Guestlander:
Nonsense write up. There's a bank of Industry already. Infrastructure in fact drives development. Power plants, good roads, rail lines and sea ports etc.

Lol you don't need the bank of industry ...loan the money to commercial banks , bank of industry is not profit orientated so bias is always present

Two how much does the bank of industry inject per year ?

Civetcat:
This guy does not know that cocoa house was a statement of intent.
Standing alone ,mean nothing . But the vision behind it is as good as it get .
After building industrial estates ,farming settlement ,roads ,waters works and covering other basis like education ,health .The last jigsaw in the puzzle was big business.
Business organised to take advantage of the social and physical infrastructure provided. Cocoa house was the “ Look up to the sky statement” call on the Western Nigeria business community.
People of a certain age still talk about this building today .That is how much psychology impact it made. The face of Ibadan central business district and probably Nigeria would have been different if politics had been played right in the first and second republic.

We are saying the same thing ...cocoa house is a feel good project ....it's not economic viable ...is a project u Carry out when economy is good to show your riches n prosperity to the world

Yes they are important too ...but I'm saying we don't nee such again now ,we are too broke to be wasting money on rail

Wow! Very cogent points and well presented too...I no know say you get sense like this make I no lie.

First time I am liking your comment... good job

The OP is on drugs

tensazangetsu20:
Infrastructure like roads and stable electricity are very very important.

You people still don't understand me ....what I'm saying is if you have money to do one
Focus on access to credit ...let infrastructure be carried out by profit generated

Is buying a guy not important ? Is building your house not important ? They are

But what would you call a business man that used his profit or borrowed money to build house or buy cars

being:
If I may ask,
Pls what is your product?
And what is your power source? Gas or diesel?

Diesel power ...

Winneepye:
How do businesses make more money if they refuse to invest in capital projects. The same thing goes for Nigeria as a country. Government should however embark on projects that will impact on our citizen. Cocoa house is a good investment it is even in a very good location. Companies do rent it for their businesses. Koko dome is also in the same compound. All these facilities can be modernized and turn to a relaxation site. Companies also pack their cars inside their compound.

Bros don't get me wrong ooh ...but let me ask you

If you are business men can u borrow money to build something like cocoa house ? Western region was relatively rich n prospering as at then ...at least that's what the leaders n people believed ...so it made sense to build


But imagine a state borrowing money to build cocoa house

WorldRichest:
The OP is on drugs

Socialist

All things works hand in hand. We basically needs more cargo train for export service than passenger train

mrvitalis:

Socialist

In as much as I agree with your point on making available credit facilities to the Nigerians to kick start economic development, that should not be done at the detriment of critical infrastructural projects.

I will say prioritizing infrastructure by the government is still lacking.

Most Nigerians lack the technical skill to operate the small businesses you are targeting, the problem of unskilled graduates and the corrupt minds of the average Nigerian is worse than the absence of credit facilities.

There is no alternative to quality education, health care, electricity, and security.

What do you think would have happened to the credit in an outbreak of an epidemic, terrorism, and war?

Infrastructure stands as a country's asset that forms the base for other economic activity to flourish.

There's a reason why CBN pegs interest rates, controls the money in circulation, and regulates forex.

It is enticing to think borrowing to finance credit facilities to Nigerians will boost Nigeria's growth rather than investing in rail, road, and electricity, but you completely neglect the viability of the businesses the money would be used for, when it is certain that 90% of that money would not be paid back, unlike the roads, rail, and electricity infrastructure that would continue to be your country's asset with increasing value.

mrvitalis:


We are saying the same thing ...cocoa house is a feel good project ....it's not economic viable ...is a project u Carry out when economy is good to show your riches n prosperity to the world

Yes they are important too ...but I'm saying we don't nee such again now ,we are too broke to be wasting money on rail

Well op I guess your point but I think you're missing it. Yes it's the function of government to create those feel good project if it'll have potential in the future.
When Dubai was being built, it's with oil money, the return wasn't enough but the government still continues, it was a feel good project,but in the long run it has it economic potential in times of tourism. Same as the Las Vagas being built with money laundering.

Major infrastructure are not built with the immediate return on investment but based on long term objectives and how they can ease business already. New York has thousands of skyscrapers, some are not even used at their full potential, some has still not recovered the funds used in building them despite decades of the uses, still people are still building more.

Some infrastructure might be necessary for its
Aesthetic

Qatar government spent tens of billions of dollars to organize the world cup, did they recover their money immediately? Why did they do it?

Ttalk:


In as much as I agree with your point on making available credit facilities to the Nigerians to kick start economic development, that should not be done at the detriment of critical infrastructural projects.

I will say prioritizing infrastructure by the government is still lacking.

Most Nigerians lack the technical skill to operate the small businesses you are targeting, the problem of unskilled graduates and the corrupt minds of the average Nigerian is worse than the absence of credit facilities.

There is no alternative to quality education, health care, electricity, and security.

What do you think would have happened to the credit in an outbreak of an epidemic, terrorism, and war?

Infrastructure stands as a country's asset that forms the base for other economic activity to flourish.

There's a reason why CBN pegs interest rates, controls the money in circulation, and regulates forex.

It is enticing to think borrowing to finance credit facilities to Nigerians will boost Nigeria's growth rather than investing in rail, road, and electricity, but you completely neglect the viability of the businesses the money would be used for, when it is certain that 90% of that money would not be paid back, unlike the roads, rail, and electricity infrastructure that would continue to be your country's asset with increasing value.

90% of the money won't be paid back if government gives out the loan ...but that's not the case here ...banks are to be given the loan with key instructions ...your profit to reloan this money won't be more than 10%

You must loan to only this sectors

Loaning is bank business they know who and who needs the loans

Infrastructure are things u build with revenue not loan ....it makes no sense borrowing to build infrastructure

Simeonjoe1:


Well op I guess your point but I think you're missing it. Yes it's the function of government to create those feel good project if it'll have potential in the future.
When Dubai was being built, it's with oil money, the return wasn't enough but the government still continues, it was a feel good project,but in the long run it has it economic potential in times of tourism. Same as the Las Vagas being built with money laundering.

Major infrastructure are not built with the immediate return on investment but based on long term objectives and how they can ease business already. New York has thousands of skyscrapers, some are not even used at their full potential, some has still not recovered the funds used in building them despite decades of the uses, still people are still building more.

Some infrastructure might be necessary for its
Aesthetic

Qatar government spent tens of billions of dollars to organize the world cup, did they recover their money immediately? Why did they do it?

Qatar has excess money too much money if they don't get revenue they can still fund their budget for years to come

okeysoninv:
All things works hand in hand. We basically needs more cargo train for export service than passenger train

Bros if you have comparative advantaged goods to export ...rail system would appear trust me ...private individuals would even build it

What do we have to export that's worth building rails for .... invest in getting goods for export available first at a competitive rate

God bless you @mrvitalis. Any state that can pull this off through any well-established bank in Nigeria will see unemployment in her state reduced drastically. There is no better way to build human capacity other than this. China is doing this as we speak and they are reaping the benefits.

Imagine how a sane country will borrow money and use it to feed school children and Construct a whole lot of nonprofitable projects. How do you intend to pay back those loans?

mrvitalis:

Bros if you have comparative advantaged goods to export ...rail system would appear trust me ...private individuals would even build it

What do we have to export that's worth building rails for .... invest in getting goods for export available first at a competitive rate

don't sit at your bedroom and be insunating what do we have to export that's worth building rail, do you know amount of cement dangote and cements brand exports yearly you won't have said this. The amount of goods leaving Nigeria through borders are in billions of naira daily.

Okay, going by this wrapped line of thought. I can venture to add that many primary and tertiary hospitals cannot pay for themselves, no there is no need for government to build hospitals.

Just share the money to all of us and we wee take agbo or you will wait patiently to die. Does this sound pleasing or sensible to anyone's ears?

Same way with our schools. Secondary and Universities in Nigeria owned by government cannot pay for themselves, so government should also scrap them in line with your "infrastructure is not our problem"

mrvitalis:

Many Nigerians believe the fallacy investing in Infrastructure drives development ; this is a massive problem ,I believe this started with awolowo and his socialist and the idea stuck ,Baba was building cocoa house , nta ,Nigerian house ...big project that offers no economic benefits...how much does cocoa house generate today ?
Runing government is like running a business ...GDP is likened to business revenue ( turn over ) while government revenue is business profit

None economically viable project are like beautification of your office/business premises , people can say this man has best office space , it's pleasing to the eyes but has little or no impact on your business ...tho they are important, a struggling business like don't need beautification , we need revenue and profit ....we owe too much and can't fund our business expenses so we borrow ....but instead to buy more goods we use it to beautify our office

Nigeria don't need rail lines , we dont need second Niger bridge for now !!! our profits can't even pay staffs yet we borrow to repaint our toilet n change toilet sits to world class ones ,does that make sense ?

You need loan to buy more goods to make more profit .. in government it's creation of new tax payers by providing easy and cheap access to credit in areas you have identified we have a comparative advantage

Let's take lagos to Ibadan rail for example...it cost us about 800 billion plus .... employs less than 3000 people ,still needs government funds to run ... addition to GDP almost zero ,net revenue negative

Now imagine same 800 billion given to banks at an interest rate of say 3% banks to give them out at 10% ...each business has 3 years before loan repayment starts ...

Conditions access the loan
you must a Nigerian or lived here constantly for 15 years

You must be a business that has export potential ( your production cost must be less than international price )

Or

You must be a business that want to produce goods we import at a price less or equal to the products landing cost


You must be willing to employ 50 Nigerians minimum pay should be 300k monthly

You can get 2 billion to 10 billion

Let's say average of 6 billion is given out

133 businesses would be created ... employing minimum of 6666 jobs

If those business make an average profit of 2 billion yearly ...Nigerian profit tax is 20% ....that's a guaranteed 53 billion per year

Employee tax is 15% I think ...that's extra 36 billon per year ...that's 89 billion yearly ... remember after 3 years interest and loans payment starts

Say 40% if the business failed

You still get 53 billion in revenue as a government ....this can comfortably cover for the 40% failure of business n debt servicing would be an issue ...GDP would grow by over 2 billion dollars

But no we built rail

I would bee doing a series on this to defend my ideas ...Nigeria must move from this socialist mindset and be more capitalist to grow

This is the only time I've ever seen you make a sensible post.

This is exactly the same thing I said on another thread but people "shouted" me down by saying government has no business in setting up businesses or having direct contribution to businesses. Government does not need to set up businesses but can give loans through commercial banks to credible businesses that the banks will vet and scrutinize.

What Nigerians need more than anything else now are jobs. A good way to create jobs is for the government to get involved through the banks to provide loans to business owners, commercial farmers, etc. Jobs would multiply and revenue would accrue to government in terms of taxes.

The revenues over time would provide the infrastructure. China did a similar thing and their economy is booming today with infrastructure springing up everywhere. Obasanjo took $16bn to provide electricity. Where is the electricity today 24 years later. Now, imagine if $16bn then had been invested through the banks into industries such as textile, clothing, leather goods, food processing, etc for 24 years. The multiplier effects would have lifted millions out of poverty today.

okeysoninv:
don't sit at your bedroom and be insunating what do we have to export that's worth building rail, do you know amount of cement dangote and cements brand exports yearly you won't have said this. The amount of goods leaving Nigeria through borders are in billions of naira daily.

Exactly my point dangote can export cement without needed government infrastructure then others ...I am a business man I know access to credit is far more important to me than any infrastructure

kosssy:
God bless you @mrvitalis. Any state that can pull this off through any well-established bank in Nigeria will see unemployment in her state reduced drastically. There is no better way to build human capacity other than this. China is doing this as we speak and they are reaping the benefits.

Akwa ibom.is well positioned to do this ..rivers and bayelsa too

mrvitalis:

Akwa ibom.is well positioned to do this ..rivers and bayelsa too

Even my state Anambra can do it also. If all this commercial banks can work with importers in main market confidently, imagine how easily they will be willing to work with manufacturers.

To say you don’t need rail is just foolish. Rail travel helps reduce commuting time which boosts economic efficiency and productivity, and reduces the cost of doing business via the cheaper and faster movement of goods. The US economic primacy was built on the development of its ‘railroads’, as they are called, at the turn of the last century, which drastically reduced the cost of doing business, leading to massive business expansion down the years. Railway development is not about expecting profit for building the infrastructure. That’s a secondary consideration, where it is even considered at all. The British weren’t thinking of their railway network ‘paying for itself’ when they built it. They just thought “this is the quickest way to get people and goods around so let’s do it”.

mrvitalis:

Exactly my point dangote can export cement without needed government infrastructure then others ...I am a business man I know access to credit is far more important to me than any infrastructure

he needed rail to transport goods to the borders . Last year he did 1.3m metric tons of cement to Cameroon . So u can imagine the effect if rail is there . We can conquer the whole of west and Central Africa with goods.

mrvitalis:

Akwa ibom.is well positioned to do this ..rivers and bayelsa too

Oh Mrvitalis, despite our political differences on who should drive this country forward, I am still glad you're adept to the possible nearest solution manual to Nigeria economic woes.

HDI first and foremost is what Nigeria need to work on such as, modern-day technical and vocational institute like 2000 branch all over Nigeria for a start, then the graduate of this institute will be provided immediately with credit facility to start an SME through meticulous application of the skill gained in respite to mordern technology and information world we are in.

I will implore you to create more thread on the HDI for more dialogue in other to create awareness to people on how important HDI is before GDP of a country, HDI save WEST and China first before GDP.

Emphasis should be put more on the HDI of developing economy in other to maximize their potential over a given period of time.

Awolowo's problem back then can be corrected today with the help of information technology insight on future projection and possible outcome of different variable, also the world wasn't fast paced then during the first and second republic. If we don't solve this problem now in the next 500 year Nigeria will still be a mess.


I believe the credit facility should be given through a methodical approach and please forget about graduate, graduate don't believe in SME anywhere in the world, they want to be seeing in large office buildings putting on suit and ties, the credit facility should be given to those who are ready to hustle with there little vocational and technical knowledge they will gain within the span of two years and applied with it directly without shame or ego that limit most graduates.


HDI IS THE WAY

ABBkelvin:

Oh Mrvitalis, despite our political differences on who should drive this country forward, I am still glad you're adept to the possible nearest solution manual to Nigeria economic woes.

HDI first and foremost is what Nigeria need to work on such as, modern-day technical and vocational institute like 2000 branch all over Nigeria for a start, then the graduate of this institute will be provided immediately with credit facility to start an SME through meticulous application of the skill gained in respite to mordern technology and information world we are in.

I will implore you to create more thread on the HDI for more dialogue in other to create awareness to people on how important HDI is before GDP of a country, HDI save WEST and China first before GDP.

Emphasis should be put more on the HDI of developing economy in other to maximize their potential over a given period of time.

Awolowo's problem back then can be corrected today with the help of information technology insight on future projection and possible outcome of different variable, also the world wasn't fast paced then during the first and second republic. If we don't solve this problem now in the next 500 year Nigeria will still be a mess.


I believe the credit facility should be given through a methodical approach and please forget about graduate, graduate don't believe in SME anywhere in the world, they want to be seeing in large office buildings putting on suit and ties, the credit facility should be given to those who are ready to hustle with there little vocational and technical knowledge they will gain within the span of two years and applied with it directly without shame or ego that limit most graduates.


HDI IS THE WAY

I don't believe in HDI ...I believe in supporting native industries to grow to world class ... we grow by having thousands of dangote who would be so big they invest around the world n bring the profit back home

No developed nation today got there by HDI ...you grow by supporting local businesses with prospects ...imagine giving innosson access to 2 billion dollars at 5% interest ? Tell me he won't dominate Africa?

Won't airpeace best Ethiopian air if he has access to capital ?

Chicken republic has the potential to revolutionise Nigeria agro industries

This is how you grow FDI would always strangulate an economy

okeysoninv:
he needed rail to transport goods to the borders . Last year he did 1.3m metric tons of cement to Cameroon . So u can imagine the effect if rail is there . We can conquer the whole of west and Central Africa with goods.

If he needs rail he would have built it ...yes he would want a rail. But need ? Absolutely not Cameroon market is too small

mrvitalis:

I don't believe in HDI ...I believe in supporting native industries to grow to world class ... we grow by having thousands of dangote who would be so big they invest around the world n bring the profit back home

No developed nation today got there by HDI ...you grow by supporting local businesses with prospects ...imagine giving innosson access to 2 billion dollars at 5% interest ? Tell me he won't dominate Africa?

Won't airpeace best Ethiopian air if he has access to capital ?

Chicken republic has the potential to revolutionise Nigeria agro industries

This is how you grow FDI would always strangulate an economy

Lol, your illustration is exactly HDI. You thought i was referring to FDI.... they are not the same. What you just wrote down here about having thousands of Dangote is exactly what HDI represent. You're expantiating my point. Full meaning of HDI( Human development index)

mrvitalis:

If he needs rail he would have built it ...yes he would want a rail. But need ? Absolutely not Cameroon market is too small

not only for Cameroon, but Central Africa, so dangote should build rail for public use . Seems you have lost your sense. If there is rail manufacturers can easily moves there goods to Port across sea port of Calabar then ferry it to central, southern Africa and east Africa easily, while the Lagos side will Cather for west Africa.

okeysoninv:
not only for Cameroon, but Central Africa, so dangote should build rail for public use . Seems you have lost your sense. If there is rail manufacturers can easily moves there goods to Port across sea port of Calabar then ferry it to central, southern Africa and east Africa easily, while the Lagos side will Cather for west Africa.

Why can the tax generated from that trade pay for the rail ?

ABBkelvin:
Lol, your illustration is exactly HDI. You thought i was referring to FDI.... they are not the same. What you just wrote down here about having thousands of Dangote is exactly what HDI represent. You're expantiating my point. Full meaning of HDI( Human development index)

Lmao I so much dislike FDI that I'm seeing it everywhere ...yes bro growth in HDI is the key

Main reason I supported Obi for president