Cyoung4real:
What are their purchasing powers? That’s what matters

recievesense:
e no reach $2

Cyoung4real:
What are their purchasing powers? That’s what matters

SporaD8:

Please kindly enlighten us on the difference between value and purchasing power of a currency

Nothingserious:


If N150k is say equivalent of 266 USD.
If someone earning 150k in Nigeria can afford a few things with that amount, can same 266 chase same goods elsewhere?

If say N400k can pay an annual house rent, can 710 USD chase same value for an annual rent too?

JAMO84:
Population also matters.


I don't think any these Countries have up to 20 percent of our population.

YoungRay007:


Namibian dollar: When we converted NAD1000 to the dollar, we got $67.16.

South African rand: South Africa is one of the continent's strongest economies. It also has one of the strongest currencies. When we converted ZAR1000 to the dollar, we got $66.63.

Swazi lilangeni: Although it is among the poorest countries on the continent, Eswatini (Swaziland) has one of the strongest currency. When converted to the dollar, SZL1000 gave us $66.62.

Danzysb:
N1000 is equal to $2.
Giant of Africa indeed.

saintgp:

Pls can you elucidate on the "population also matters".

JAMO84:
Libya's population is less than 7 million. It's like the whole Niger Delta oil money going to Abia state alone, imagine how strong the currency will be, because 7 million people will have more than enough and there will be a lot in the reserves.



Large Foreign reserves protect local currency.




In contrast, Nigeria has an estimated 200 million people, oil prices dropped, reserves tanked and no enough forex earnings to defend the Naira, hence the naira is on free fall due to forex demand pressure.



Our appetite for Foreign products, education, vacation, medication and other importation by our large population will continue to lift dollar above Naira.


Solution: we need to go local as soon as possible. The lesser we convert our naira to dollars for foreign patronage, the stronger the naira will be.

SporaD8:

Please kindly enlighten us on the difference between value and purchasing power of a currency

Bankyshinani:

If a currency has high value,I think the purchasing power should be high too

Danzysb:
N1000 is equal to $2.
Giant of Africa indeed.

saintgp:

How do you explain the above using China's population.

saintgp:

How do you explain the above using China's population.