert naira to yuan and then to Dollar. Or it will be naira to yuan only?

No! They give you the rates almost at interbank rate(199/$) last time amazon gave me rates of 208/$ which is ok.

Femich18:

so nwoke fulani
nwere this kind brain...Hahahahahaha

The thing shock the man i swear

northvietnam:
I must confess and for the first time am about to Call him Mr president not Dullardi.

Am proudly 5% and this policy will benefit my Alaba and onitshaa brothers wellaaaaa.

Spoke with some of them on phone and told them the news, i had to explain in a lay mans way for them to comprehend, they were happy and one even said to me so nwoke fulani nwere this kind brain...

We need good governance. I will not stop wailing if Bubu, sorry if mr president jonz again in policy making.

Long Live the Lands Across the Niger River..

Proudly 5%

Bwahahaha at the bolded. Please don't make me spill my tea again. Lipton don cost.

anangboy:



Bwahahaha at the bolded. Please don't make me spill my tea again. Lipton don cost.

Relax Gee.
Very soon nah chinese tea you go dey drink, 8satchets for 20 naira...

brightology3:
don't you think if one can source dollars at the official rate of 199 naira to a dollar and now convert it to yuan at 6.74 RMD(Yuan) to purchase either raw material of finished goods will be more profitable comparing 30.74 naira to Yuan.

The problem has always been to source out dollar at CBN rate hence the crises. my aim is to cut short conners to get to dollars at cheaper rate.

I import laptops, iPads tablets and phones. so china stores will be of little or no help to what I need.

BiafraBushBoy:
Bubu just satisfied our greedy demand for foreign products!!

Oya let's switch to Yuan till it becomes 1 Yuan = 300 naira, we will find another country to swap with again!!!

Nigerians don't wana suffer but they want to be exporting!!

How is that possible??

actually, that export thing is a good idea but what can we manufacture in mass and export? We hardly export anything to other African countries let alone the world.

northvietnam:


Relax Gee.
Very soon nah chinese tea you go dey drink, 8satchets for 20 naira...

Hahahaha. I actually bought a pack of Chinese made ginseng tea for N200. Lol.

What the Nigerian regulatory authorities (banking, port, boundary etc) should watch out for is the impending proliferation and obvious abuse by the system. Making this policy anything more than a short term measure will be disastrous to the economy.

Eye opener mehn.
Let me start converting naira to yuan to pay for ACCA

udumosam23:
At current rates of 30.74 Naira to the Yuan, and 6.74RMB (Yuan) to the Dollar, Nigeria would be able to fund its importation at the equivalent of the current official rate of N199/$1.


wait o, am I missing something here, like guys have been converting their nairas to yuan, then buy from US or UK at lesser rate with Chinese yuan o.

And I dey here dey wait make dollar come down b4 I reassume importation. chai, I dull, I dull.

wey my chrome book, ( starts browsing on how to convert my naira to yuan and then to dollar ). Thunder fire devil.

uduak2016:
Somebody is trying to piss America off by abandoning the Dollar for other currency...no nation has tried it and was successful at it especially in Africa.

let's see how it goes. If we develop Nigeria to self-sufficient capacity, America would have less stunt to pull on our ass.

grandstar:
I am certain this is not true! Makes no economic sense as it will be massively abused

it is the habit of Nigerians to abuse everything they lay hands on, that shouldn't come as a surprise to you.

There are some issues with the usage of yuan versus the dollar. You will find international currencies have to be accepted internationally to be deemed a standard of measurement/payment

Germany, Canada, Zimbabwe, Sweden, Australia etc have all adopted these treaties but what trade volume do they really do in yuan comparative to other currencies?

Most chinese exporters would rarely quote goods in yuan. They all prefer a more standard and acceptable metric in dollars rather than yuan

For the local importers, I highly doubt they would want to use yuan. Simply because that means going through banks in Nigeria and hence CBN. That also means full declaration of the value of goods imported and full payment of duties. It for this reason CBN themselves have valid and non valid for fx. Few importers use form M, valid for fx, simply because they cannot afford full disclosure hence have to pay full duty payment , so they can't use banks for remittance when full disclosure and crippling duty payment are mandatory

Similarly yuan also means using foreign reserves. Switching a portion of our FR hasn't changed the fact our FR is low and allocation is managed hence continued scarcity

In conclusion, the chinese themselves don't sell internationally in yuan. Few countries that have yuan usage rarely use it while dollars dominates; our local importers can't afford to go through banks for yuan transfers, due to full disclosure required. Low foreign reserve means even if they do, the queue would still be long (as obtainable at present using dollars). It's like changing a child's name, without any addition of substance

Thank you for reading

anangboy:


Hahahaha. I actually bought a pack of Chinese made ginseng tea forN200. Lol.

What the Nigerian regulatory authories (banking, port, boundary etc) should watch out for is the impending proliferation and obvious abuse by the system. Making this policy anything more than a short term measure will be disastrous to the economy.

Omo u get mind Oooooo. I no fit drink tea 2huns. Oooooooooo....

Clone2020:
I don't trust the Chinese.

butipreferthemtotheAmericans

BiafraBushBoy:
Bubu just satisfied our greedy demand for foreign products!!

Oya let's switch to Yuan till it becomes 1 Yuan = 300 naira, we will find another country to swap with again!!!

Nigerians don't wana suffer but they want to be exporting!!

How is that possible??

But there is no light

amdman:


How is it possible to wean your citizenry off cheap imports by making importation attractive? As long as the Govt is not willing to religiously pursue a pro naija-made policy, we will keep going around in circles.

No light oo

We import a lot from China. This will reduce the stress of getting dollars. Hope our importers are happy now.

mrsage:
What's the exchange rate. Naira to Yuan? And is this the time to buy the yuan for speculation?

Or if you don't get yuan to buy.You can start frog or lizard farm and start exporting to be paid in yaun.The Chinese eat lots of frogs

Who caused the dollar crises in the 1st place if not Buhari with his bad economic policies?


Now he promised to fix the problem he created by kindergarten arithmetic and you gullible ones are quick to believe him (who believes his promises anyways?).


You people act as if China is the only country in the world. What about the Nigerian students in the UK/USA, should they pay their school fees with RMB too?

The business men who import things from other countries like Turkey, Singapore, UK, USA, Dubai should buy with RMB too?

bayulll011:


Child of bitterness even if buhari turns 1$ to 1naira today some of you will still wail,lateness and bitterness is so immune to you guys,always selfish interest you can't put the nation at hearth 1st,awon werey

I am a critic of Buhari, I never liked him, but this is a great move, at least a quick fix measure that will crumble the requirements for dollars and crumble its value for Nigerian importers who are mostly getting goods from China.

It is a temporal fix for consumer goods, we need to take advantage of this reprieve to stabilize our electricity needs, import manufacturing modules and galvanize our steel production factories. Without these, the cycle will continue again and again.

This is an opportunity, to get us off the cycle of demand and supply curve of foreign goods, if we can.

America will not be happy with this, so watch out for sponsored instability and bad press.

The yuan availability can be used to fund transfer of technology, i forsee people embarking in long term production ventures rather than quick buy and sell. More so from the analysis of aunty kemi. The loan from china should be deployed to develop infrastructure that will create such environment for nigeria drive of becoming a production economy to be sustainable

HIbreed:
please can you elaborate on this.

Yuan will eventually become one of our currency reserves,
this means the FG will do everything to prevent its decline just as
it is protecting the dollar reserves, should that happen, only
highly placed business men such as Dangote will have access to
the official Yuan rate.
The rest of us will have to rely on parallel market rates.

[size=14pt]Very educative post. Thanks[/size]

Well analyzed

Hmmmm. This government is about to annoy Uncle Sam. Buhari, be careful. The US can be very wicked.

Also, things won't be as straightforward as discussed in your "pros". I will prepare a counter later, God willing. Nigeria does not have the required 'instruments' to make the process seamless.

The mighty and all-pervasive US of A will ensure this deal is DOA anyway