How many African countries have ever recovered from depreciation of their currencies?

When it comes to African currencies, it is how low it will go. It has been to the advantage of western countries to buy our resources at low and lower prices. China and other Asian countries have joined.

Compare that to when the Chinese depreciate their currency to corner the market share for their manufacturing sector. The world go to China, even for covid 19 masks.

Making the same argument for African countries without manufacturing products in demand by outside world is so myopic and selfish of Western trained economists working for their masters and pockets.

When Mugabe got tired of promises and took back their land, it was not an economic decision to turn Zimbabwe currency to toilet paper. Zimbabwe was still rich in natural resources but they cut off demand for all Zimbabwe products depriving them of foreign income.

This is how Structural Adjustment was introduced and our Oxford trained economists and importers of pins and junk bought the wish of their masters. What artificial product is in demand from Africa apart from buying our land and Natural Resources cheap?

Strong African currencies can only come from inter African trade not from foreign trade and tastes after a century.

Can anyone today believe we import garbage sent into high sea looking for buyers, used infected clothes, plastic rice etc.

Africans, our Salvation is within us here in Africa, not in foreign countries. Even the common man that trade on each of these items fight to protect them.

When the rates diverged they called it politics from uncle Meffy, it has converged now and must be an opposite political move.

googi:
How many African countries have ever recovered from depreciation of their currencies?

When it comes to African currencies, it is how low it will go. It has been to the advantage of western countries to buy our resources at low and lower prices. China and other Asian countries have joined.

Compare that to when the Chinese depreciate their currency to corner the market share for their manufacturing sector. The world go to China, even for covid 19 masks.

Making the same argument for African countries without manufacturing products in demand by outside world is so myopic and selfish of Western trained economists working for their masters and pockets.

When Mugabe got tired of promises and took back their land, it was not an economic decision to turn Zimbabwe currency to toilet paper. Zimbabwe was still rich in natural resources but they cut off demand for all Zimbabwe products depriving them of foreign income.

This is how Structural Adjustment was introduced and our Oxford trained economists and importers of pins and junk bought the wish of their masters. What artificial product is in demand from Africa apart from buying our land and Natural Resources cheap?

Strong African currencies can only come from inter African trade not from foreign trade and tastes after a century.

Can anyone today believe we import garbage sent into high sea looking for buyers, used infected clothes, plastic rice etc.

Africans, our Salvation is within us here in Africa, not in foreign countries. Even the common man that trade on each of these items fight to protect them.

Nigeria is credit worthy of a huge IMF & Paris Club loan.

Float the Naira, it has been done, remove subsidy on petrol, it has been done.

Puerile and nonsensical argument as usual.
To help you to reach a logical conclusion ask yourself this question:how many genuine businessmen where getting dollar at the official rate?
If you had connections you could get dollar at official rate then go and sell same to abokis and make a hefty profit

Leave it as political. We want it that way.

The policy of floating has been going on in African countries for over 70 years when currencies were backed by gold. Is it not ironic that even Gold Coast currency can be weaker than those of countries where the gold is deposited.

Please, it is not about current policy of the Government, it has been implemented years before this Government.

Ko le wok!

sapele914:
Nigeria is credit worthy of a huge IMF & Paris Club loan.

Float the Naira, it has been done, remove subsidy on petrol, it has been done.

It was necessary but certainly a risky move.

If the government is unable to meet the dollar demand at the new official rate, the black market rate will spike towards N900.

So the key is government 's ability to meet demand.

googi:
How many African countries have ever recovered from depreciation of their currencies?

When it comes to African currencies, it is how low it will go. It has been to the advantage of western countries to buy our resources at low and lower prices. China and other Asian countries have joined.

Compare that to when the Chinese depreciate their currency to corner the market share for their manufacturing sector. The world go to China, even for covid 19 masks.

Making the same argument for African countries without manufacturing products in demand by outside world is so myopic and selfish of Western trained economists working for their masters and pockets.

When Mugabe got tired of promises and took back their land, it was not an economic decision to turn Zimbabwe currency to toilet paper. Zimbabwe was still rich in natural resources but they cut off demand for all Zimbabwe products depriving them of foreign income.

This is how Structural Adjustment was introduced and our Oxford trained economists and importers of pins and junk bought the wish of their masters. What artificial product is in demand from Africa apart from buying our land and Natural Resources cheap?

Strong African currencies can only come from inter African trade not from foreign trade and tastes after a century.

Can anyone today believe we import garbage sent into high sea looking for buyers, used infected clothes, plastic rice etc.

Africans, our Salvation is within us here in Africa, not in foreign countries. Even the common man that trade on each of these items fight to protect them.

Dem no go hear.

DeLaRue:
It was necessary but certainly a risky move.

If the government is unable to meet the dollar demand at the new official rate, the black market rate will spike towards N900.

So the key is government 's ability to meet demand.

It's a big failure.

Prepare for the worse.

seborrhic:
Puerile and nonsensical argument as usual.
To help you to reach a logical conclusion ask yourself this question:how many genuine businessmen where getting dollar at the official rate?
If you had connections you could get dollar at official rate then go and sell same to abokis and make a hefty profit

Supporting bad government policies..

Dey play..

Make we wait till December.

CodeTemplar:
When the rates diverged they called it politics from uncle Meffy, it has converged now and must be an opposite political move.

You dey mind idiots ad nincompoops ni?

googi:
How many African countries have ever recovered from depreciation of their currencies?

When it comes to African currencies, it is how low it will go. It has been to the advantage of western countries to buy our resources at low and lower prices. China and other Asian countries have joined.

Compare that to when the Chinese depreciate their currency to corner the market share for their manufacturing sector. The world go to China, even for covid 19 masks.

Making the same argument for African countries without manufacturing products in demand by outside world is so myopic and selfish of Western trained economists working for their masters and pockets.

When Mugabe got tired of promises and took back their land, it was not an economic decision to turn Zimbabwe currency to toilet paper. Zimbabwe was still rich in natural resources but they cut off demand for all Zimbabwe products depriving them of foreign income.

This is how Structural Adjustment was introduced and our Oxford trained economists and importers of pins and junk bought the wish of their masters. What artificial product is in demand from Africa apart from buying our land and Natural Resources cheap?

Strong African currencies can only come from inter African trade not from foreign trade and tastes after a century.

Can anyone today believe we import garbage sent into high sea looking for buyers, used infected clothes, plastic rice etc.

Africans, our Salvation is within us here in Africa, not in foreign countries. Even the common man that trade on each of these items fight to protect them.

I agree with you, I’m not too okay with this policy to float the naira

Oya repeat after me

So pe o ti lo....

We don hear you... Obidafts as usual, if it was done by Obi you would have hailed the policy!

Floating Naira is not a beneficial policy . The demand for $ in most cases is because people don't believe in the Naira. Most businesses make money in Naira convert to dollars and store at best in domiciliary accounts in Nigerian banks. Other keep it in France , UK even india

Oponu,

Everything has to be along ethnic lines.

Mention one African country that has ever recovered since Structural Adjustment, you no gree.

Epistasis:
We don hear you... Obidafts as usual, if it was done by Obi you would have hailed the policy!

A low value naira is a trigger you need for export. Floating currency without building the export infrastructure and activating export manufacturing is a panacea for currency disaster.

So I expect the President to set up Construction and Enterprise Banks for rapid credit provision for manufacturing and export processing.

This is why we need the eNaira......some numbers in money database.

googi:

Strong African currencies can only come from inter African trade not from foreign trade and tastes after a century.

Can anyone today believe we import garbage sent into high sea looking for buyers, used infected clothes, plastic rice etc.

Africans, our Salvation is within us here in Africa, not in foreign countries. Even the common man that trade on each of these items fight to protect them.

From your topic, I had assumed I will be reading scholarly article on economics of floating exchange.
But I was disappointed, you are appear to be one of those who believes that pan-Africanism and emotional
appeal is an economic theory.
Please tell, what is the benefit of selling crude oil to South Africa over selling it to China?
And if you are SA business man dealing in arms, will you prefer to accept the Naira over Dollar or Yuan
for your sales to Nigeria for example?

Despite the rhetorics from BRICS, Russia refuse to accept Indian Rupees as payment for the oil it sells to India.
It prefers Dollars or Euros.
This is in spite of the large size and stability of India's economy. This is to show you that economics is a cold heart
discipline, nations do what they can to help themselves.

Before you reply, go and do your research and come up with a list of countries that has escaped poverty by
just trading with its neighbor.

The productive capacity of a country should decide its exchange rate.
Exchange rate should not be a bragging right.

@ OP, rest!! The true value of the naira based on our fundamentals is not 460, it is closer to 750..
Govt should not be losing naira revenue to people who simply have influence to get $ at 460 and sell at 750. Imagine govt losing N300/$!!
What we should be talking about now is how govt will address the fundamentals that can bring d true fx rate lower.
Btw d rate can't go up to N900 with current fundamentals except the fundamentals worsen.. it would have already gone up in the black market b4 now.

Epistasis:
We don hear you... Obidafts as usual, if it was done by Obi you would have hailed the policy!

You are not sensible at all honestly

If you don't have any thing reasonable to contribute, why not read and learn

Must every thing be reduced to Peter Obi vs Tinubu brick bats

We are talking about an economic policy that may make or mar our legal tender, you are talking trash

Please what do you advice we learners, buy dollar now?

DeLaRue:
It was necessary but certainly a risky move.

If the government is unable to meet the dollar demand at the new official rate, the black market rate will spike towards N900.

So the key is government 's ability to meet demand.

you guys simply do not understand what "floating currency" means.. It's simply means there is no more government "official" rates anymore. Everything is now market rate... Black market, white market any color market.. Banks will be selling dollars same rates it's been sold by aboki.. You can walk into a bank now and sell your dollars same rates with what aboki is buying from you.. No need for CBN to flush the market to BDCs or Banks at Government official rates again, CBN will now be selling at market rates to banks simply and straight forward.

ivolt:

From your topic, I had assumed I will be reading scholarly article on economics of floating exchange.
But I was disappointed, you are appear to be one of those who believes that pan-Africanism and emotional
appeal is an economic theory.
Please tell, what is the benefit of selling crude oil to South Africa over selling it to China?
And if you are SA business man dealing in arms, will you prefer to accept the Naira over Dollar or Yuan
for your sales to Nigeria for example?

Despite the rhetorics from BRICS, Russia refuse to accept Indian Rupees as payment for the oil it sells to India.
It prefers Dollars or Euros.
This is despite the large size and stability of India's economy.

Before you reply, go and do your research and come up with a list of countries that has escaped poverty by
just trading with its neighbor.

The productive capacity of a country should decide it's exchange rate.
Exchange rate should not be a bragging right.

please don't waste your time with this emotional online "economics".

What a foolish move by APC again. Dollar to 1k very soon

Ofunaofu:


You are not sensible at all honestly

If you don't have any thing reasonable to contribute, why not read and learn

Must every thing be reduced to Peter Obi vs Tinubu brick bats

We are talking about an economic policy that may make or mar our legal tender, you are talking trash

Dindinrin ni baba e...

googi:
Oponu,

Everything has to be along ethnic lines.

Mention one African country that has ever recovered since Structural Adjustment, you no gree.

Oponu ni iya e...

Epistasis:

Dindinrin ni baba e...

You stink honestly

Ofunaofu:


You stink honestly

Oponu ni baba eee

If you are Yoruba, nobody trained you that way, over honest opinions.

Epistasis:


Oponu ni baba eee