₦airaland Forum

HarlequinLekex:
Will Naira be valued again?Will a man earning 100k per month be considered rich ,that is, earning $100k per month?Will things become cheaper?Will a present millonaire in naira be considered that rich?N5,000 will be okay for a flight trip to usa from lagos..Whatwill be the effect on nigeria local markets and im/export trades.
Having answered this questions, remember any currency will lose its value when it is too scarce to obtain or own and also when it is too available.

baralatie:
If 1$ is equals to #1
It means that
You have a very high economic growth rate for the past 10 years of 7% to 10%
Your dollars reserves in going into trillion
You are a serious major exporter of goods and services over being an importer
Now how does the above things answer your questions

panafrican:
Those equivalences had tricky pitfalls for instance , they was a time $ 1 = 1 Gourde ( Currency in Haiti ). Still the people of Haiti were poor.
When your economy is not strong and your currency is overvalued , there is high probability of seeing investors running away from you.
Correct advice

author=panafrican post=114851422]

Those equivalences had tricky pitfalls for instance , they was a time $ 1 = 1 Gourde ( Currency in Haiti ). Still the people of Haiti were poor.
When your economy is not strong and your currency is overvalued , there is high probability of seeing investors running away from you.

Simeonjoe1:
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Op its better if you currency is weaker than dollar many country even manipulates their currency to make it weaker eg China, Japan even south Korea purposely wants their currency to be weaker. Nigeria with little products capabilities and high need for foreign investors will be at disadvantage if $1 equals naira as it'll discourage investors as they'll have to spend more capitals also it reduces your competition on the market as an exporting entity (eg people will readily buy Chinese goods than US why is because it's way cheaper) so laser you currency the more partners you'll have for trading as they'll naturally tilt towards the cheaper alternative.

Well the main impedance might be at importing which might cost more but a strong production country like China hardly imports foreign goods hence you'll have your currency in local distribution while still competing in the international market with a favorable price as against the those selling in Euros or dollars.

In essence a $1 to 1# will be a disadvantage to our economy as it'll will make us fully import depending due to cheaper price. It'll severally affect our international trade, it'll reduce production and foreign investment in Nigeria. In the long run 9ja economy go collapse with mad hyperinflation