Serious - April 2022

ECONOMY

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It’s So Cold Outside ‑ AG

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Do Am If E Easy ‑ Ibuks

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Ah Finesse

‑ AG

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This last quarter, so many stories that one would think ‘April Fool’ would be the appropriate comment after they’re told.

Alas, not so much that. God abeg!

From the lion fighter himself, Mr. Putin warning the world to Nigerians giving up on status quo and just asking to have light in peace, not die on the road, train or airport to toxic workplaces as a trend, the world is very interesting at the moment.

In this edition XII, we explore the intersection of poverty with culture (I was reading an intelligent publication and really needed this sentence) – nothing can stop our giantcy – if I broke na my business! We also believe strongly that the GDP should be rebased/revaluated to include the real giants, the real workers, original gbogbonise – stay at home workers.

If we add more people, will inflation change? Maybe we can use our new entrants into the basket as part of assets to gauge how much loans we can collect? Ok‑ok‑ok, enough of this, we are just trying to find answers to help us survive this 2022 because honestly, water don pass garri, owu dey blow everywhere, everyone and everything. But you know where there is life, there is hope, so we keep on marching.“

I work hard, my brother man, I work hard just to chill” – Asa and WizzyBaby, 2022. They know the vibes and I wish us the very best in finding this balance.

With love,

HOW MUCH SIR?

TIME TO REFUEL N7,000

YOUR POS DEY GO SO?

OH, NA STERLING POS. THIS ONE NO DEY FAIL

HMM..

SEE AS THEIR CARD AND POS THEY ANSWER SHARP SHARP. STERLING BAM SHA!

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01

It’s So Cold Outside

‑ AG

E Go Touch Everybody

“Pikin wey go strong go strong... no be until dem name am Samson.”

While there is nothing new about the current state of the economy, it seems like we were in a better place a year ago. Don’t we all wish we could return to the (glory) days of petrol at N145/litre, rice at N20K/bag and $1 at N500?

Remember in an edition of Serious last year, we complained about how sardine was N400 and beyond the reach of the common man. Now it’s N800, and unless you earn in foreign currency, e choke; sapa really disposes. Today, despite higher crude prices and increased government revenue, our economic indicators are not looking up, especially as government expenditure and debt continue to grow.

You don’t even need to be an economist to see clearly that inflation is eating deep into whatever fabric of asoebi we have left.

Today’s Bread No Fresh

“Na overconfidence make February no complete” One of the reasons inflation has been on the rise is the growing cost of food. Sapa no dey look face, so e dey touch everybody.

There are two sources of food in Nigeria; locally‑sourced local supply which has drastically reduced due to insecurity, high cost of production, higher cost of transportation and climate change (we have been ozoned).

Although we built some rice pyramids earlier in the year (all hail Oga Meffy), local supply is reportedly at an all‑time low and production costs are shooting up with increasing power demand (they say this is a big rich town).For imports, dollars don cost, so all our favs have tripled in price.

Food inflation has led to an increase in the price of other goods and service, a no‑ brainer given that food and foodstuffs account for over 60% of household spending. Imagine 200 million people chasing a limited food supply from an even limited income flow; you see why things are hard.

Live From The Trenches

“Poor man no dey siddon for front bench for village meeting”

It’s not just the price of food that is going up. Last month, it was reported that the Nigerian government imported adulterated premium motor spirit (PMS), which created fuel scarcity.

As if this wasn’t enough, the power grid broke down (again!) and the cost of diesel is going up, the trenches! You see, Nigeria has the capacity to generate 12,000MWh, but it produces roughly 4,000MWh, barely enough to meet the country’s 55,000Mwh demand.

Over the years, households and companies have become ministers of power, with their gens being responsible for 60% of total energy used. In fact, firms and production companies account for over 60% of total power consumption and over 75% of diesel usage. So, if you know any business owner, now is the time to reach out to them because it’s really cold outside.

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It’s So Cold Outside

Vin Diesel

“Do you know who I am? Do you know who I am?...Na so hold up take dey start.”

Russia’s invasion of Ukraine has impacted our problems. At the time of writing, over 20,000 people have been killed and more than 2.5 million people have fled Ukraine.

The invasion and subsequent sanctions on Russia have disrupted supply chains with a spike in global inflation and supply shortages.

Diesel, for example, which is majorly processed by Eastern Europe is affected, and I at Jibowu is suffering from a war that is miles away; talk about globalization. Despite sanctions and pressure on major Russian businesses (sorry, Chelsea), Putin and Russia remain undeterred.

On your marks, set, PVC

VOTE

“Goat wey get mind to follow lion go catch fish, make e know say weda dem catch fish or not, Lion food don set”

The world is seemingly in chaos, and hopefully, things will return to a semblance of normalcy.

With more candidates announcing their decisions to run for office in 2023, now more than ever, we can see how important our votes are. We also look forward to the end of all wars. We all deserve a great future, and as it looks now, that future is in our hands.

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Do Am If E Easy

‑ Ibuks

Real Housewives of Nollywood

If you lived with your parents during the lock‑ down, then you probably did a lot of impromptu chores or cleaned the house after an impactful Teams meeting. Nobody cared whether you were a fantastic project manager or an excellent developer; you had to do that work. If you now had five‑year‑ olds and below, you definitely saw the true meaning of gen‑alpha.

Several people saw a different side of their family; people got overwhelmed by the amount of thinking that went into the day‑ to‑day running of the house and the amount of work done in the home. Imagine doing this as full‑time work and not getting paid (except you work for Slick Hustle); now that’s the real work.

That lockdown experience is business‑as‑ usual for a lot of stay‑at‑home parents (SAHPs) ‑ who in today’s society, can be men or women ‑ who by choice/ happenstance carry the burden of the household daily.

Maybe because house work is done behind the scenes with minimal fuss, people assume that only the working class contribute

meaningfully to the society and the economy. And it’s easy to see the reasoning behind this mind‑set: the working class earn a salary, and their efforts can be measured through formal means like spending and economic productivity.

Doings

Let’s take a look at important roles within corporate organisations and how they mirror the stay‑at‑home function in the home. Being a stay‑at‑home parent requires just as much skill, competence and mental grit as any glamorous role outside the home. If SAHPs were paid at par with the labour market, we would be able to put a value on their work and see more clearly their real economic significance.

Chief Human Resources O cer If HR doesn’t like you, forget about it. Just like an HR officer, a SAHP supervises all recruitment within the home to find the right fit, creates job descriptions and oversees performance management based on the household’s needs and budget. Many of us don’t realise how tough this role is until its time to find an electrician or plumber that won’t run you street.

Payscale estimates an average salary of 7.4 million/year for this role on the labour market.

Chief Operations O cer COOs coordinate all activities and in any organisation. They are also the firefighters, the ones who take charge in emergencies and make sure everything is working well.

Similarly, SAHPs are the COOs of the home, which is an organisation in a sense. In Nigeria, where average annual household spending is above $2,000, they decide how a large portion of that money is spent. That’s some Fortune 500 doings!

Pay‑scale estimates an average salary of N2 million/year for this role on the labour market.

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Do Am If E Easy Director Of Infirmary Services They are, in most cases, usually the primary care‑giver when any family member falls ill.

They are the first to identify when a family member is ill or needs medical attention. She provides care, ensures that necessary medications are taken, and keeps track of doctor’s appointments. O por fun stay at home!

This is exactly what auxiliary nurses do. They assist qualified nurses in delivering healthcare to patients, including taking vital signs, administering medicine, dressing and feeding patients—another W for the SAHPs.

Payscale estimates the average salary of N7.6 million/year for this role on the labour market.

Financial Planner Financial planners manage budgets for their clients and help them achieve their financial goals. When it comes to money, stay‑at‑home parents are CPUs; AI got nothing on them.

Every Naira spent can be accounted for; they know and understand the concept of payables and receivables more than some CFOs. They know how to stretch every naira to cover basic household expenses.

Payscale estimates the average salary of N4.6 million/year for this role in the labour market.

We haven’t even talked about being a private chef, wellness coach/therapist, Director of Education, Chauffeur, etc. If we aggregate the salaries of the different roles that SAHPs take, it would be almost impossible to sufficiently compensate them.

You Want To Bam, Ba?

Statista estimates that 29.9% of Nigerian women are stay‑at‑home parents. With an adult female population of about 49 million, SAHPs complete a whopping N317 trillion worth of unpaid labour per annum ‑ gege.

Now imagine the effect that would have on the economy in terms of GDP and tax revenue. Evidently, SAHPs manage the home at zero cost, freeing up time and resources for other individuals in the household unit to work outside the home and contribute to society.

They might not do it on the biggest stage or get crazily rewarded for it; however, we see them, and we recognise them.

“

Statista estimates that 29.9% of Nigerian women are stay‑ at‑home parents. With an adult female population of about 49 million, SAHPs complete a whopping N317 trillion worth of unpaid labour per annum ‑ gege.

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Ah Finesse

‑ AG

If I Broke, Na My Business

“Nigeria is so peculiar and dramatic. Even talking about the potentials before we talk about the negativities, Nigeria is a nation for perpetual study.”

‑ Wole Soyinka

Nigerians are definitely one of the most resilient people in the world. I mean, forget all of our problems; forget that a Refuel meal is no longer N500, eggs are expensive and N50 is the new N5 ‑ still printed, but can’t get you anything. Yet, we are undoubtedly the noisemakers of the continent; that Naija spirit is strong and proud (o por!).

Despite being the poverty capital of the world, our pepper dem tendencies stay strong.

To us, it’s not lavish enough if it doesn’t blind our neighbours ‑ I mean, what’s the point of having so much money if not to show it off?

meeting their basic needs and living a quiet, comfortable life. We want to be stinking rich—and flamboyantly so. It is not enough to buy a new house in Maitama or the latest iPhone; everyone must see our latest acquisition and know that levels have changed, we are no longer mates.

I Better Pass My Neighbour

Like MTN and Ngolo Kante, this mindset exists everywhere you go; in church oh, where seats are reserved for the high and mighty in society, in tertiary institutions, where driving the latest car is of preeminence, even at work, where your no‑name brand shoes may count against you.

And I’ve been living the fast life but I see it in slow‑mo

And we’re all falling in line. For example, over 60% of our imports in 2021 were manufactured goods; the most expensive designer wear, cars, gadgets and all of that.

It’s human nature to want to look good, but this situation is peculiar because of how pronounced sapa is in our economy.

Combine that with the more dreaded owu, and Nigerians are facing a steep decline in their purchasing power.

When you walk into a room, people size you up in a split second and determine if you’re worthy of their attention and respect. The more “expensive” you look, the more respect you’re likely to get.

Why am I rich if I can’t buy something that only a few people can afford? You see, the average Nigerian wants more than just

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Ah Finesse

Class

% Of Population

Daily Spending

What is Sapa

6%

>$20 per day

Above Sapa

5%

Between $10 and $20 per day

Slightly above Sapa but flirting with Owu

9%

$4 - $10 per day

Almost Sapa

20%

$2 -$4 per day

Below the Sapa Line

60%

Below $2 per day

Sapa Index In 2020, $20 was about N6,100. Today, $20 is ~N8,400, using conversative CBN rates. Effectively, every Nigerian is poorer now than they were before; but trust us, it’s difficult to leave the fast life.

I’m Not Faking This, No Fugazi

You want to be (and look!) great, but Nigeria wants to spoil your shine. Your best option, especially if you want to tanatana in this economy and you don’t want it to be fugazi, is to look for a way to earn that money in other currencies.

It’s not just tech bros who can secure that forex bag legally; there are thousands of non‑tech business/job opportunities in the abroad that can help you maintain your finesse. You can also look to generate multiple incomes, although in this economy, the richer you get, the poorer you become, don’t ask me how. Laslas surviving the current economic situation will take a lot from us. Live within your means, accept our state and explore all viable options available to you.

We leave you with some wise words from the African Giant, “who I be, who i be wey make i no go find money? Me I dey hustle gan gan.”

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Thank You!

I hope you enjoyed being ‘Serious.’

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