Venezuela has just removed 5 zeros from their currency exchanging against the dollar. Why can’t we remove two zeros. So that one dollar being 350 Naira would now be N3.50 kobo.

Abi I lie�

KnowAll:
Venezuela has just removed 5 zeros from their currency exchanging against the dollar. Why can’t we remove two zeros. So that one dollar being 350 Naira would now be N3.50 kobo.

Abi I lie�

It doesn't change anything on the economy.
Only creates a problem of trying to adjust the whole system to the new currency.

It does, Ghana did and seems all of a sudden Ghana has a stronger currency while we wallow in our worthless currency.

You made a healthy observation, I mean the guy above me.

This carrying of bags of cash must stop.

Tolexander:
It doesn't change anything on the economy.
Only creates a problem of trying to adjust the whole system to the new currency.

iPob folks lack knowledge of economics or simple common sense. Redomination of the currency does nothing to the fundamentals

Can someone please explain this in depth?

Removing zeros doesn't change a damn thing because the buying value remains the same

KnowAll:
It does, Ghana did and seems all of a sudden Ghana has a stronger currency while we wallow in our worthless currency.

Which Ghana?

Please try to act as your monicker says and stop dispensing ignorance m

KnowAll:
It does, Ghana did and seems all of a sudden Ghana has a stronger currency while we wallow in our worthless currency.

Ghanaian currency is not stronger as you allude.

Nigerian economy is 2 times stronger than that of Ghana

What you buy here for 30k, in Ghana you buy it for 55k to 60k.

Forget the removal of zeros it does not affect the economy in any way.

The Hausa are against it because they are use to making easy money from round tripping.

I have always said it the strength or weakness of a currency depends on the will of those ruling. If the will is not there it would be an exercise in futility.

kayfra:
iPob folks lack knowledge of economics or simple common sense. Redomination of the currency does nothing to the fundamentals

lol u and ur tribe are probably the dumb ones. U dont know..just admit it...instead of insulting the people of Biafra...of which am among.

deleting zeroes from national currency can only be effective when it is accompanied by anti-inflation policies and austerity measures in the realm of financial policies, financial regularities of the government as well as attempts to get rid of long-lasting budget deficits and reliance of oil revenues. Otherwise, removing zeroes will soon lose its psychological effect and the zeroes will return with even more strength. In other words, the best solution to combat the rising inflation and to execute the economic stability program is independence of Central Bank from the government and removing the problem-making economic policies. Deleting the zeroes can help to decrease the inflation and execute economic stability programs in two ways.

First, removing zeroes from the national currency can be done at the end of economic stability program so to provide people and private agencies the confidence that the era of high inflation has passed. Removing zeroes in such a condition is totally symbolic because inflation has been controlled due to other factors and thus removing zeroes will not lead to decreasing the inflation on its own.

Second, it will gain the trust of foreign investors and thus attracting more foreign investment, facilitating the process of economic growth for the countries. Finally, in order to increase the value of national currency, economic power needs to be increased as well. This is due to the fact that with the help of powerful economy, the value of national currency can be strengthened and then with controlling the inflation, positive measures would be taken in the long term.

KnowAll:
It does, Ghana did and seems all of a sudden Ghana has a stronger currency while we wallow in our worthless currency.

you've been told times without number, it doesn't change anything. If you earn a salary of 100k, it becomes 1k, so what does it change? Not only that. It makes things expensive because there will rounding up of decimal figures.

When tundeednut posted about a Ghanaian musician who gave his mum 50,000 Ghana cedis which he gave the equivalent of 4 million in naira,some dumb Nigerians joined Ghanaians in dissing Nigeria
What they don't know is that Ghana redominated their currency,they knocked off 4 whole zeros from their currency,i remember when I asked a Ghana friends in 2001 to dash me 200,000 cedis and he told me that that was just 200naira,how did the cedi Magically get that strong
Whenever you hear 50cedis,just add 4 zeros to that amount and that is the real amount, the 50 is just a facade, it is actually 500,000 cedis

I like it when my fellow Africans write and talk like indoctrinated economists that only see theory from the Western countries' point of view.

We had the same discussion here about devaluation and dollarization of African currencies. One would think by now young educated Africans would have learnt that this unequal and arbitarary devaluation of currencies have nothing to do with economics.

Strong currencies are backed by gold reserves. Which countries have the biggest gold reserves since centuries past? Do they have the strongest currencies?

There was a lady on one of the talk shows that gave lessons on strong currencies and many articles have been written on the illogical 500 to One exchange rates. Whenever there is political disagreement between western countries and developing economy, their currencies are devalued. Why?

Brothers and sisters, think and stop theorizing for western powers and its arbitarary fiat economic dictation. There is nothing backing United States colored papers used in buying up your gold.

For further reading: Google is your friend, as they say.

selemempe:
lol u and ur tribe are probably the dumb ones. U dont know..just admit it...instead of insulting the people of Biafra...of which am among.

deleting zeroes from national currency can only be effective when it is accompanied by anti-inflation policies and austerity measures in the realm of financial policies, financial regularities of the government as well as attempts to get rid of long-lasting budget deficits and reliance of oil revenues. Otherwise, removing zeroes will soon lose its psychological effect and the zeroes will return with even more strength. In other words, the best solution to combat the rising inflation and to execute the economic stability program is independence of Central Bank from the government and removing the problem-making economic policies. Deleting the zeroes can help to decrease the inflation and execute economic stability programs in two ways.

First, removing zeroes from the national currency can be done at the end of economic stability program so to provide people and private agencies the confidence that the era of high inflation has passed. Removing zeroes in such a condition is totally symbolic because inflation has been controlled due to other factors and thus removing zeroes will not lead to decreasing the inflation on its own.

Second, it will gain the trust of foreign investors and thus attracting more foreign investment, facilitating the process of economic growth for the countries. Finally, in order to increase the value of national currency, economic power needs to be increased as well. This is due to the fact that with the help of powerful economy, the value of national currency can be strengthened and then with controlling the inflation, positive measures would be taken in the long term.

I don't know why people equate strong currency with strong economy. It's not always the same.

Lake a look at a country like Vietnam, their currency is about 22,800VND to a dollar, but you can't compare the economy of Vietnam with that of Nigeria. They even prefer their currency low to support their export.

banku:
I like it when my fellow Africans write and talk like indoctrinated economists that only see theory from the Western countries' point of view.

We had the same discussion here about devaluation and dollarization of African currencies. One would think by now young educated Africans would have learnt that this unequal and arbitarary devaluation of currencies have nothing to do with economics.

Strong currencies are backed by gold reserves. Which countries have the biggest gold reserves since centuries past? Do they have the strongest currencies?

There was a lady on one of the talk shows that gave lessons on strong currencies and many articles have been written on the illogical 500 to One exchange rates. Whenever there is political disagreement between western countries and developing economy, their currencies are devalued. Why?

Brothers and sisters, think and stop theorizing for western powers and its arbitarary fiat economic dictation. There is nothing backing United States colored papers used in buying up your gold.

For further reading: Google is your friend, as they say.

so can u tell me wat i said there that was indoctrinated by western economics?

I just gave 3 scenerios in which removing zeros can help in an economy. If u read well, u will see that its positive effects are mostly psychological...which is true for all economies

banku:
I like it when my fellow Africans write and talk like indoctrinated economists that only see theory from the Western countries' point of view.

We had the same discussion here about devaluation and dollarization of African currencies. One would think by now young educated Africans would have learnt that this unequal and arbitarary devaluation of currencies have nothing to do with economics.

Strong currencies are backed by gold reserves. Which countries have the biggest gold reserves since centuries past? Do they have the strongest currencies?

There was a lady on one of the talk shows that gave lessons on strong currencies and many articles have been written on the illogical 500 to One exchange rates. Whenever there is political disagreement between western countries and developing economy, their currencies are devalued. Why?

Brothers and sisters, think and stop theorizing for western powers and its arbitarary fiat economic dictation. There is nothing backing United States colored papers used in buying up your gold.

For further reading: Google is your friend, as they say.

What economically illiterate drivel! Isn't the very currency you want to see renominated also coming from "theory from the Western countries' point of view"? Were your illiterate forefathers in the 19th century using fractional reserve banking? If removing zeros from a currency affected a nation's wealth, wouldn't South Korea and Japan, with their "weak" currencies, be far poorer than the same Ghana one of you economic illiterates is praising? It's laughable to see people still repeating the same sort of nonsense that came out of the mouth of an uneducated ape like Idi Amin back in the 1970s.

Those who have noted that lopping off zeros would change nothing are 100% in the right, and anyone arguing otherwise is speaking from rank ignorance and a room-temperature IQ. Unless the Nigerian government was able to find new sources of funding for all of its obligations, all that would happen is that the same number of zeros would come off both salaries and the prices of goods and services, making no one better off in any meaningful way. A man who earns N50,000 and has N48,000 in monthly expenses is no better or worse off than a man who earns N500 a month yet has expenses of N480.

KnowAll:
I have always said it the strength or weakness of a currency depends on the will of those ruling. If the will is not there it would be an exercise in futility.

It depends on the wealth of a nation. Nigeria has nothing on this level.

KnowAll:
Venezuela has just removed 5 zeros from their currency exchanging against the dollar. Why can’t we remove two zeros. So that one dollar being 350 Naira would now be N3.50 kobo.

Abi I lie�

Venezuela is a now dead country. The Peru, Columbia and Bolivia are closing their borders with Venezuela due to economic migration.

Butterflyle0:


Ghanaian currency is not stronger as you allude.

Nigerian economy is 2 times stronger than that of Ghana

What you buy here for 30k, in Ghana you buy it for 55k to 60k.

Forget the removal of zeros it does not affect the economy in any way.

You can imagine how surprised I was when my mum told me that she bought a loaf of bread with three thousand Ghana cedies in Takoradi, and that was two years ago o.

selemempe:
so can u tell me wat i said there that was indoctrinated by western economics?

I just gave 3 scenerios in which removing zeros can help in an economy. If u read well, u will see that its positive effects are mostly psychological...which is true for all economies

All your examples had the fundamentals of the economy changing before redomination. So your sermon is just meh

Redomination by itself is symbolic feel good bollocks. Probably saves CBN the cost of papers to print higher denomination on the long term

With our money in a bank abroad forget it.

its simply a 419 economic system.
the west will drain you dry till you are down begging.

Buharinomics caused devaluation of naira. Nigerians think.

Voodoo economics!

Doesn't change anything. Take a N500 note and use pen to cancel 2 zeros behind it; it doesn't change it to N5.

banku:
I like it when my fellow Africans write and talk like indoctrinated economists that only see theory from the Western countries' point of view.

We had the same discussion here about devaluation and dollarization of African currencies. One would think by now young educated Africans would have learnt that this unequal and arbitarary devaluation of currencies have nothing to do with economics.

Strong currencies are backed by gold reserves. Which countries have the biggest gold reserves since centuries past? Do they have the strongest currencies?

There was a lady on one of the talk shows that gave lessons on strong currencies and many articles have been written on the illogical 500 to One exchange rates. Whenever there is political disagreement between western countries and developing economy, their currencies are devalued. Why?

Brothers and sisters, think and stop theorizing for western powers and its arbitarary fiat economic dictation. There is nothing backing United States colored papers used in buying up your gold.

For further reading: Google is your friend, as they say.

Gaddafi wanted a gold dinar currency to be Africa common currency, but African leaders foolishly refused.
The fiat money America use is not backed by any standard and stupid leaders don't want to think.

Terrorism, kidnapping is as a result of economic instability and America is a major cause in this .
One day they will pay the price.

Same ni!

I don't want to talk anything

People are really suffering in Venezuela.... Removing those "zeros" only reduces the quantity of cash people carry about.... BUT.... it does not in any way improve their living standards.....

Duru1:


Venezuela is a now dead country. The Peru, Columbia and Bolivia are closing their borders with Venezuela due to economic migration.

imagine what thrash an old illiterate has just typed with his rotten fingers.

Peru and Bolivia having borders with Venezuela!

Man, grave is calling!

Nigeria is filled with thieves at the government level, they won't like such idea