Naira Now Undervalued After Float, Bank Of America Says - Business (5)

Welcome, Guest: Register On Nairaland / LOGIN! / Trending / Recent / New
Stats: 3,152,436 members, 7,815,991 topics. Date: Thursday, 02 May 2024 at 10:59 PM

Naira Now Undervalued After Float, Bank Of America Says - Business (5) - Nairaland

Nairaland Forum / Nairaland / General / Business / Naira Now Undervalued After Float, Bank Of America Says (43165 Views)

Naira Float: Dangote, Abdulsamad Rabiu Lost $5.85bn, Say Bloomberg Index / Naira Begins Recovery After Float, Closes At ₦‎664/$ At I&E Window / Central Bank Starts Uniform Exchange Rate For Naira, Now ₦380 To $1 (2) (3) (4)

(1) (2) (3) (4) (5) (6) (7) (8) (Reply) (Go Down)

Re: Naira Now Undervalued After Float, Bank Of America Says by JasonScoolari: 11:23am On Jun 30, 2023

WantsandMore:
lol. Ok

Yeah, so furck off. 🙂

1 Like

Re: Naira Now Undervalued After Float, Bank Of America Says by IVORY2009(m): 11:23am On Jun 30, 2023

Bidema:
Guys please when last did your country monitored American economy.

That's what you get when you depend on people for your daily bread

Offcourse we do on a daily basis, currently the American economy is about to go into recession

Re: Naira Now Undervalued After Float, Bank Of America Says by Isobug: 11:24am On Jun 30, 2023

emmabest2000:
China with strong economy and powerful leader has been dreaming of bringing down the exchange rate of USD for two decades by all means but .....
RMB to USD
2003 to 2005 100usd - 820rmb
2006 to 2009 100usd - 810rmb
2010 to 2012 100usd - 780rmb
From 2013 till 2022 the lowest was
100usd - 640rmb
Currently the price now is around
100usd - 710rmb
Believe me if it is that easy China would have force down the exchange rate to 100usd = 100rmb

But for Naira
2003 100usd 130naira
2023 100usd 700naira

Wrong......
Chinese government want it's currency devalued against the USD, this they do just to encourage local purchase of their home made products and discourage buying of foreign goods especially US made ones.
This has been a big problem between the US China for long

Re: Naira Now Undervalued After Float, Bank Of America Says by WantsandMore: 11:24am On Jun 30, 2023

JasonScoolari:
Yeah, so furck off. 🙂

are you ok?

Re: Naira Now Undervalued After Float, Bank Of America Says by JasonScoolari: 11:24am On Jun 30, 2023

WantsandMore:
are you ok?

Ask your dad at home. grin

2 Likes

Re: Naira Now Undervalued After Float, Bank Of America Says by Angelfrost(m): 11:25am On Jun 30, 2023

jmoore:
The analysts are obviously myopic. Nigeria is an importing country, therefore expecting a dollar to be 650 naira next year won't happen. Tens of billions of dollars from crude oil revenue is not enough to meet the demand of forex.

Any Nigerian living in Nigeria and earning in Dollars should resist the temptation to convert his entire wages to Naira!

Anyone who took counsel to convert and save in Dollars last year to early this year is already a BOSS!

Re: Naira Now Undervalued After Float, Bank Of America Says by Kapeter(m): 11:25am On Jun 30, 2023

JasonScoolari:
Wetin bring Peter Obi come this matter?

Is he the reason why the Naira is undervalued?

Is he the reason fuel is now N520 per litre and will be N700 per litre in the North?

Is he the reason why 5 seed of tomatoes is now N350?

Is he the reason you entered trailer from Kaduna to Ilorin to celebrate Salah?

Is he the reason there will be increase in electricity tariff as from tomorrow?

Is he the reason students at Federal Universities will start paying double of their fees?

Omo him tu lie, why are you crying all over the thread grin

SMH

Re: Naira Now Undervalued After Float, Bank Of America Says by 360command: 11:25am On Jun 30, 2023

Parachoco:
The way some of una dey always talk eh

All the Financial experts/institutions wey don talk say the Naira go stable at 600+ are wrong, nah only you right

What a 🤡

why are Africans proud to accept anything the white man says about us to be final?

Why do we wait for them to talk about us.?

Why do we think we should accept what they tell us to do?

And when the african man gives his opinion about his views on what the west talked about, we as fellow Africans debunk him and call him names like clowns.

Re: Naira Now Undervalued After Float, Bank Of America Says by WantsandMore: 11:26am On Jun 30, 2023

JasonScoolari:
Ask your dad at home.

smh

Re: Naira Now Undervalued After Float, Bank Of America Says by LordAbove: 11:27am On Jun 30, 2023

What are you talking about?
100 USD is equal to 700 naira?

emmabest2000:
China with strong economy and powerful leader has been dreaming of bringing down the exchange rate of USD for two decades by all means but .....
RMB to USD
2003 to 2005 100usd - 820rmb
2006 to 2009 100usd - 810rmb
2010 to 2012 100usd - 780rmb
From 2013 till 2022 the lowest was
100usd - 640rmb
Currently the price now is around
100usd - 710rmb
Believe me if it is that easy China would have force down the exchange rate to 100usd = 100rmb

But for Naira
2003 100usd 130naira
2023 100usd 700naira

Re: Naira Now Undervalued After Float, Bank Of America Says by Dreamhighnow(m): 11:28am On Jun 30, 2023

jumper524:
If unethical caution is not taken, these Americans would still devalue our naira and blame it on some economic factor.

Stop blaming America for your problem. Hold your leaders responsible

Re: Naira Now Undervalued After Float, Bank Of America Says by HighTable(m): 11:30am On Jun 30, 2023

Since most countries trade oil in USD, and also because the Federal reserve bank is in US, they have the edge and power to keep other countries rate at bay, Since the US is still the leader of the "free world" , the US dollar has to continue to be the most valuable or sought after, whatever gets in the way of that will be destroyed as it has been done since 1991.

emmabest2000:
China with strong economy and powerful leader has been dreaming of bringing down the exchange rate of USD for two decades by all means but .....
RMB to USD
2003 to 2005 100usd - 820rmb
2006 to 2009 100usd - 810rmb
2010 to 2012 100usd - 780rmb
From 2013 till 2022 the lowest was
100usd - 640rmb
Currently the price now is around
100usd - 710rmb
Believe me if it is that easy China would have force down the exchange rate to 100usd = 100rmb

But for Naira
2003 100usd 130naira
2023 100usd 700naira

Re: Naira Now Undervalued After Float, Bank Of America Says by Sholaco: 11:31am On Jun 30, 2023

JasonScoolari:
This is just the beginning.... First thing tomorrow, hike in Electricity Tariff will hit everyone hard.

Sad thing is that one Kwara Polytechnic Nd2 dropout, living in the suburbs of Ilorin as a part-time agbero, with a heavily padded Itel A2 as his major property and traits of mental disorder will come here to abuse Obidients and everyone who speaks against Tinubu and his tax killing government..

Take it easy 🤣🤣🤣

Re: Naira Now Undervalued After Float, Bank Of America Says by Hamachi(f): 11:32am On Jun 30, 2023

Let me share this beautiful story that explains the Nigeria situation perfectly. It was told by Awdhesh Singh

A man was travelling through a muddy road when his car got suddenly trapped in the pool of mud. He tried very hard to move but his car failed to come out of it.

Suddenly, he saw a villager coming toward him in his bullock cart.

Once the bullock cart came near, he requested him to pull his car out of the mud. A deal of Rs 100 was negotiated between them for the work and the villager pulled the car using his bullocks.

The man felt greatly relieved and paid him the money.

He then asked the villager, “There may be so many cars that would be getting trapped in this mud.”

Villager: “True sir. You are the seventh person since morning whose car got trapped in this mud.”

Man: “Oh my God! Did you have to pull all of them.”

Villager: “Yes Sir.”

Man: “You must be busy full day pulling the cars from the mud having no time to do your own work.”

Villager: “Very True Sir. I have to do all my work at night only.”

Man: “Oh I see! By the way, what work you do in the night.”

Villager: “I just ensure that this mud is never dry.”

Look at Nigeria, look at it carefully from every side, are we lacking in manpower or the resources to develop this country?

Nigeria is complete because all that is required to make this country great is readily available but they won't let it.

There are people; the ones we celebrate, the ones we respect, some of us even consider them mentors and political godfathers, the reason they are considered rich is simply because of the present state of the country.

Boko haram is using the finest of weapons to fight the Nigeria military, same thing with the now inoperational Niger Delta militants. How where they able to acquire such weapons, weapons the West won't sell to the Nigerian government.

How about the hundreds of people working for the dozens of NGOs at the IDP camps, do you think they would ever wish for those programs to end? What job will be left for them to fall back on when things completely settle down?

Are NGOs bad? No, but the likelihood of people turning such developments to a life-long business in Nigeria is quite alarming and should be observed from the start.

There are so many people, both locally and internationally, working terribly hard to keep Nigeria exactly as it is or worse, to ensure that the mud is never dry.

Until Nigerians unite to fight such people, those who rule the country from the comfort of their homes, generations to come will keep inheriting the so-called sleeping giant, but then, when you fight corruption, corruption fights back.

Re: Naira Now Undervalued After Float, Bank Of America Says by thegooddieyoung: 11:32am On Jun 30, 2023

Just to defend this government and feel you are slighting well meaning people.

It is obvious you do not understand the theory of ripple effect at all.

Manufacturers Association of Nigeria (MAN) are already planning to increase the cost of products and services due to hike in energy tariff.

Expect to buy your darling bread at a cut-throat price.

People are complaining because of the ill-timing. Government is expected to provide some succor to the common man.

chidiokay:

Even tho AEDC have denounce the hike officially, lets even assume the Hike in price happens tomorrow how is that Tinubu fault or got to do with FG

On several occasion Discos have alway increase rate subtlely those using prepaid can relate the only difference these time is they decided to do it openly.
What ever Nigeria is going through right now is eminent, there is no way anybody can fix Nigeria without "pain effect".
There is nothing peter obi can do, except he continues on the steps of GEJ, Buhari no other road is smooth

1 Like

Re: Naira Now Undervalued After Float, Bank Of America Says by Dreamhighnow(m): 11:33am On Jun 30, 2023

DeLaRue:

It's laughable.

Every hour, Nigerians are monitoring Naira/USD rate even when they don't do any international trade.

Tailors, office workers, landlords, teachers, market men and women etc are discussing dollar rate every day.

Every time the value goes up by any amount, people's blood pressure rises enmass.

My sister has no business with the dollar, but anytime she calls, she will ask if I know that dollar is so and so

The slavish obsession with the dollar is contributing to making more people wanting to buy it, therefore destroying the naira.

People are just 'doing themselves '.

We are not Americans. Dollar is not our currency.

Why are we obsessed with this currency.

I don't think there's any country in the world where whole swathes of the population have deified another country 's currency.

Are u a literate person at all. We are an importing country and the exchange depends solely on dollar. Any gain in dollar affect our buying power as a country

Re: Naira Now Undervalued After Float, Bank Of America Says by Curvinus(m): 11:34am On Jun 30, 2023

Flets:

Devaluing is the option, floating is not. You can even devalue to 700 and peg it there...... you can't float with the level of balance of trade deficit we have. What do we export outside crude?, do you know the volume of empty containers that gets shipped out daily from Nigeria?

With this floating, there is no real value... the speculators and manipulators will have a field day. USD will exchange for 1500 and there is nothing anyone will do about until CBN takes charge again

.

Yeah people will just over leverage and short the Naira to death. Even Russia had to block the option of shorting to save their rubble'
following America's sanctions.

The fundamentals for the Naira unfortunately points down South and that's where it is headed except something is done urgently to increase exports and improve our ballance of payment which I don't see happening in the short term.

Re: Naira Now Undervalued After Float, Bank Of America Says by Richwallet: 11:35am On Jun 30, 2023

Michael Michelle Obama Robinson was the first transgender to get away with living publicly as a woman and celebrated. Michael Michelle Obama Robinson, Barack Obama and Louis Farrakhan are all from Chicago and Farrakhan helped them keep the secret all this time he still omits the truth. Farrakhan is Lucifer's Messiah.

Re: Naira Now Undervalued After Float, Bank Of America Says by Jbleenk: 11:36am On Jun 30, 2023

sslcrypt:

You will also blame the west for the miserable life you have lived also. Always blaming others, when your country is corrupt and doesn't care the cost of corruption.

What’s the insult for?

Re: Naira Now Undervalued After Float, Bank Of America Says by MrBroke(m): 11:36am On Jun 30, 2023

JasonScoolari:
Enjoy your pain effect.

God doesn't fix. Humans does.

Re: Naira Now Undervalued After Float, Bank Of America Says by Johnn74: 11:38am On Jun 30, 2023

Re: Naira Now Undervalued After Float, Bank Of America Says by frog12: 11:40am On Jun 30, 2023

NIGERIA is not a country you talk of. we have destroyed all chances of having valued leadership

Re: Naira Now Undervalued After Float, Bank Of America Says by tymicjay77: 11:40am On Jun 30, 2023

emmabest2000:
China with strong economy and powerful leader has been dreaming of bringing down the exchange rate of USD for two decades by all means but .....
RMB to USD
2003 to 2005 100usd - 820rmb
2006 to 2009 100usd - 810rmb
2010 to 2012 100usd - 780rmb
From 2013 till 2022 the lowest was
100usd - 640rmb
Currently the price now is around
100usd - 710rmb
Believe me if it is that easy China would have force down the exchange rate to 100usd = 100rmb

But for Naira
2003 100usd 130naira
2023 100usd 700naira

Correction!
$100= ₦13,000-₦155,000
Now in 2023
$100 = ₦68,000 -₦780,000

I beg where you see
100USD = 130Naira or 100USD =700Naira
I guessed is mistake bah,cos no let me woose u hot slap from my phone here

Re: Naira Now Undervalued After Float, Bank Of America Says by blaise26abj(m): 11:41am On Jun 30, 2023

sweetkev:
Pump tens of billions of dollars into your economy that your greedy politicians will embezzle right. Just think about your opinion on this. Are you making sense at all ?

Comprehension is key . That was sarcastic statement. The opinion here is we don’t need their hypocritical analysis of our economy . For your information, Ukraine officials have been stealing the money sent. Go and verify.

Re: Naira Now Undervalued After Float, Bank Of America Says by Lemos14: 11:43am On Jun 30, 2023

Parachoco:
Naira will be between #550-#650 before the end year

Was it not 460 before tinubu came in? What is your point?

Re: Naira Now Undervalued After Float, Bank Of America Says by JetStar: 11:44am On Jun 30, 2023

emmabest2000:
China with strong economy and powerful leader has been dreaming of bringing down the exchange rate of USD for two decades by all means but .....
RMB to USD
2003 to 2005 100usd - 820rmb
2006 to 2009 100usd - 810rmb
2010 to 2012 100usd - 780rmb
From 2013 till 2022 the lowest was
100usd - 640rmb
Currently the price now is around
100usd - 710rmb
Believe me if it is that easy China would have force down the exchange rate to 100usd = 100rmb

But for Naira
2003 100usd 130naira
2023 100usd 700naira

100 USD for 700 naira? WoW. 9ja is better than China. Or do you mean 70,000 naira?

Re: Naira Now Undervalued After Float, Bank Of America Says by Hamachi(f): 11:44am On Jun 30, 2023

jmoore:
The analysts are obviously myopic. Nigeria is an importing country, therefore expecting a dollar to be 650 naira next year won't happen. Tens of billions of dollars from crude oil revenue is not enough to meet the demand of forex.

Yo! You damn smart.

Re: Naira Now Undervalued After Float, Bank Of America Says by MT: 11:45am On Jun 30, 2023

I laugh when people rush to tout Peter Obi as our Messiah.

What would he have done different ?.

Continue to defend the naira against the dollar using our dwindling foreign reserves

or

Float the naira ?

The first will destroy Nigeria while the latter will at least build up our foreign reserve which can be used for other things, aside the ROUTINE intervention to defend the naira. It has also eliminated round tripping to a very large extent since the there is only thin margin between the bank rate and the black market rate.

China INTENTIONALLY devalues her currency to stimulate export. It is not a bad thing only that we do not produce enough locally to take advantage of the situation. And you cant realistically expect an administration that is less than 100 days to have stimulated local production exponentially.

So, tell me what Obi would have done differently?

Re: Naira Now Undervalued After Float, Bank Of America Says by blaise26abj(m): 11:46am On Jun 30, 2023

Angelfrost:

Any Nigerian living in Nigeria and earning in Dollars should resist the temptation to convert his entire wages to Naira!

Anyone who took counsel to convert and save in Dollars last year to early this year is already a BOSS!

The advantage is just protecting themselves from the rampaging inflation which at this moment is fantastic . I disagree to the boss statement sha . They are only protected . If prices of commodities had remained stagnant , then they would definitely be BOSSES

Re: Naira Now Undervalued After Float, Bank Of America Says by afroxyz: 11:48am On Jun 30, 2023

emmabest2000:
China with strong economy and powerful leader has been dreaming of bringing down the exchange rate of USD for two decades by all means but .....
RMB to USD
2003 to 2005 100usd - 820rmb
2006 to 2009 100usd - 810rmb
2010 to 2012 100usd - 780rmb
From 2013 till 2022 the lowest was
100usd - 640rmb
Currently the price now is around
100usd - 710rmb
Believe me if it is that easy China would have force down the exchange rate to 100usd = 100rmb

But for Naira
2003 100usd 130naira
2023 100usd 700naira

How is 100USD = 700 Naira?

Re: Naira Now Undervalued After Float, Bank Of America Says by jaxxy(m): 11:48am On Jun 30, 2023

Bidema:
Guys please when last did your country monitored American economy.

That's what you get when you depend on people for your daily bread

everybody monitors the American economy including China and Russia because they affect 70% of other economies.

Re: Naira Now Undervalued After Float, Bank Of America Says by Tonnierichy(m): 11:48am On Jun 30, 2023

SmartPolician:
Those who forecast that naira will gain over the dollar as mere speculators. Exchange rate doesn't require prayer and fasting. You must be willing to put in the work for naira to gain over foreign currencies.

Sadly, Bola Tinubu is busy gallivanting all over the South West instead of taking steps to kick off projects that will increase Nigeria's FX earnings like harnessing Nigeria's gas reserves, meeting OPEC's crude oil export for Nigeria, and increasing Nigeria's cash crops for export.

Does he even know the level of hardship he has caused for floating the naira and removing PMS subsidy?

E say all over the South West. Sorrow ooo😂😂😂 Pele

(1) (2) (3) (4) (5) (6) (7) (8) (Reply)

Femi Otedola Celebrates Children's Day With Photo Of His 4 Children / See The Latest Method Banks Have Now Employed To Devaluate The NAIRA (photo) / Clover, South-African Company Withdraws From Nigeria

(Go Up)

Sections: politics (1) business autos (1) jobs (1) career education (1) romance computers phones travel sports fashion health
religion celebs tv-movies music-radio literature webmasters programming techmarket

Links: (1) (2) (3) (4) (5) (6) (7) (8) (9) (10)

Nairaland - Copyright © 2005 - 2024 Oluwaseun Osewa. All rights reserved. See How To Advertise. 70
Disclaimer: Every Nairaland member is solely responsible for anything that he/she posts or uploads on Nairaland.