Devaluation of naira has been the single greatest measure and reason for Nigerian economic regression over the years. It's the reason for high inflation in our economy, high interest rates, de-industrialization, high unemployment, low purchasing power, high poverty rates and other regressive economic trends Nigerians are contending with today. By changing this single metrics positively, we change the fortune of Nigeria and Africa forever.

Every time Nigeria devalues its currency, we go through this cycle of high inflation on goods and services. This necessitate government's need to raise interest rate to fight inflation. High monetary policy rates leads to higher cost of funding for manufacturers and other small business owners (~25-30% interest rates from banks). This higher cost of funding couple with other factors of production, raises businesses marginal cost above their selling prices. Hence, reason why they will initially layoff people to cut cost. If that doesn't work, they'll proceed to stop manufacturing completely and focus on importation. If that doesn't work, then they'll close their factories for good and move completely out of Nigeria. We've all been a living witness to great companies who have cycled through this and eventually closed shops. And so many companies are going through this right now.

In the same light, everytime Nigeria devalues its currency, our foreigned debt, corporations debt balloned up overnight making it difficult for repayment. Let's imagine federal government who borrowed dollar debt at 1% from IMF, World bank when dollar was trading at 155 naira. Now they have to pay for the same loan with naira revenue @ $/400 naira. With a stroke of economic adjustment, Nigerian debt repayment in naira term had just increased by 10-20%. Overnight, our debt servicing ratio per budget just increased from approximately 20% to about 30%. Money meant for building power plants, roads, education, will now be used to pay down debt all because of economic adjustment. Later, we will borrow more money to keep the cycle going all over again.

Over the years, Nigeria has regressed from being the giant of Africa where we make giant strides in education, security, infrastructure, health development, policy development and others. Now, Nigeria is a shadow of itself trying to live off its past glory. This chaos started when Nigeria accepted and traded its dynamic economic system for aid of Structural adjustment Programs under president Ibrahim Babangida. Implementation of SAP forces Nigeria to accept loans, under the guise of devaluation of naira, elimination of subsidies and other measures. The economic and social repercussions are what we witnessing today; high unemployment rate, high mortality rate, lower quality education, lower currency purchasing power, high corruption, low security and others. Nigeria went from being the best country in Africa in all ramifications to not mentioned at all. That's not only shameful but very embarrassing to all us.

If we're serious about turning the economic and social fortunes of our country around, we need put a lot of emphasis on Naira. Naira revaluation holds the magic wand to rebranding and improving our economy. Let's imagine what would happen to our economy if naira miraculously increase in value $/300 naira. What would happen to price of goods and services? What would happen to employment? What would happen to banks balance sheet and their risk profile? What would happen to infrastructure and healthcare? What would happen to education and other social vices?

I understand revaluation and devaluation decisions are not made in isolation by countries. They follow the dynamism of demand and supply, or depending on the pegging system accepted by individual country. The nature of countries balance of payment, current account surplus and deficits. The nature of countries gross national products, which takes into account foreign investments income. A perfectly formulated policy that continously increases GNP will help advance and strengthen our currency.

Assuming I'm the Nigerian president today. I'll make one simple, but encompassing goal. That will be to revalue naira by atleast 25% in the next 8 years. This goal is similar to the Malaysian goals of 2009 under prime minister Najib Rasak, to double their per capital income in 8 years, vision 2020. Through different economic and social policies; they reviewied judiciary, security, education, infrastructure and others. They created new economic model that is sustainable, inclusive and high income. They looked at characteristics of the country they are aspiring to be such as; well governed economy, market led, regionally integrated, entrepreneurial, innovative and others. They implemented policies that addresses their economic problems, create social cohesion and at the end achieve their goals of double per capital income within stipulated timeframe. They went from $7200 per capital income to above $15000 per capital income.

I'm convinced by creating a single goal of "revaluing naira in 8 years" will change the current downward spiral of our economic conditions to a positive one. Our current economic system is flawed, outdated and needs total overhaul. Nigeria needs a new economic and social goals that's simple, believable, measurable and timely. While the goal on the surface is just a slogan on it's own, the real work lies in policy formulation and implementation, backed by key performance indicators. A simple goal of "naira revaluation" or "double of per capital income" is what Nigeria needs yesterday, today and tomorrow to retrace its direction, rebalance regional impediments and to claim its top mandate on the global stage.

what you have wrote is what common senses dictates.
but all the Brentwood institutions will never allow that so that with few of their currency that can buy up your entire wealth
ask yourself why is it that dollar and pounds where the most widely accepted currency world over

Redoil:
what you have wrote is what common senses dictates.
but all the Brentwood institutions will never allow that so that with few of their currency that can buy up your entire wealth
ask yourself why is it that dollar and pounds where the most widely accepted currency world over

I agree, all Bretton woods institutions will not agree. That's why I suggested changes by "policies", in a similar fashion as Malaysia. At least stop the bleeding of every year devaluation, and create stability that manufacturers can believe in.

courage89:


I agree, all Bretton woods institutions will not agree. That's why I suggested changes by "policies", in a similar fashion as Malaysia. At least stop the bleeding of every year devaluation, and create stability that manufacturers can believe in.

gej tried such Obama and David Cameron made sure they gave him bad names and brings bubu in to actualise their aim and heaven did not fall

Redoil:
gej tried such Obama and David Cameron made sure they gave him bad names and brings bubu in to actualise their aim and heaven did not fall

GEJ tried that when they rebased our economy to 530 billion dollars. That was a great decision in the right direction. For some myopic people to come around and bastardize the idea.

What would you suggest to get us out of this economic quagmire we found ourselves. Nigeria needs to move forward positively

courage89:


GEJ tried that when they rebased our economy to 530 billion dollars. That was a great decision in the right direction. For some myopic people to come around and bastardize the idea.

What would you suggest to get us out of this economic quagmire we found ourselves. Nigeria needs to move forward positively

do you rebase with ordinary mouth and forged statistics? Gej that had could no longer pay salary at $70/barrel? You revalue by allowing heavy stealing which is not corruption? make una dey deceive am.

courage89:


GEJ tried that when they rebased our economy to 530 billion dollars. That was a great decision in the right direction. For some myopic people to come around and bastardize the idea.

What would you suggest to get us out of this economic quagmire we found ourselves. Nigeria needs to move forward positively

Do you think that by now the base of the Nigerian economy would have expanded more than that $530 to maybe about $2trillion when you consider how much the service sector(tourism, transportation, entertainment, retail, e.t.c) has developed since that time.?
I've always thought that the GDP of this country is undervalued and the economy is undertaxed hence overreliance on oil for annual revenue.
What I mean is if every truck pusher, bus driver, hawker, suya seller, cattle herder e.t.c is taxed, more revenue can be realized than what is generated from crude oil.

Babacele:
do you rebase with ordinary mouth and forged statistics? Gej that had could no longer pay salary at $70/barrel? You revalue by allowing heavy stealing which is not corruption? make una dey deceive am.

The thought process behind the rebasement was what Nigeria needed at the time. The rebasement captured fully industries that were not included in our GDP calculation. Of course, some unscrupulous, unpatriotic people will want us to believe otherwise.

While I agree that GEJ administration's was one of the most corrupt government in the history of Nigeria. That should not stop us from speaking the truth about some of the right economic policies taking under the administration.

hunter21:

Do you think that by now the base of the Nigerian economy would have expanded more than that $530 to maybe about $2trillion when you consider how much the service sector(tourism, transportation, entertainment, retail, e.t.c) has developed since that time.?
I've always thought that the GDP of this country is undervalued and the economy is undertaxed hence overreliance on oil for annual revenue.
What I mean is if every truck pusher, bus driver, hawker, suya seller, cattle herder e.t.c is taxed, more revenue can be realized than what is generated from crude oil.

If some of those policies were allowed to work properly then, our economy would have improved greatly. Although, not up to the $2 trillion. The economy then, attracts mainly foreign portfolios investments (stock market), similar to what we have today and not much of brick and mortar investments Nigerian yearns for. The rebasement promises prospects of brick and mortar investment, based on our high population and expanded per capital income.

Naira devaluation is the single most inhumane thing Nigeria has done to herself. We are following the books that have not been working for us.

IMF does not care, she will keep advising you to devalue. The reality is, the archaic economic principles has not helped NIgeria. I don't think there has been any country that was in recession and experiencing inflation at the same time. It happened here.

The question is how well has NIgeria faired since she has been devaluing her currency from N1 to $1.5 till now (over 400 Naira to a dollar)? Like the OP mentioned, everything becomes difficult when you devalue your currency. The very production you were trying to encourage flies out through the window. consumer and production price index soar over the roof. The country is further impoverished, indebted, and economically destroyed.

courage89:
Devaluation of naira has been the single greatest measure and reason for Nigerian economic regression over the years. It's the reason for high inflation in our economy, high interest rates, de-industrialization, high unemployment, lower purchasing power, high poverty rates and other regressive economic trends Nigerians are contending with today. By changing this single metrics positively, we change fortune of Nigeria and Africa forever.

Every time Nigeria devalues its currency, we go through this cycle of high inflation on goods and services. This necessitate government's need to raise interest rate to fight inflation. High monetary policy rates leads to higher cost of funding for manufacturers and other small business owner (~25-30%). This higher cost of funding couple with other factors of production, raises businesses marginal cost above their selling prices. Hence, the reason why they will initially layoff people to cut cost. If that doesn't work, they'll proceed to stop manufacturing completely and focus on importation. If that doesn't work, then they'll close their factories for good and move completely out of Nigeria. We've all been a living witness to great companies who have cycled through this and eventually closed shops. And companies that are going through this right now. Michelin Tire

In the same light, everytime Nigeria devalues its currency, our foreigned debt, corporations debt balloned up overnight making it difficult for repayment. Let's imagine federal government who borrowed dollar debt at 1% from IMF, World bank when dollar was trading at 155 naira. Now they have to pay for the same loan with naira revenue @ $/400 naira. With a stroke of economic adjustment, Nigerian debt repayment in naira term had just increased by 10-20%. Overnight, our debt servicing ratio per budget just increased from approximately 20% to about 30%. Money meant for building power plants, roads, education, will now be used to pay down debt all because of economic adjustment. Then we have to borrow more money to keep the cycle going.

Over the years, Nigeria has regressed from being the giant of Africa where we make giant strides in education, security, infrastructure, health development, policy development and others. This chaos started when Nigeria accepted and traded its dynamic economic system for aid of Structural adjustment Programs under president Ibrahim Babangida. Implementation of SAP forces Nigeria to accept loans, under the guise of devaluation of naira, elimination of subsidies and other measures. The economic and social repercussions are what we witnessing today; high unemployment rate, high mortality rate, lower quality education, lower currency purchasing power, high corruption, low security and others. Nigeria went from being the best country in Africa in all ramifications to not mentioned at all. That's not only shameful but very embarrassing to all us.

If we're serious about turning the economic and social fortunes of our country around, we need put a lot of emphasis on Naira. Naira revaluation holds the magic wand to rebranding and improving our economy. Let's imagine what would happen our economy if naira miraculously increase in value $/300 naira. What would happen to price of goods and services? What would happen to employment? What would happen to education and other social vices?

I understand revaluation and devaluation decisions are not made in isolation by countries. They follow the dynamism of demand and supply, or depending on the pegging system accepted the individual country. The nature of countries current account surplus and deficits. The nature of countries gross national products, which takes into account foreign investments income. A perfectly formulated policy that continously increases our GNP will help advance and strengthen our currency.

Assuming I'm the Nigerian president today. I'll make one simple, but encompassing goal. That will be to revalue the naira by atleast 25% in the next 8 years. This goal is similar to the Malaysian goals of 2009 under prime minister Najib Rasak, to double their per capital income in the next 8 years called vision 2020. Through different economic and social policies; they reviewied judiciary, security, education, infrastructure and others. They created new economic model that is sustainable, inclusive and high income. They looked at characteristics of the country they are aspiring to be such as; well governed economy, market led, regionally integrated, entrepreneurial, innovative and others. They implemented policies that addresses their economic problems, create social cohesion and at the end achieve their goals of double per capital income within stipulated timeframe. They went from $7200 per capital income to above $15000 per capital income.

I'm convinced by creating single a goal of "revaluing naira in 8 years" will change the current downward spiral of our economic conditions to a positive one. Our current economic system is flawed, outdated and needs total overhaul. Nigeria needs a new economic and social goals that's simple, believable, measurable and timely. While the goal on the surface is just a slogan on it's own, the real work lies in the policy formulation and implementation, backed by key performance indicators. A simple goal of "naira revaluation" or "double of per capital income" is what Nigeria needs yesterday, today and tomorrow to retrace its direction, rebalance regional impediments and to claim its top mandate on the global stage.

We really need young people to take over these country imagine government banning of importation of cars using land borders while it takes 10 month to get your car out from the port in Nigeria

courage89:


The thought process behind the rebasement was what Nigeria needed at the time. The rebasement captured fully industries that were not included in our GDP calculation. Of course, some unscrupulous, unpatriotic people will want us to believe otherwise.

While I agree that GEJ administration's was one of the most corrupt government in the history of Nigeria. That should not stop us from speaking the truth about some of the right economic policies taking under the administration.

The real policy is the people and how you manage the little or big resources at your disposal to the benefit of the people taking short and long term sustainable interests of the land into consideration.
How exactly did the paper rebasing which put us ahead of economies like SA,affect the lives of ordinary Nigerians while there were unprecedented bleeding of the economy by members of the administration? Preach sir ,we are listening to you sermon.

hunter21:

Do you think that by now the base of the Nigerian economy would have expanded more than that $530 to maybe about $2trillion when you consider how much the service sector(tourism, transportation, entertainment, retail, e.t.c) has developed since that time.?
I've always thought that the GDP of this country is undervalued and the economy is undertaxed hence overreliance on oil for annual revenue.
What I mean is if every truck pusher, bus driver, hawker, suya seller, cattle herder e.t.c is taxed, more revenue can be realized than what is generated from crude oil.

The reason for taxation is to provide amenities to the taxpayers. One way or the other the ordinary folks you mentioned about do pay multiples taxes really even when they hardly enjoy any public amenities ; local and state government officials do bombard them with different taxes but do these collections get to the government coffers? That is the billion dollar question. At least Tinubu has shown the whole country that people can comply when you care a little about them.

Babacele:
The real policy is the people and how you manage the little or big resources at your disposal to the benefit of the people taking short and long term sustainable interests of the land into consideration.

I agree, there is this culture of greed, corruption, unpatriotism in the system and how that's affecting these leaders capacity to lead. The same set of leaders that are supposed to be leading us, are only looking out for their best interests. How do you suggest we fix these problems?

Babacele:

How exactly did the paper rebasing which put us ahead of economies like SA,affect the lives of ordinary Nigerians while there were unprecedented bleeding of the economy by members of the administration? Preach sir ,we are listening to you sermon.

The rebasement has already been factored into our economy, hence the economic trends we witnessed then. Let's get one thing cleared, just because our GDP of ~530 billion was greater than SA's does not mean our per capital income was. Nigerians per capital income after rebasement was ~$2900 (depending on population) while South Africa was about ~$6500. Per capital income is a better measure of quality of life.

ehinmowo:

The question is how well has NIgeria faired since she has been devaluing her currency from N1 to $1.5 till now (over 400 Naira to a dollar)? Like the OP mentioned, everything becomes difficult when you devalue your currency. The very production you were trying to encourage flies out through the window. consumer and production price index soar over the roof. The country is further impoverished, indebted, and economically destroyed.

Exactly the question I asked from the proponents of devaluation. What's the short and long term benefits of devaluing naira? Overall economic benefits? What's the impact of devaluation on employment? Impact on inflation and interest rate? Impact on national budget? If devaluation is going to strengthen our export capabilities, how, which industry? Impact on stock market? Impact on dollar debt payments? Impacts on banks balance sheet? They run away because they have no answers.

I'm hoping CBN have these questions modelled in their system, and ready to proffer cushionable measures to protect our economy.

courage89
I can tell you're not an Economist with what you wrote. You want the Naira revalued to N300? It isn't happening. You're like a automechanic in a very busy workshop who doesn't want to get oil on his hands.

Please understand that depreciation of currencies are usually due to fundamentals

For instance, the Naira has fallen recently. Why? Because Nigeria depends on crude oil exports for more than 70% of it forex receipts and the price of oil has collapsed. Dollar inflow has crashed as well.

So, let's say $20b was entering the country yearly was now slashed by half, do you think the currencys value will stay the same? . Obviously not
That is why the Naira is dropping.

Depreciation and devaluation are usually symptoms of a problem and not the problem itself. An example is the collapse in dollars available in the econony due downslide in oil prices.

Whatever exchange rate you choose to have, you must have enough forex to defend it. If the government could not defend it as 365, is it at 300 you'll defend it? You will empty the entire foreign reservee and then still devalue when you have no forex again

What you should focus on is how to diversify exports. Perhaps make oil account for only 20% of exports in 10years time. So, if the price of oil collapses, even if the Naira drops, it won't be by much.

Revaluing the currency will simply make the Naira too strong and discourage nonoil exports.

You can't continously have double digit inflation and expect your currency to maintain its value in the long term. If your inflation rate is higher than your competitors, it is bound to lose value to their currencies.

Let's say the 1 Naira = $1

Lets say inflation in Nigeria is 10% annually and 2% in America. This is the annual inflation in both countries for 5 years.

Let's say a watch cost N100 in Nigeria and $100 in America. Since the exchange rate is $1=N1, that means the watch is the same price in both countries--that is $100 and they both export it at thst same price.

However, inflation in Nigeria is 10% and America 2%, In 5 years time if we factor in inflation without compounding to make calculation easy, the watch should cost N150 in Nigeria and $110 in America.

Since the Dollar to Naira is 1 to 1, that means the watch is now $150 in Nigeria and $110 in America.

The Nigerian price is no longer competitive due to high inflation. Don't forget Nigeria and America exports watches.

For Nigerian watches to stay competitive, only a devaluation will suffice.

Economics isnt a boutique saloon, it's the warfront! Japan, for decades was the 2nd largest economy in the world and yet had a triple digit currency.

South Korea, one of the world's largest exporting countries uses a 4 digit currency! Vietnam, one of tte fastest growing countries in Asia has a 5 digit currency, the Dong. The Italian currency, the Lira before the country adopted the Euro was a 4 digit currency!

grandstar:
courage89
I can tell you're not an Economist with what you wrote. You want the Naira revalued to N300? It isn't happening. You're like a automechanic in a very busy workshop who doesn't want to get oil on his hands.

Please understand that depreciation of currencies are usually due to fundamentals

For instance, the Naira has fallen recently. Why? Because Nigeria depends on crude oil exports for more than 70% of it forex receipts and the price of oil has collapsed. Dollar inflow has crashed as well.

So, let's say $20b was entering the country yearly was now slashed by half, do you think the currencys value will stay the same? . Obviously not
That is why the Naira is dropping.

Depreciation and devaluation are usually symptoms of a problem and not the problem itself. An example is the collapse in dollars available in the econony due downslide in oil prices.

Whatever exchange rate you choose to have, you must have enough forex to defend it. If the government could not defend it as 365, is it at 300 you'll defend it? You will empty the entire foreign reservee and then still devalue when you have no forex again

What you should focus on is how to diversify exports. Perhaps make oil account for only 20% of exports in 10years time. So, if the price of oil collapses, even if the Naira drops, it won't be by much.

Revaluing the currency will simply make the Naira too strong and discourage nonoil exports.

You can't continously have double digit inflation and expect your currency to maintain its value in the long term. If your inflation rate is higher than your competitors, it is bound to lose value to their currencies.

Let's say the 1 Naira = $1

Lets say inflation in Nigeria is 10% annually and 2% in America. This is the annual inflation in both countries for 5 years.

Let's say a watch cost N100 in Nigeria and $100 in America. Since the exchange rate is $1=N1, that means the watch is the same price in both countries--that is $100 and they both export it at thst same price.

However, inflation in Nigeria is 10% and America 2%, In 5 years time if we factor in inflation without compounding to make calculation easy, the watch should cost N150 in Nigeria and $110 in America.

Since the Dollar to Naira is 1 to 1, that means the watch is now $150 in Nigeria and $110 in America.

The Nigerian price is no longer competitive due to high inflation. Don't forget Nigeria and America exports watches.

For Nigerian watches to stay competitive, only a devaluation will suffice.

Economics isnt a boutique saloon, it's the warfront! Japan, for decades was the 2nd largest economy in the world and yet had a triple digit currency.

South Korea, one of the world's largest exporting countries uses a 4 digit currency! Vietnam, one of tte fastest growing countries in Asia has a 5 digit currency, the Dong. The Italian currency, the Lira before the country adopted the Euro was a 4 digit currency!

I'm guessing you did not read the article, hence you would have seen answers to most of your comments.

But I'll indulge you by asking you similar questions I placed up there. I pray you're knowledgeable enough to answer those questions.

courage89:


Exactly the question I asked from the proponents of devaluation. What's the short and long term benefits of devaluing naira? Whats the overall economic benefits? What's the impact of devaluation on employment? Impact on inflation and interest rate? Impact on national budget? If devaluation is going to strengthen our export capabilities, how, which industry? Impact on stock market? Impact on dollar debt payments? Impacts on banks balance sheet?

courage89:


I agree, there is this culture of greed, corruption, unpatriotism in the system and how that's affecting these leaders capacity to lead. The same set of leaders that are supposed to be leading us, are only looking out for their best interests. How do you suggest we fix these problems?



The rebasement has already been factored into our economy, hence the economic trends we witnessed then. Let's get one thing cleared, just because our GDP of ~530 billion was greater than SA's does not mean our per capital income was. Nigerians per capital income after rebasement was ~$2900 (depending on population) while South Africa was about ~$6500. Per capital income is a better measure of quality of life.

Absolutely correct bro. per capital income is the real reflection of how the people are faring socio-economically and a mirror to the leadership of the country if it is performing well or not.

Gone are the days when we go unchallenged as the giant of Africa but giant we are no doubt ,; numero uno economically in Africa that depends on us .

Do we have a stable power supply? That alone is the soul of so many industries that engage in productions of goods . Millions of SMEs depend on cheap or affordable power supply to survive too.

Are we food secured? We can only be secured if we are food sufficient or produce enough ? Not political Agriculture but deliberate empowerment of a generation in all the major fields of Agribusiness with credit supports with a moratorium of between 1 to 3 years and payback spread through a decade. This is where we need local governments to have autonomy so that easily it can use its comparative advantage in any agric sector to generate income ,jobs for its citizens and revenue to the FG. For example a LG can decide to have a cassava village different cassava farmers clusters are supported and where the cassava value chain is adequately captured; the LG can sign public, or with local private co or international agreements to supply cassava products. We have petrol like water but how much do farmers get fertilizers ,one of the products of petrol?

Now that the dollar is high compared to naira is the best time to export . just imagine if a farmer can have $500 profit for 10months in a year for exporting his agric products let us say to Chinese markets . About 200k monthly .

We need a national database to be able to execute certain economic policies like insurance,national social security, mass housing through mortgage system etc
Transportation system nko? A lot of infrastructural reforms are needed bro.

If not that Innoson is stubborn, lack of steel is enough to frustrate his dream, but we have Ajaokuta in comatose. That takes me to mining: How many mining hubs, beneficiation plants ,mining processing zones etc do we have? Illegal mining that is taking place in Nigeria is far more than oil bunkering just because our government is far from the mining realities.

How many states are surviving without oil?,


Bros we need plenty restructurings.

Bros we need to vex and demand

courage89:


I'm guessing you did not read the article, hence you would have seen answers to most of your comments.

But I'll indulge you by asking you similar questions I placed up there. I pray you're knowledgeable enough to answer those questions.

Exactly the question I asked from the proponents of devaluation. What's the short and long term benefits of devaluing naira? Whats the overall economic benefits? What's the impact of devaluation on employment? Impact on inflation and interest rate? Impact on national budget? If devaluation is going to strengthen our export capabilities, how, which industry? Impact on stock market? Impact on dollar debt payments? Impacts on banks balance sheet?

I told you that devaluations are symptoms of a problem and not the problem itself. You don't seem to understand.

Due to that, the best way of answering your question is by asking you a question

Imagine children are playing football and one mistakenly kicks the other with his soccer boots and damages the knee cap.

Now, there are these guys who do not believe that kicking someone on the kneecap hard with a soccer boot will cause any pain and they ask you, "You guys that say that if one is hit hard with a soccer boot, it will hurt real bad, what will you do about this boy? What has been the benefit of saying that it will cause pain? How has saying it will cause pain benefited the larger society? Who are the prime beneficiaries of your pain theory?

Will you think these questions are rational? How will you even go about answering them?

If your forex income declines, your currency will depreciate!
If forex is fleeing your country, your currency will depreciate!
If the value of your most important export declines, you currency will depreciate!
If you exit from your largest trading partners like Britain when it left the EU, your currency will depreciate!
If you run a loose monetary policy, your currency will depreciate!
If you run a loose fiscal policy, your currency will depreciate!
If you print money by the trailer loads in order to pay workers, your currency will crash!

The market and not the economists have the final word
The market has the final word
Ther market has the final word
The market has the final word
Period!

These are fundamentals, deal with it! Anyone who tells you different is an economic illiterate, a first-class one. These are the cold-blooded facts. That is why the Naira will continue depreciating.

The collapse in the oil price led to a depreciation of the Naira on the black market. This was market forces at work. The CBN governor was powerless to stop it. Only now, probably due to the $3.4b IMF bailout has the government now has the CBN been able to start its weekly forex sales again and the Naira has started appreciating again. As you can see, as more forex is entering the market, the currency has started to appreciate. It is all market forces.

What you fail to understand is that even the best economists in the world can't stop a devaluation that is bound to happen. It can even be an appreciation of the currency that they are fighting against

The Bank of England could not stop the Pound Sterling from devaluing in 1992. Britain then was the fourth-largest economy in the world and was powerless. The Swiss Central Bank spent $30b in an attempt to prevent the Swiss Franc from appreciating too much as it would hurt exports. It failed and threw in the towel.

If your currency is supposed to depreciate and you resist it, the consequences are far worse than a market fueled devaluation can ever cause.