MMM IN HUGE DEBT

This scheme (MMM), as has been reiterated by Mr. Isaac Okaforoafor (CBN Acting Director of Corporate Communication), depends on the members' confidence. As an economist I am, the first time  I was introduced to this program, I quickly did a brief analysis and check the sustainability juxtaposing with its  financial strength  in the event of winding up,  I concluded  the money contributed by members just moved from one hand to another  (Money Volatility).  The worst part of it, the idle money still conveys interest rate.

Money volatility is not bad on its own , in fact it is good, but ought to be accompanied by value after been put into productive use. Since the money circulating around are not put into any productive use then interest  so paid becomes  an ILLUSION. Since the interest paid is a cumulating DEBT.

Money volatility is not bad, it is even good. High Money Volatility is desirable when it occurs without interest when money  is idle (not put into productive use) or money moves around with interest when it is used productively.

The bone of contention among scholars is not on money volatility vis-à-vis interest, it’s what should be level of rate of interest for every one Naira used in productive activities.

Thus, MMM is just necessary evil.  If MMM flops today, all the 30% interest rates which have been paid on every One Naira (#1) circulating among members become a DEBT and you would testify, many have invested hugely and 30% have been paid on it.

WHOOP!                                          MMM IS IN A HUGE *DEBT*                                  WHOOP!

However, in any business fields there are people we call Big Dogs. They are the masters of the game. They have first-hand information. You can join the Cabal if you watch out for necessary indicators. The indicator in this scheme(MMM) is “PEOPLE'S CONFIDENCE”

You may want to know how you measure this indicator. Look forward for next article.

Before I go let me affirmatively say this. The now-praised-scheme (MMM) by its loyal members will soon prove to them the old axiom, that though "Peter Was Robbed To Pay Paul" Peter was also striped off all he's got.

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