₦airaland Forum

Fourwinds:
d president is really transforming d agenda. Okojo-Iweala is really managing d economy.!!! no one has been able to tell me y d naira didn't appreciate when d major source of earning to d country rose high to $120/barrel but immediately we had d reverse., d naira starting crubling.... I can see y cluelessness is a common word now

The truth is that the naira ought to have been falling " meaning rising to a $" all the while sanusi was president of CBN. He was using the naira to stabilize the dollar rate by trading more money, we had more money then anyway, but at the moment, the excess money is no longer there to stabilize the naira.

For example lets say you sell a $ for 150 naira, your economy produce things and distribute worldwide, aĺl i do is buy, the $ becomes stronger because they can regulate cost of goods, all i do is buy therefore whatever rate it comes i buy. If the international value rises from 1$ - 170 naira, govt pays the 20 naira excess per $ to stabilize the currency. The naira ought to have been devalued long ago so we know the true state of the economy.

My little understanding though, the oil is not enough to strengthen our currency

kart042000:
The truth is that the naira ought to have been falling " meaning rising to a $" all the while sanusi was president of CBN. He was using the naira to stabilize the dollar rate by trading more money, we had more money then anyway, but at the moment, the excess money is no longer there to stabilize the naira.

For example lets say you sell a $ for 150 naira, your economy produce things and distribute worldwide, aĺl i do is buy, the $ becomes stronger because they can regulate cost of goods, all i do is buy therefore whatever rate it comes i buy. If the international value rises from 1$ - 170 naira, govt pays the 20 naira excess per $ to stabilize the currency. The naira ought to have been devalued long ago so we know the true state of the economy.

My little understanding though, the oil is not enough to strengthen our currency

ur explanation wasn't too clear to me. though key point seem to be there
thanks