Soludo dropped from National Economic Team, Redenomination shelved by the presidency.

[obinnaD]

Guardian Newspapers
Guardian Newspapers


I'll like to share this contribution made by someone else on another forum:

also have a strong gut feeling that Soludo is very much on his way out. This is going to be rather unfortunate because while he has good intentions, his poor judgement might have cost him dearly. This is one of the disadvantages of having academics occupying political offices at times; most often, they fail to understand or take into full consideration the over-arching political influence even if the post is supposed to be autonomous, in short they usually fail to 'think-outside-the-box.'

First, he probably did not read very well the changes in the political climate after the elections that brought in Yar'adua, still wanting to operate like he is under OBJ. In addition, regardless of the autonomy of the central bank, he goofed miserably by unilaterally setting a major 'economic agenda' for the whole country without the backing of the President/presidency. Furthermore, while the stated overall objective of the 'revaluation/redecimalisation/recalibration etc' of the naira is to strengthen the economy and position the nation among the world's largest economy, this MUST be part and parcel of a comprehensive, integrated and multisectoral development framework for the nation, not just the Central Bank to unilaterally decide and perform and other sectors expected to fall in line. That is more like a cacophonic orchestra with different players playing different tunes at different rate and the 'conductor' not aware of who plays what under the guise of 'autonomy.'

Also, a 'major agenda' like the redecimalization' should involve all the stakeholders in its' planning i.e labour, private sector, international partners/funders, policy makers etc and not planning to embark on mobilisation after declaring such an agenda. Whatever happens, this is lesson to all: in a country where under-performance is the norm at all levels, when somebody does his or her job normally or as expected, the individual apparently appears to be a "super-performer", and becomes surrounded by praise-singers and given all sorts of immodest awards like the "best central bank governor in the world"; (I wonder what you'll call Mr Alan Greenspan! know him?) these can get into the persons' sub-conscious and they develop a sort of "God-complex."
Even a very brilliant idea, when it is not well planned in an open-minded manner and timed, can become a very stupid one. Isn't it rather strange and unfortunate, to have an "Economic Management Team" for a country without the head of the nations' Central Bank??. Amazing, the handwriting is clearly on the wall.

I had opined earlier that a fundamental economic shift like the redenomination should have been a part of [/I]comprehensive, integrated and multisectoral development framework for the nation[/I].

What y'all think.

[olusolakemmy]

whatever the case is, PRESIDENCY should not take rash decision to reduce the relivancy of the CBN governor, it could demoralised the man and shut up with his good intention.

However,the cbn chief too is not 100% correct to have taken the decision unilaterally without adequate consultation, no awareness, Nigerians were taken by surprise and all the economics and the accountant guru went straight to the drawing board, some came out in support while other disagree.
But to say because of that, his power should be reduced, then we are all making mistakes.
we will see as things unfold

[oseitutu]

Originally Posted by obinnaD

Guardian Newspapers
Guardian Newspapers

I had opined earlier that a fundamental economic shift like the redenomination should have been a part of [/I]comprehensive, integrated and multisectoral development framework for the nation[/I].

What y'all think.

The links above did not work for me. Can you please put a better link?
When I went to the Nigerian Guardiabn website, I found this article in relation to the National Economic Team. It contains statements made by the Finance Minister and his explanation of what the National Economic Team is.

Excerpts.....
http://www.thenigeriabusiness.com/eco70.html

[ihenryus]

Like most ordinary Nigerians (whatever that means!) I am a bit relieved that the debate over naira re-decimalisation will abate a little while everyone takes a closer look at the issues. However I'm a bit worried that we may not know the whole story. For one, I am not amongst those who believe that the CBN governor will wake up and make such a huge monetary policy announcement without first informing the President. As an investor, there lies my worries. I hope we have left our past behind! I hope patriotism is the true intent behind these reversals. Soludo and the CBN crew could be wrong on this issue, but then what do you make of a country where a central bank is wrong or where EVERYONE debates the central bank authorities? I haven't seen that here in the States whether with Greenspan or Benanke. In Nigeria everyone is an expert in everything, yet we don't have electricity or pipe borne water or good roads.

[Soweto]

Originally Posted by ihenryus

Like most ordinary Nigerians (whatever that means!) I am a bit relieved that the debate over naira re-decimalisation will abate a little while everyone takes a closer look at the issues. However I'm a bit worried that we may not know the whole story. For one, I am not amongst those who believe that the CBN governor will wake up and make such a huge monetary policy announcement without first informing the President. As an investor, there lies my worries. I hope we have left our past behind! I hope patriotism is the true intent behind these reversals. Soludo and the CBN crew could be wrong on this issue, but then what do you make of a country where a central bank is wrong or where EVERYONE debates the central bank authorities? I haven't seen that here in the States whether with Greenspan or Benanke. In Nigeria everyone is an expert in everything, yet we don't have electricity or pipe borne water or good roads.

Everybody is an expert in a place of Lawlessness. Lets hope the decision is in the best interest of the country.

[dj4wealth]

Something is boiling somewhere.

Firstly it was the battle between Soludo and Spring bank, now he has his finger burning with Naira Re-denomination.

Soludo should clear his throat and speak clearly

[Soweto]

Originally Posted by dj4wealth

Something is boiling somewhere.

Firstly it was the battle between Soludo and Spring bank, now he has his finger burning with Naira Re-denomination.

Soludo should clear his throat and speak clearly

PLease throw more light to the comment,Do you think whatever is boiling will affect NSE?

[ihenryus]

I prayerfully hope not! Like I said before let's hope the reversal will somehow send the right signals to investors and keep the NSE on the bull corner. The whole thing was done badly from announcement to suspension... I would prefer a truly independent central bank. To keep economic or monetary policies above politics!

[dj4wealth]

Partially it may be affected