Monday 17 August 2009

Nigeria: Banking system better than UK?

Or so it would seem from this report, for in Nigeria a mere $1.3 billion in loans has been required to save 5 banks. Our 5 banks that needed saving, RBS, Lloyds, Bradford and Bingley, Northern Wreck and Dunfermline cost only $150 million dollars odd. There share prices have been suspended rather than allow a false market to develop, as we did here in the UK.
In addition, the Government has sacked the management in return for the money and insisted on a fresh start. Last time I checked Lloyds was still being run by Eric Daniels and RBS let off Sir Fred with a nice pensions.

Amazing, who would have thought a year or two ago that a country like Nigeria could show the UK how to do things properly when it comes to bank regulation!


Bill Quango MP said...

And they have just sent me a letter saying that my share of the bailout is in a secret bank account. For just $30 I could be very rich..

Old BE said...

Isn't Nigeria's main problem exactly the reputation that BQ alludes to? I have heard very good things about Nigeria's governance but it is all undermined by the fly-by-nights who operate from there.

Is it possible that the UK government has not just got it wrong but got it as wrong as it might be possible to get it?

Old BE said...

ps your site is taking a very long time to load - you might find that so many adverts actually lowers your traffic ;-)

Anonymous said...

Well, there have been a few competent people among those running the banking and finance side but general governance of the country is spectacularly bad.

Spending by National, State and Local Governments disappears into a Sahara of corruption.

Police and civil servants live off bribes. Justice is either slow and haphazard or swift, deadly and haphazard.

Steven_L said...

If you're fed up of all the usually rubbish on TV try watching Chris Hansen's 'To Catch an ID Thief' investigation on youtube, the trail ends in West Africa then goes cold, well worth a watch.

Shows you how they start off trading the ID's, then order electrical goods, then get dumb Americans who think they are sending them to their internet fiancee to post them to Nigeria at their own expense.

His 'To Catch a Predator' show is quite good too, they set up loads of internet pervs then set the local sheriffs department on them.

Much better than any investigative jouralism over this side of the pond at the mo, in fact probably as good as Roger Cook in his heyday!

Bill Quango MP said...

Steven L.
Had exactly that scam at the weekend.
A phone to Nigeria. Ebay sale - £125.00

Scammer sent a fake paypal message about transferring funds after the tracking number attached.
Actually looked quite authentic.

Might even have sent one out if our business didn't have a policy of NO mobile phones to Nigeria, genuine or not.

You cannot get insurance for a mobile phone posted overseas.

JPT said...

Yes apparently they're all loaded over there - they keep emailing me offering me money.

Anonymous said...

BE, to load more quickly, turn off images and javascript.

Steven_L said...

Apparently there is a very lucrative trade in ebay accounts with good feedback!

Have you come across the pets 419 scam yet?

They advertise pedigree dogs, cats, parrots and even monkeys in the free-ads and then try to get you to wire them cash for airport fees/injections/delivery etc.

The 'criminal cashback' scam never seems to fail to get people either. You advertise something for sale, they send you a cheque for say £2,000 too much, then ask you to bank it and wire them the overpayment when it clears.

By law they have to clear the cheque in I think it is 4 or 5 days, but the dodgy cheque takes longer to actually bounce and you end up owing the bank the £2k you wired them.

not an economist said...

Yes but has Nigeria abolished boom and bust?

Anonymous said...

No. When Oil was $150 a barrel they had boom. Now they have bust.

Raedwald said...

Dear Sir

I am the widow of Mr Barrister Kwombe Ajuju, formerly Chief Cashier of the National Bank of Nigeria. After his dismissal by the State authorities during last year's banking crisis, my husband suffered a fatal heart attack and afterwards he died. On his death he left US$ 40,000,000 in our joint bank account that him had brought home to count, him being a diligent and God Fearing bank employee.

I will send you 10% on receipt of the following information by return;

Date of Birth
Bank details
PIN number
Mother's maiden name
Inside leg measurement
Passport number
'Neasden Hot XXX DVD Club' membership number (for my cousin Abubu)
etc etc

Please reply to the Desk of Mrs Sadelola Ajuju, c/o

Philipa said...

Dear BQ and CU, I'm thinking of changing my mortgage (with Abbey) and am considering 3 yr portable tracker and lifetime non-portable tracker (about £3 per month difference at the mo). I can't remember how long before general election (about a year?) and I'm guessing low rates before and shortly after followed by steep rise. I'd quite like to move if I can but can't see it happening this year. I'm on a low income so NEEED to keep payments affordable.

Any advice? Could I have your opinions - fixed term portable tracker or lifetime tracker ?

I think they are 3.49 and 3.29 above base respectively; fixed and lifetime.


Mark Wadsworth said...

Knowing little or nothing about Nigeria, I did think it was heartening that they'd sacked these fellows etc. But there may be more to this than meets the eye.

CityUnslicker said...

Philipa - Mortgage advice is not something I am allowed to give under FSA rules etc etc.

I though am looking at 2 options for my new mortgage, the first is a base rate tracker with the woolwich for 2 years. Why? becuase in the next 2 years interest rates will not increase by all that much due to the recession and the pain of paying back the QE.

Alternatively I have looked at a 5 year fix, why? becuase over 5 years interest rates could treble or even more and the current rate i can get for this is 4.5% which is pretty good.

With the latter option I will pay more but get security of knowing my outgoings. I am leaning towards the latter at the moment.

Philipa said...

Many thanks, CU. That was precisely the discussion I was hoping for. x

James Higham said...

Judging by the Nigerian spam, they're doing exceptionally well.