The importers of rice, cement and 38 other products are hereby stopped ed from accessing FOREX.
As an economist, this is an economic policy/decision to save the Naira from the on going free fall. It could be permanent or temporal. All this depends on the agenda of the federal government.
Implication: The forces of demand and supply will play key roles here on prices especially in the short run. But I don't think we have enough rice, cement etc which are locally produced that can sustain the pressure that is most likely to come as a product of this policy to meet our daily consumption rate. But the Naira needs to be urgently rescued to save our reserve from becoming zero dollar.
What should you do in the immediate?
Get money or borrow to stuck your house with a lot of food stuffs especially rice,beans etc.
Are you building? Congratulations. Pls buy all your required bags of cement now especially if you intend to complete your house in about six months time. If not, use your money for something else. Because you may end up with stones in bags
Why?
The prices of all these items are most likely to be doubled if not tripped or fourbled(lol) starting from now.
A word is enough for the wise. This action may be painful especially in the immediate or you call it short term. But I think it will worth it if it is corruption free and well managed.
God bless Nigeria.
Tunde Adenuga
