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Re: It Makes No Sense To Save Your Money In Dollar by SpellingBot: 10:56pm On Jul 29, 2021 |
What if I save in 100k in Naira and the inflation still happens? Is it not better for me to save it in dollar and get a better sum like 250k to match the inflation? 5 Likes |
Re: It Makes No Sense To Save Your Money In Dollar by Plomo: 10:58pm On Jul 29, 2021 |
thebosstrevor1: *sigh. Like someone rightfully asked, how does the rate of devaluation of naira against the dollar match inflation in Nigeria? Compared to the rate of inflation in the country, is the interest rate higher or lower? In principle, any time the value of another currency is rising, relative to yours, you'll make money by keeping it in that currency. 1 Like |
Re: It Makes No Sense To Save Your Money In Dollar by Nobody: 11:39pm On Jul 29, 2021 |
Plomo: Nigeria is an import dependent country, when the dollar rises, importers will have to get more naira to get a dollar,when they import the goods, they also have to make their gain which means increase in the cost of their products, do you know that local producers also rise the cost of their product claiming the dollar has risen to justify their price increment, all these help in increasing inflation. For your last statement, it is true that you get more money money when the dollar increases but you also have to calculate for inflation when you convert your dollar to naira for emergencies. If naira falls, your dollar in your savings suffer if not in use that is because of inflation, if the dollar falls, your naira in your savings gets more value. 1 Like |
Re: It Makes No Sense To Save Your Money In Dollar by Nobody: 11:41pm On Jul 29, 2021 |
SpellingBot: You cant match future inflation by just saving dollar, you have to make the dollar earn profit or interest to leverage against inflation. |
Re: It Makes No Sense To Save Your Money In Dollar by Nobody: 11:44pm On Jul 29, 2021 |
aribisala0: Only abuse that comes out from a daft brain. Stop commenting, pls,let people who have the intellectual capacity comment....my last reply to you |
Re: It Makes No Sense To Save Your Money In Dollar by Plomo: 12:25am On Jul 30, 2021 |
thebosstrevor1: You’re basing your entire assumptions on the belief that someone will convert money to dollars and keep in his wardrobe. You should also factor the going interest rate for saving dollars. Even at that, you should consider the interest rate for saving dollars in a US bank account. That being said, as an investor, it goes beyond keeping dollars in your bank account, you will also make the money work for you. Finally, saving your money in naira is foolish because with an inflation rate of over 18% and an interest rate of 11.5%, tell me how it makes no sense to save money in dollars? 2 Likes |
Re: It Makes No Sense To Save Your Money In Dollar by Nobody: 12:46am On Jul 30, 2021 |
Plomo: There is no interest on saving your dollar in domiciliary accounts , it is just a dollar saving account. The majority of retail owner of dollars, just save, they do not invest or earn anything on their saved dollars. It is foolish to save your money in dollar thinking that when naira is 1000 to a dollar, you have made a profit but in reality because of future inflation caused by devaluation, you actually made a loss. I 1 Like |
Re: It Makes No Sense To Save Your Money In Dollar by jesmond3945: 1:32am On Jul 30, 2021 |
Op made a very intelligent point kudos. I even liked your contribution. Inflation would always be a big hammer. 1 Like 1 Share |
Re: It Makes No Sense To Save Your Money In Dollar by seanwilliam(m): 3:47am On Jul 30, 2021 |
thebosstrevor1: Hmmm. if he leaves the money in his bank now that dollar is 500/1$, and then the next 3 years , dollar rises to 1000/1$, what will happen to the money in his bank ?. 1 Like |
Re: It Makes No Sense To Save Your Money In Dollar by seanwilliam(m): 4:01am On Jul 30, 2021 |
thebosstrevor1:U said the 500k will worth like 250k because of inflation if the person saves in dollars , now pls tell me what will happen if the person saves the 100k in bank and inflation still happens ? Is it not better for me to save it in dollar and get a better sum like 250k to match the future inflation? Or u want me to keep the 100k in bank that will worth like 50k if inflation happens ?? 4 Likes |
Re: It Makes No Sense To Save Your Money In Dollar by aribisala0(m): 6:13am On Jul 30, 2021 |
thebosstrevor1:Not true there is interest Clearly you are just mouthing off and here to spout opinions without facts, figures or analysis 1 Like |
Re: It Makes No Sense To Save Your Money In Dollar by joinnow: 8:06am On Jul 30, 2021 |
Another quota system sighted clearly 1 Like |
Re: It Makes No Sense To Save Your Money In Dollar by lereinter(m): 9:14am On Jul 30, 2021 |
Someone that saved his naira when dollar was 360 Now that dollar is 505 Dollar will continue to rise You no get point 1 Like |
Re: It Makes No Sense To Save Your Money In Dollar by Whois(m): 9:35am On Jul 30, 2021 |
Under Buhari, the Naira is trying to be like the Zimbabwéen currency in a very fast & alarming rate. Currently you lose money by having Naira & gain money by having Dollar. Free money by having money that’s not naira. @op I don't expect bororo like you to understand simple principles of economic 1 Like
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Re: It Makes No Sense To Save Your Money In Dollar by Plomo: 10:07am On Jul 30, 2021 |
thebosstrevor1: There is interest on saved dollars please. Union bank pays a whopping 3% p.a on dollars saved. Inflation inflation, is dollar not inflating too. Or you think the dollar is immune? Bros saving your money in dollars pegs it’s value against that of the dollars. It is called hard currency for a reason. So if the dollar value rises as against the naira, your money will also appreciate. But if you save money in naira and it continues getting devalued, you will spend more naira to buy goods and services that depend on dollar prices at any given time. Which then brings us back to this point. thebosstrevor1: Furthermore, let’s assume we’re talking about money in the bank not tied to any personal investment. You said thebosstrevor1: And I told you that with an inflation rate higher than an interest rate, saving money in naira is foolish cos your money is loosing value faster than it is making interest when saved in a bank. But in the US, the inflation rate is pegged at 2.4% and naira is losing value at a whopping rate of 17% +-, where would you rather save? There are a multitude of other factors that also influences inflation and currency devaluations. In the grand scheme of things, a weaker domestic currency should stimulate exports which in theory will make foreigners buy our currency thereby strengthening it but no! We’re importing and have been importing more than ever. In fact, your headline can be re-written as “It Makes No Sense To Save Your Dollars In Bitcoin” because, like you’re arguing, inflation will devalue dollars. lol or abi I am not even understanding what you’re typing sef… 2 Likes |
Re: It Makes No Sense To Save Your Money In Dollar by Gabaleve(m): 10:16am On Jul 30, 2021 |
You just settle down compose rubbish.. Mr average Joe 2 Likes |
Re: It Makes No Sense To Save Your Money In Dollar by harsysky(m): 11:47am On Jul 30, 2021 |
thebosstrevor1: I think, and I'm 100% sure, I had mentioned you before now. You have inferiority complex. I don't need to see you to actually ascertain that; you oftentimes want to make sense, maybe to feel this happiness within, but you end up messing stuffs up. I could remember I sent a comment to you where I said, " when a fool keeps shut, even he is considered wise" . It's a bible verse from the book of proverb. Now let's come to what you wrote up there. Even from the post you made, one isn't affected saving in dollar. You will grow more than you deposited. Have you taken time to imagine if one had saved in naira, what might have happened? Use your No. 6 2 Likes |
Re: It Makes No Sense To Save Your Money In Dollar by Stone03: 12:54pm On Jul 30, 2021 |
thebosstrevor1: Very true, brother 1 Like |
Re: It Makes No Sense To Save Your Money In Dollar by Nobody: 1:03pm On Jul 30, 2021 |
Plomo: The fact that you admitted that the dollar is affected by inflation shows also that just saving in any form of currency isn't a means to leverage against inflation. I just saw that union bank gives a 3% p.a interest on your dollar, but how does that help. Imagine you save 1200 dollars per year, that is mere 36 dollar interest per year compare with someone doing doing business with his 20k dollars everyday or use it to buy international real estate and earning rent every month. In the next 5 years, his property value will be worth 60k that is minus rent and interest while you keep earning 3% per annum on your saved dollar...he has leverage against inflation while you have no leverage. 1 Like |
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