For the past, One month now the Nigerian Naira has bn gainin back its value. Not because the Nigerian government has bn puttng immense effort to improve the economy but because of the falln of the value of dollar in xchange wit other currencies.

What can Nigerian's do to support the government,   I learnt that it is  still flunctuating between 116 - 119.

So is it really gaining value? Or is the American Dollar depreciating in relation to the Naira?
To the Euro, The Pund, The Yen, The Naira is still worth what it was when the USD was trading for 140 =N=

The naira is not gaining any value; it's the dollar that is losing value.
Try comparing the naira to the pound, and you'll understand. There's nothing to celebrate.

Yes, seun is right. The Naira is not gaining value at all, Instead its the Dollar losing value due to various fundamental analysis. You can tell that by the price of a barrel of oil skyrocketing to $98/barrel.

WOW!

Dollar at N115 what a great fall! - Whats wrong with the American economy? Well, may the Nigerian Naira regain its value and our cost of living will be lowered.

where is d prove that this has nuttin to do with any improvement in d economy ,or has d ever negative perception of anything nigerian set in again ?

rufaai:
Dollar at N115 what a great fall! - Whats wrong with the American economy?

In a nutshell, President GW Bush and his expensive war.

The truth also is our economy is picking up, lets not forget that,

Good 1 from seun an gud question, mayb forex trade is finally hittin on the dollar ( this is a long stone throw guez). Howeva, removal of zeros or not is not the Nigerian issue. Ths counrtries like Ghana that practiced this experiment had more inflation than b4 the experiment. Nigerian headache is power!!!! u cant bring such an experiment into an economy whr nada works, it dont min more jobs etc. No power, no infrastructure, no maintainance culture, no value system, how on earth does the zero reduction resolv all these. Crude is now being sold fro $100. the Nigerian govt budgeted $38 wich min a suplus of $42. Assuming the subsidised Kero is being paid for etc. at $5. wot on earth happens to the balance?
Do u witness its change in the economy? Naa becos ur pa and my pa and our mothers are busy making us look better by doin 1 or two "deals"!!

Like Chief Akinyele said " We are all corrupt, the person who stole, the person who knew of how and wen it was stolen and dint tell on the stealer, and the person(S) wu benefit from the steal"

The solution, is put some stuff in the economy, power, infrastructure, erase useless and obsolete curiculum from our universities and other educational institutions, corect our value system ( all these among other tins probably) and watch the economy grow!!

Most of us leave Nigeria not cos we ohter countries are beta off but because the standard of livin here is poor!!!

u cant compare naira to dollar

emelumgini:

u can't compare naira to dollar

nobody is comparing naira to dollar here or can you compare naija to america?the fact remains that the dollar is depreciating and our economy picking up too.

Even when the government puts in place efforts to make the economy better, Nigerians will still not be grateful - they'll say it wont suceed.

Fools get what they wish for themselves.

well i think the naira is gaining back the values we must commend the cbn governor and the federal goverment

Yemiscoto:

well i think the naira is gaining back the values we must commend the cbn governor and the federal goverment

My friend, how did you come to that conclusion? Naira is not gaining value it's the American Dollars that is losing value. Just try and compare Naira to the Euro or pounds then you'll know the reality of things.

Seun:

In a nutshell, President GW Bush and his expensive war.

The dollar's fall is due to huge current account deficits which has 2 causes-trade deficits and budget deficits.Bush is responsible for the latter and not the former.The trade deficit for August(latest 12 months) was $810.7bn.Budget deficits was in the region of $150bn.Obviously,in a $13.9 trillion economy,its easy to see why an Iraq war,costing about $100 bn per annum,can't be cited as a reason for dollar depreciation.

In recent months,the dollar's depreciation has been propelled by a slowdown in the US economy.This has prompted interest rate cuts by the Federal Reserve which prompts further depreciation.

At the moment,the dollar's fall is good for the economy since it makes US exports cheaper and imports more expensive.If you look back 10 years ago,the dollar's strenght was the cause of concern for US policy officials.The current account deficits accelerated,prompted by cheap imports, in the 90s until it became unbearable recently.So,falling dollar value is good for the US economy provided the fall is not too steep as to precipitate inflation in the US.

For Nigeria,the key concern is diversifying our foreign exchange reserves from dollar denominated reserves into Euros and other viable currencies.Leaving our reserves in dollars means that it is losing value with time.

@I-man

Most of the cheap imports come from China, and as long as the Chinese refuse to let market forces control the value of
their currency, I do not see the trade deficit diminishing by any reasonable margin any time soon

It is the European industries that the current fall in the value of the dollar hurts the most.

@Doyin

You are right.China's fixed currency rates has been partly responsible for this problem,for where market forces are allowed free reign,a strengthening of China's currency would have helped matters.Many other "Asian Tigers" ,short of fixing currency rates,also manipulate their currency to keep their value low.

In the 80s,when there was a similar problem,there was an accord entered into between the US and countries like Japan which co-ordinated decisions that helped manage the dollar's fall.

Today,there will be pressure for the ECB to cut interest rates if the dollar keeps falling at Europe's expense.In the last trade figures given,US trade deficits with other major trading regions fell except China.While the deficit with the EU fell 37%,that with China rose 5.5%-http://afp.google.com/article/ALeqM5jokcLCqwnflI9lZyie2Hf-m5lqVA

crazyT:



My friend, how did you come to that conclusion? Naira is not gaining value it's the American Dollars that is losing value. Just try and compare Naira to the Euro or pounds then you'll know the reality of things.

The value lost is equal to the value gained

I read on Thisday that Nigeria is planning on pegging the Naira to the dollar at 117 by 2008.

Other economies have pegged their currencies with the dollar in the past though I've not really studied enough to know whether it gave them a leverage in the long run.

Is this a good time to peg the Naira to the dollar?

i concur!! Naira Will always remain Naira No Value! Dollars is deppreciating even here 1$ = 59LD i guess its the season!

this is for the administrator
Seun please, longest time but i cant get into my "new posts"
i know it has been long i visited the site but i'm back now
so please if u can reactivate my account and let me into
my replies please, thanks in advance.

Whether the Naira is gaining or the Dollar is losing, all na the same. My People say: fun omo loyon, foyon lomo. Ki omo sa ti yo ni

Don't worry fellas, when Hillary Clinton gets into office it will be back to the good 'ol days when Clinton was in power !

According to an article I stumbled upon recently, Hillary Clinton's views on the war are similar to that of GW Bush.

@seun

Look here bro' most of these politician all have the same views on Iraq but they just won't openly admit it. We are stuck in Iraq because America needs a base in the middle East just like they needed a base in Japan after the world war and America has been in Japan and Korea now for over 50 years ! Middle East is very important to America not only for oil but also to curb the presumed excesses of Iran. Don't believe the hype, most of these politicians are all the same on most views except fo welfare and health policies. The only reason i want Hillary to win is because Bill Clinton can not run anymore and he has a lot to offer being behind Hillary.


Ron Paul is the only radical candidate running and it will be disastrous if he wins.

Naira is not gaining anything. I still changed pounds to naira few weeks ago(last week in sept) at 1 pound to 260 naira. If I,m right, last year it was 1 - 240.

Let us pray it fall to 1 to 1 so that the lost Nigs. abroad will come back to their father's Land to rebuild this country.

@ Sweet T - you mean IF Hilary comes into power.

I think in general, this is good news. Even though the dollar is losing its value - everything works according to US. dollars. The most common currency in the world is US. dollars so i think it is pretty cool. Apart from that, some canadians are ecstatic now because their dollar is stronger than ours. George Bush admin is screwing the economy in their last days. Well come Saturday - elections are going underway, we'll know if it's either Clinton, Obama or some other person.

the naira appreciated against the dollar because of the US economy.but it doesnt mean the naira value has increased in relation to other currencies.its simple unless u want to ignore the dollar entirely which is impossible since the general exchange denomination is the dollar.so the naira has not gained anything.