grandstar:


Oga
What I gave you is an educated response and not one sprung from the air.

Dollar is usually the preferred currency when it comes to the use of another country's currency in lieu of ones due to the fact that it is the world's reserve currency so it is easily convertible.

Rather than spend Naira in Switzerland, why not use Dollar or even Euros as they are easily convertible in Switzerland. There is no need to use Euros or Dollars in Switzerland as the Swiss have high confidence in the currency. Inflation is barely 3%.

However, some payments are still carried out in dollars. For instance, here are properties for sale priced in dollars.

https://www.properstar.com/switzerland/buy

Many countries that suffer from high inflation tend to have some degree of dollarisation whether it is Argentina, Venezuela or Turkey.This is pure fact.

The only thing people pay for in dollars rarely go beyond rent or property in Nigeria. In some countries, you have dollar shops. I doubt there are any dollar shops in Nigeria

If the central bank wants to discourage payment in dollars, it should defend the value of the Naira.

Economic principles is about interest Nigeria and Nigerians must speak on the interest of Nigeria. You people accept neocolonialism easy, and this is the crux of our problem, Nigeria do not print dollars, anytime you demand dollars, you are increasing it's value. Free yourself from slave education, unless you are one of those speculating in dollars and praying it goes up perpetually...this is not time for sarcasm or half baked theories. Earning dollars from abroad is different from spending dollars in Nigeria, you can earn dollars abroad, this boost our direct foreign exchange earnings...since it's being earned, not bought, there is no deficit on our currency or economy.

Nigeria have so many enemies within, some are doing it out of anger and bitterness, the others are just ignorants who follow sheepishly.

Johnjustice:

Economic principles is about interest Nigeria and Nigerians must speak on the interest of Nigeria. You people accept neocolonialism easy, and this is the crux of our problem, Nigeria do not print dollars, anytime you demand dollars, you are increasing it's value. Free yourself from slave education, unless you are one of those speculating in dollars and praying it goes up perpetually...this is not time for sarcasm or half baked theories. Earning dollars from abroad is different from spending dollars in Nigeria, you can earn dollars abroad, this boost our direct foreign exchange earnings...since it's being earned, not bought, there is no deficit on our currency or economy.

Nigeria have so many enemies within, some are doing it out of anger and bitterness, the others are just ignorants who follow sheepishly.

You're here spewing sentiments and not economics.

What I wrote is backed by sound economics. If the government wants people to have confidence in the Naira, it must back it up with action.

When Russia invaded Ukraine the Russian rouble began depreciating fast, their central bank immediately increased interest rates by about 10% overnight, and the currency began to appreciate. That is sound economics. It used tight monetary policy to prevent a further fall of rouble.

You are writing as if dollarization of the economy is a thing of majority. Abi na poor woman for market dey use dollar? The politicians and elite like Dangote stealing and taking advantage of the economy are the ones using dollar. The federal government will still make use of the dollar for oil trading, small scale businesses will do importation, are they going to import with dollar?? Using dollar is not the issue, creating a favorable economy and eliminating corruption is the real issue… You all focus on only dollar but the same thing is happening with other foreign currencies like Naira-euro, naira-pounds even with other local currencies like Ghana cedes… are you going to say because people are using euro, pounds and Ghana cedes too?? People have been making use of dollar, stop the trash talk.

Your senate spent more than 6Billion in buying a foreign Toyota cars for its members while we have a vehicle manufacturing company in Nigeria. Be realistic, buying dollar is not the reason why dollar is at that rate… corruption and poor economy is the reason.

emkz:


The argument I am making, which some people (not you) still do not understand and bandy insults like little children when they have no reasonable counter-argument, is that we should stop using dollars in the Nigerian economy as it is not a legal tender within Nigeria. The same people who destroyed the naira are the ones switching to dollars and those are the people we must stop. Remove easy access to dollars from them let us see what they'd do.

The controls I proposed are a measure to phase out dollars from the hands of these people. Who exactly handles the dollars? Is it not politicians and government officials? The poor man on the street has probably never seen dollar bills in his life. Someone argued that as soon as the governors receive allocations, they convert a substantial sum to dollars which drives up the exchange rate. How does government sell dollars for people to hold in their hands? Please how does this make sense? If you want to buy forex in an airport, you must present a boarding pass and they'd issue you a receipt because the funds they give you must be traceable. They also have a limit of how much they can sell to you. If you bring a large sum, they wouldn't dare do it and are compelled to alert the police. But in Nigeria, people buy dollars, euros and pounds as if they are buying common commodities like toilet paper.

It must stop!

A lot of things are just wrong. The dollar is not a legal tender in Nigeria. Those who destroyed the naira should use it like the rest of us. They must not touch our dollar reserves which should be for more important things like import of machinery to run factories for example.

To increase dollar liquidity for government, I outlined various strategies in an earlier post. Why does the government tolerate illegal mining for example? Two days ago, they seized 12 trucks loaded with lithium and arrested 41 persons who claimed foreigners and some wealthy Nigerians are involved in the practice. Then the NNPC has mortgaged future earnings from crude oil for senseless debts which Buhari took.

Who runs a country like that?

We must plug the leakages, widen the areas to earn forex, export more commodities, tackle insecurity and kill the incentive for dollarization. If a politician is sent to jail for having too much unexplained dollars, the rest will sit up. In the UK, a former governor of Bayelsa State was arrested because a huge sum of money was found on him. He forfeited the money and still lost his properties. A former commissioner of arts and culture in Edo State was also arrested for allegedly laundering money through Italy. He was jailed.

If we want a sane country, the government must take total control of the forex in the hands of people.

grandstar:


You're here spewing sentiments and not economics.

What I wrote is backed by sound economics. If the government wants people to have confidence in the Naira, it must back it up with action.

When Russia invaded Ukraine the Russian rouble began depreciating fast, their central bank immediately increased interest rates by about 10% overnight, and the currency began to appreciate. That is sound economics. It used tight monetary policy to prevent a further fall of rouble.

You, sound economic? I laugh.

So it is interest rate they should be adjusting. The lending in Nigeria doesn't cover SME to any reasonable extent. It is focused on govt workers whose salary can easily be monitored and taken to recover loans. You have buried your head in textbook theories for too long.

Nosa111:
You are writing as if dollarization of the economy is a thing of majority. Abi na poor woman for market dey use dollar? The politicians and elite like Dangote stealing and taking advantage of the economy are the ones using dollar. The federal government will still make use of the dollar for oil trading, small scale businesses will do importation, are they going to import with dollar?? Using dollar is not the issue, creating a favorable economy and eliminating corruption is the real issue… You all focus on only dollar but the same thing is happening with other foreign currencies like Naira-euro, naira-pounds even with other local currencies like Ghana cedes… are you going to say because people are using euro, pounds and Ghana cedes too?? People have been making use of dollar, stop the trash talk.

Your senate spent more than 6Billion in buying a foreign Toyota cars for its members while we have a vehicle manufacturing company in Nigeria. Be realistic, buying dollar is not the reason why dollar is at that rate… corruption and poor economy is the reason.

You still do not get it? Have you heard of the so-called 80-20 rule? 80% of your income come from 20% of your customers. In Nigeria's case, 99% of the waste including dollarization is accounted for by <1% of the population.

These are our targets. These are the people we must stop so that we can cater for the >99% of the population.

In actuality, you answered your own question by hitting the nail on the head. It is time we clip the elites, and if we all stand up to them, they'd be afraid.

This is why I support Yemi Cardoso's reforms.

@fxeperts mentally damaged animals like you should keep quiet when reasonable people are making comments on this noble platform. Mechionu

fxexperts:
You guys do not know anything, acting like witches. whop told you the price of dollar or value of dollar has gone up. Ode it is your useless naira that has come down, not the dollar going up. dollar has maintained a stable value for years now. trying working on bringing your currency value up and stop thinking of bringing dollar down. when Tinubu advised your useless PMB then to print excess naira to pay salary didn't you know that the Niara will lose value.

Puting which pressure on the Niara. were those transactions not going on before now. When Obaseki shouted at the top of his voice the last time that Buhari was printing Naira recklessly did you not hear. what did you all Niara did at that time, and you all thought the Naira will not lose value abi. now you are all dealing with the consequence, I am tired for you Nigerians always looking for the easiest way out of every problem and that is why you all are keeping landing into more calamities for yourselves.

And when your president keeps printing naira like paper you believe your currency will have any value abi. You guys are a huge joker. you do not want to go into any form of production, and you want your currency to have value. you all are just one and the same as your leaders.

nairavsdollars:
@fxeperts mentally damaged animals like you should keep quiet when reasonable people are making comments on this noble platform. Mechionu

Now i know that ode will always remain olodo forever. Am ashamed to share same country with extreme dullards like you lots. one thing that is common with you lots is that you all fail to learn. i give up on your fish brain. olodo.

I am telling you fact… Holding dollar is not the major reason Naira is going down, maybe a little reason. People have been holding dollar since we were born… the only way to counter the dollar is to improve the economy, fight corruption and improve export and productivity. Every other policies is just trying to do magic.

emkz:


You still do not get it? Have you heard of the so-called 80-20 rule? 80% of your income come from 20% of your customers. In Nigeria's case, 99% of the waste including dollarization is accounted for by <1% of the population.

These are our targets. These are the people we must stop so that we can cater for the >99% of the population.

In actuality, you answered your own question by hitting the nail on the head. It is time we clip the elites, and if we all stand up to them, they'd be afraid.

This is why I support Yemi Cardoso's reforms.

In a situation trying to find ground for the naira, the custom pegged the dollar from 890/$ to $/1350. Now it’s 1520/$ today. That is almost 70% increase win just 2 weeks. Probably you don’t know what that means.

emkz:


You still do not get it? Have you heard of the so-called 80-20 rule? 80% of your income come from 20% of your customers. In Nigeria's case, 99% of the waste including dollarization is accounted for by <1% of the population.

These are our targets. These are the people we must stop so that we can cater for the >99% of the population.

In actuality, you answered your own question by hitting the nail on the head. It is time we clip the elites, and if we all stand up to them, they'd be afraid.

This is why I support Yemi Cardoso's reforms.