Just spoke with a guy i met here on NL. He resides in Chicago. He told me that he sent money home last Friday (Mar 6th, 2009) and was exchanged for N172!

Couldn't believe it. He even said that its predicted that $$$ might go as high as N200. So it only mean one thing. Grab your bargains now!

If you look at the rate since December, its been going up. [b]So don't hesitate.[/b]

I don't sell any car in Nigeria as of now, so the issue of self interest should not come up. Even if you are looking at Nigerian used, those people will be charging a little more as time goes on cos they will need to replace the ride probably with fresh TOKS.

Good luck everyone

promise72:

Just spoke with a guy i met here on NL. He resides in Chicago. He told me that he sent money home last Friday (Mar 6th, 2009) and was exchanged for N172!

Couldn't believe it. He even said that its predicted that $$$ might go as high as N200. So it only mean one thing. Grab your bargains now!

If you look at the rate since December, its been going up. [b]So don't hesitate.[/b]

I don't sell any car in Nigeria as of now, so the issue of self interest should not come up. Even if you are looking at Nigerian used, those people will be charging a little more as time goes on cos they will need to replace the ride probably with fresh TOKS.

Good luck everyone

From my observation, the law of supply and demand in Nigeria, particularly in the auto industry, does not apply as it typically does in most other economic systems.  Economic activities of Nigerians defy logic all too often. For the sake of simplicity, let me give a recent example: I sold a particular brand of car for N7.0million because it was a redesigned model.  3 months later, the same car was sold for N6.5million. Would you believe that just 6 months after the car was sold for N7.0million, buyers were only ready to pay N5million for the same car, simply because they no longer had the bragging rights to claim that they were the first to own the redesigned model!! My point is that, the business or economic paradigm in which Nigeria operates is quite primitive and rational analysis will lead to completely invalid conclusions.

Back to the point, the naira has lost 45% of its value, since only the black market is the source of foreign exchange for most used car dealers. While used car prices have dropped in the US,  I don't believe that the reduction in prices is more than the typical annual depreciation. I am yet to see a significant drop in prices at car auctions in the USA. Rational analysis will tell us that, the prices of used cars should go up very soon in Nigeria.

I, however, do not believe that used car prices in Nigeria (at least in lagos) will increase significantly in 2009. There is an oversupply of used cars in Lagos, since just about every household has a car to sell.  It will probably take all year for the inventory to dry up enough to affect prices. I expect prices to increase next year, however.  My reason for this is that, there has been a drastic reduction in bookings for cars to be exported to Nigeria from the USA, in the past 30 - 60 days or so. Additionally container ships are not even allowed in Apapa ports until April 15. Some shipping companies have dropped their prices on the East Coast for RORO vehicles, in the hopes that the action will result to more business. By year end, the low supply and the naira value will probably result to an increase in prices, but not by very much.

Sorry for the dogo turenchi. Jenju in crystal ball mode 

Cheers,
J

@Jenju apt. You are in the know, very thorough and pleasingly diplomatic. What more? Keep it up.

I think this will affect IT industry more than Auto

I just wish that CBN should make some policy decisions to salvage the situation before the naira go down to 200 to only one US dollar

Ukpekeson:

I just wish that CBN should make some policy decisions to salvage the situation before the naira go down to 200 to only one US dollar

I think the only way out is to find a better way whree business people would be able to buy dollars directly from the bank and not the black market.

Ukpekeson:

I just wish that CBN should make some policy decisions to salvage the situation before the naira go down to 200 to only one US dollar

It appears as if Soludo's promise of 2 months ago, to flood the market with dollars, is about to be actualized.  THE Central Bank of Nigeria (CBN) will soon flood the Nigerian economy with dollars as it has liberalised the foreign exchange market. Governor of the CBN, Professor Chukwuma Soludo, announced the new measure, at the weekend, in Abuja, after a meeting of the Monetary Policy Committee (MPC).

If the announced plans are carried out, the naira may appreciate as fast as it depreciated. I find it noteworthy however, that no sooner than rumours of Soludo's removal started to emanate from certain quarters, than Soludo himself announced these sweeping new policy.  Some media outlets were reporting that Sanusi may have been picked to replace Soludo. We wait and see as they continue to play ludo with the Nigerian economy.


Cheers,
J

Sources:
http://odili.net/news/source/2009/may/25/622.html
http://www.tribune.com.ng/25052009/news/news3.html

Anyhow wey dem do am, na we de masses go suffer am pass. We go overcome dis tin one day sha. God dey!!!

jenju:

It appears as if Soludo's promise of 2 months ago, to flood the market with dollars, is about to be actualized. THE Central Bank of Nigeria (CBN) will soon flood the Nigerian economy with dollars as it has liberalised the foreign exchange market. Governor of the CBN, Professor Chukwuma Soludo, announced the new measure, at the weekend, in Abuja, after a meeting of the Monetary Policy Committee (MPC).

If the announced plans are carried out, the naira may appreciate as fast as it depreciated. I find it noteworthy however, that no sooner than rumours of Soludo's removal started to emanate from certain quarters, than Soludo himself announced these sweeping new policy. Some media outlets were reporting that Sanusi may have been picked to replace Soludo. We wait and see as they continue to play ludo with the Nigerian economy.


Cheers,
J

Sources:
http://odili.net/news/source/2009/may/25/622.html
http://www.tribune.com.ng/25052009/news/news3.html

Glory be to God, Dollar is crashing every minute here in Abuja today.

the dollar exchanged for N163 today in Kano, down from N176 on Tuesday and N180 a week a go

Thank God!!! dollar is crashing every minute.bought at 161 to a dollar this afternoon.heard it's going to 120- 130 to a dollar.

SAY big sorry to me, i, but dollas at 171 in the morning at Onitsha , later by afternom it was sold at 162 at same onitsha, i loss so much money TODAY

It's because the price of oil is going up like I told you guys before,
If only I had a credible person in Naija we go do real currency trading.

The price of oil is predicted to rise so watch out the naira will gain value even more.

Pls more updates

Pls what is the current exchange rate?

The parallel market rates are converging with the official exchange rate vis-a-vis the dollar. I bought a few dollars in Abuja for =N= 152 this morning. One can sell for =N= 150 - 151.

Cheers,
J

jenju:

The parallel market rates are converging with the official exchange rate vis-a-vis the dollar. I bought a few dollars in Abuja for =N= 152 this morning. One can sell for =N= 150 - 151.

Cheers,
J

Thanks for the update.

@jenju,
where exactly in Abuja did u buy dollar at 152 my brother?? Please help with the info. Thanks!

wezo01:

@jenju,
where exactly in Abuja did u buy dollar at 152 my brother?? Please help with the info. Thanks!

I bought from the Mallams in Zone 4. Be firm and demand the best rate, they may try to sell to you @ N153- N154 if they think you are uninformed. They just bought dollar for N150 from someone only a few minutes ago. Just three days ago, they were buying at N160!!

Cheers,
J

Pls what is the rate today?

i, but dollas yesterday at Onitsha main market , black market at 155 so is coming down everywhere,

Pls what's the current rate in Lagos?

Look up updated current rate here

https://www.nairaland.com/nigeria/topic-68738.384.html