Hey we are are broke. No wait, we are not.

Hey we are broke! No wait, we are not broke. Ok you are not broke, you are insolvent. Well we are only insolvent because of the money you owe us and have not paid. But you owe us more than we owe you. You do? Hold on let me ask the CEO you just fired,… Continue reading Hey we are are broke. No wait, we are not.

Multi-year tariff order vs Electricity Trading

I wrote something a couple of weeks ago about why the setup of the electricity sector in Nigeria leads to too little production, very few incentives to actually increase capacity and an electricity pricing regime that is stagnant. And all this is without corruption and government ineptitude. The flavour of the month now is the… Continue reading Multi-year tariff order vs Electricity Trading

What do we need to do to get some electricity around here?

Electricity! Seems like the problem with epileptic power supply never goes away. Governments come and go. From Military dictators to civilian dictators, NEPA to PHCN, Minister to Minister. All have failed to figure out how to provide stable power supply. Yes it could be that they were all corrupt and selfish individuals who made no… Continue reading What do we need to do to get some electricity around here?

Are we nearing the end?

I stumbled across the latest release of the Failed State Index and unsurprisingly Nigeria makes the top 20 yet again. We came in behind countries such as North Korea, Yemen and Ethiopia. If you recall we made our grand entry into the top 20 failed states in 2007 at 19th and are slowly but surely… Continue reading Are we nearing the end?

“Ban all Imported Milk”……….

At the blue corner we have the consumers of milk both big and small who argue that this ban will possibly force them to shut down their factories and lead to milk becoming too expensive for the common man. At the red corner we have the domestic farmers who propose that “if milk is banned,… Continue reading “Ban all Imported Milk”……….

Bail out No. 2

Hold your horses. It’s not what you think it is. This time it’s for the airlines. The CBN announced a 500bn naira bail-out package for the airline industry. The rationale of the CBN is a default by airlines will put more pressure on the banks and could put the banks under even more stress (I… Continue reading Bail out No. 2

What Econometrics tells us about the World Cup

Yes I know and NO I’m not trying to ruin your fun by somehow talking about Econometrics and the World Cup at the same time but I came across this interesting report by some guys who obviously love running regressions at PWC. They ran some regression to figure out what factors correlate with good world… Continue reading What Econometrics tells us about the World Cup