{"id":675,"date":"2018-12-09T21:06:25","date_gmt":"2018-12-09T20:06:25","guid":{"rendered":"https:\/\/www.nickzom.org\/blog\/?p=675"},"modified":"2024-02-12T16:25:14","modified_gmt":"2024-02-12T15:25:14","slug":"the-effect-of-financial-calculations-in-the-nigerian-economy","status":"publish","type":"post","link":"https:\/\/www.nickzom.org\/blog\/2018\/12\/09\/the-effect-of-financial-calculations-in-the-nigerian-economy\/","title":{"rendered":"The Effect of Financial Calculations in the Nigerian Economy"},"content":{"rendered":"\n<p class=\"wp-block-paragraph\">Financial calculations play a pivotal role in shaping the economic landscape of Nigeria. From determining investment viability to evaluating fiscal policies, these calculations wield significant influence. This article delves into the multifaceted impact of financial calculations on Nigeria&#8217;s economy. By exploring key metrics, trends, and methodologies, we uncover how these calculations shape decision-making, drive growth, and navigate challenges within the dynamic Nigerian economic framework.<\/p>\n\n\n\n<h3 class=\"wp-block-heading\">Financial Calculations and the Economy of a Nation<\/h3>\n\n\n\n<p class=\"wp-block-paragraph\">It is true that tiny drops of water can make an ocean but time interval at which it drops and its consistency are key. No child becomes an adult within the space of one year. It takes several years of growth and development for that dream to become an obvious reality. One is not left in the dark on the effect of financial calculations in the economy except they&#8217;ve chosen to be intentionally blind to its truth.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">Financial calculations such as taxes and charges can significantly impact a nation&#8217;s or individual&#8217;s economy. This influence can be either positive or negative, depending on the recipient and payer. Nations engaged in international trade must pay levies. These levies can be burdensome, potentially leading to currency devaluation.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">Business owners owe fixed-rate taxes to certain government bodies. Hence, these rates might increase over time without regard to business fluctuations. Revenue generation from certain sectors provides funds with potential for <a href=\"https:\/\/www.nickzom.org\/blog\/2018\/11\/17\/the-calculator-encyclopedia-now-has-a-return-on-investment-roi-calculator\/\">high returns<\/a>, benefiting society. However, sourcing funds can be challenging for some. These returns can reward those who contribute to policymaking and enforcement in various sectors.<\/p>\n\n\n\n<!--more-->\n\n\n\n<h3 class=\"wp-block-heading\">&nbsp;<\/h3>\n\n\n\n<figure class=\"wp-block-image size-full\"><img decoding=\"async\" width=\"1024\" height=\"1024\" src=\"https:\/\/www.nickzom.org\/blog\/wp-content\/uploads\/2018\/12\/274656ba-fbfc-4766-85d4-23b37d348e0d.jpeg\" alt=\"The Effect of Financial Calculations in the Nigerian Economy\" class=\"wp-image-12325\" srcset=\"https:\/\/www.nickzom.org\/blog\/wp-content\/uploads\/2018\/12\/274656ba-fbfc-4766-85d4-23b37d348e0d.jpeg 1024w, https:\/\/www.nickzom.org\/blog\/wp-content\/uploads\/2018\/12\/274656ba-fbfc-4766-85d4-23b37d348e0d-300x300.jpeg 300w, https:\/\/www.nickzom.org\/blog\/wp-content\/uploads\/2018\/12\/274656ba-fbfc-4766-85d4-23b37d348e0d-150x150.jpeg 150w, https:\/\/www.nickzom.org\/blog\/wp-content\/uploads\/2018\/12\/274656ba-fbfc-4766-85d4-23b37d348e0d-768x768.jpeg 768w, https:\/\/www.nickzom.org\/blog\/wp-content\/uploads\/2018\/12\/274656ba-fbfc-4766-85d4-23b37d348e0d-80x80.jpeg 80w, https:\/\/www.nickzom.org\/blog\/wp-content\/uploads\/2018\/12\/274656ba-fbfc-4766-85d4-23b37d348e0d-60x60.jpeg 60w\" sizes=\"(max-width: 1024px) 100vw, 1024px\" \/><\/figure>\n\n\n\n<h3 class=\"wp-block-heading\">The Importance of Financial Calculations in Nigerian Economy<\/h3>\n\n\n\n<p class=\"wp-block-paragraph\">In a nation like Nigeria, housing millions of citizens, a unit naira from all of her citizen can meet the need of a widow who has a dying son needing surgery, how much more few hundreds and thousands of naira. Hence, a system can be built such that would sustain the circulation of funds in such a way that the poor are made a little less poorer and the rich,a little less richer thereby introducing a dynamic equilibrium to the system of our economy.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">Financial calculations have been known to be one of the ways through which government generate funds. Consideration should be given to adjusting calculations. This ensures levied individuals can afford their immediate needs. Additionally, adjustments should correlate with earners&#8217; incomes. That&#8217;s because growing economy is possible if rates increase with dynamic earnings other than increasing with static earnings.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">Charges on transactions made with commercial banks have proved to be a threat to funds owned by several government agencies that have employed their services. A recent study revealed that since September 2015, the Federal government has saved a total of N128bn. This was achieved by adopting the TSA (Treasury Single Account) scheme, eliminating bank charges for managing funds.<\/p>\n\n\n\n<h3 class=\"wp-block-heading\">Effect of Treasury Single Account Scheme on Government Savings<\/h3>\n\n\n\n<p class=\"wp-block-paragraph\">The amount represents charges and fees previously imposed by Deposit Money Banks for holding government funds. Prior to the commencement of TSA (Treasury Single Account) scheme, the government was incurring about N4bn monthly to maintain its various accounts in banks. Whereas, it could have been been used to meet the immediate economic needs of the nation. This situation illustrates how trying to save more leads to losing more. It introduces a gradual decline in the nation&#8217;s economy. Funds are indirectly channeled towards non-profitable projects.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">The recently introduced <a href=\"https:\/\/www.cbn.gov.ng\/out\/2016\/bpsd\/guidelines%20for%20the%20operations%20of%20tsa%20by%20state%20governments%20in%20nigeria.pdf\">scheme of TSA<\/a> has saved government large sums that would have gone on commercial bank charges. The initiative, which commenced fully in September 2015,has been complied with by over 900 agencies of government with 20,000 bank accounts closed. Detailed calculations show the scheme delivered a tonne of savings to the government. From September 2015 to April 2018, 32 months at 4bn charge per month totals N128bn.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">Therefore, financial calculations have a way of affecting the economy entirely. In spite of promising advantages, cruel disadvantages can be managed. Adopting a system can check its excesses.<\/p>\n","protected":false},"excerpt":{"rendered":"Financial calculations play a pivotal role in shaping the economic landscape of Nigeria. From determining investment viability to&hellip;","protected":false},"author":4,"featured_media":12324,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_yoast_wpseo_focuskw":"Financial Calculations Nigerian Economy","_yoast_wpseo_title":"","_yoast_wpseo_metadesc":"Discover how financial calculations shape Nigerian economy. 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Impact on decision-making, growth, and navigating economic challenges.\" \/>\n<meta property=\"og:url\" content=\"https:\/\/www.nickzom.org\/blog\/2018\/12\/09\/the-effect-of-financial-calculations-in-the-nigerian-economy\/\" \/>\n<meta property=\"og:site_name\" content=\"Nickzom Academy\" \/>\n<meta property=\"article:published_time\" content=\"2018-12-09T20:06:25+00:00\" \/>\n<meta property=\"article:modified_time\" content=\"2024-02-12T15:25:14+00:00\" \/>\n<meta property=\"og:image\" content=\"https:\/\/www.nickzom.org\/blog\/wp-content\/uploads\/2018\/12\/4068d77c-4662-4dcb-a245-a1904a482ba7.jpeg\" \/>\n\t<meta property=\"og:image:width\" content=\"1024\" \/>\n\t<meta property=\"og:image:height\" content=\"1024\" \/>\n\t<meta property=\"og:image:type\" content=\"image\/jpeg\" \/>\n<meta name=\"author\" content=\"Chinecherem Edeh\" \/>\n<meta name=\"twitter:card\" content=\"summary_large_image\" \/>\n<meta name=\"twitter:label1\" content=\"Written by\" \/>\n\t<meta name=\"twitter:data1\" content=\"Chinecherem Edeh\" \/>\n\t<meta name=\"twitter:label2\" content=\"Est. reading time\" \/>\n\t<meta name=\"twitter:data2\" content=\"4 minutes\" \/>\n<script type=\"application\/ld+json\" class=\"yoast-schema-graph\">{\"@context\":\"https:\\\/\\\/schema.org\",\"@graph\":[{\"@type\":\"Article\",\"@id\":\"https:\\\/\\\/www.nickzom.org\\\/blog\\\/2018\\\/12\\\/09\\\/the-effect-of-financial-calculations-in-the-nigerian-economy\\\/#article\",\"isPartOf\":{\"@id\":\"https:\\\/\\\/www.nickzom.org\\\/blog\\\/2018\\\/12\\\/09\\\/the-effect-of-financial-calculations-in-the-nigerian-economy\\\/\"},\"author\":{\"name\":\"Chinecherem Edeh\",\"@id\":\"https:\\\/\\\/www.nickzom.org\\\/blog\\\/#\\\/schema\\\/person\\\/44f7a1f7ef67d91d11bd22df1b6480b6\"},\"headline\":\"The Effect of Financial Calculations in the Nigerian Economy\",\"datePublished\":\"2018-12-09T20:06:25+00:00\",\"dateModified\":\"2024-02-12T15:25:14+00:00\",\"mainEntityOfPage\":{\"@id\":\"https:\\\/\\\/www.nickzom.org\\\/blog\\\/2018\\\/12\\\/09\\\/the-effect-of-financial-calculations-in-the-nigerian-economy\\\/\"},\"wordCount\":665,\"commentCount\":8,\"publisher\":{\"@id\":\"https:\\\/\\\/www.nickzom.org\\\/blog\\\/#organization\"},\"image\":{\"@id\":\"https:\\\/\\\/www.nickzom.org\\\/blog\\\/2018\\\/12\\\/09\\\/the-effect-of-financial-calculations-in-the-nigerian-economy\\\/#primaryimage\"},\"thumbnailUrl\":\"https:\\\/\\\/www.nickzom.org\\\/blog\\\/wp-content\\\/uploads\\\/2018\\\/12\\\/4068d77c-4662-4dcb-a245-a1904a482ba7.jpeg\",\"keywords\":[\"calculations\",\"economy\",\"finance\",\"financial calculations\"],\"articleSection\":[\"General\"],\"inLanguage\":\"en-US\",\"potentialAction\":[{\"@type\":\"CommentAction\",\"name\":\"Comment\",\"target\":[\"https:\\\/\\\/www.nickzom.org\\\/blog\\\/2018\\\/12\\\/09\\\/the-effect-of-financial-calculations-in-the-nigerian-economy\\\/#respond\"]}]},{\"@type\":\"WebPage\",\"@id\":\"https:\\\/\\\/www.nickzom.org\\\/blog\\\/2018\\\/12\\\/09\\\/the-effect-of-financial-calculations-in-the-nigerian-economy\\\/\",\"url\":\"https:\\\/\\\/www.nickzom.org\\\/blog\\\/2018\\\/12\\\/09\\\/the-effect-of-financial-calculations-in-the-nigerian-economy\\\/\",\"name\":\"The Effect of Financial Calculations in the Nigerian Economy\",\"isPartOf\":{\"@id\":\"https:\\\/\\\/www.nickzom.org\\\/blog\\\/#website\"},\"primaryImageOfPage\":{\"@id\":\"https:\\\/\\\/www.nickzom.org\\\/blog\\\/2018\\\/12\\\/09\\\/the-effect-of-financial-calculations-in-the-nigerian-economy\\\/#primaryimage\"},\"image\":{\"@id\":\"https:\\\/\\\/www.nickzom.org\\\/blog\\\/2018\\\/12\\\/09\\\/the-effect-of-financial-calculations-in-the-nigerian-economy\\\/#primaryimage\"},\"thumbnailUrl\":\"https:\\\/\\\/www.nickzom.org\\\/blog\\\/wp-content\\\/uploads\\\/2018\\\/12\\\/4068d77c-4662-4dcb-a245-a1904a482ba7.jpeg\",\"datePublished\":\"2018-12-09T20:06:25+00:00\",\"dateModified\":\"2024-02-12T15:25:14+00:00\",\"description\":\"Discover how financial calculations shape Nigerian economy. 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