₦airaland Forum

What is purchasing power?

If the cost of 20 karat gold is worth 1m when dollar rate was 400 tob 1 dolls and now 1.9 m when dollar rates rises to 840......


Do we say the purchasing power of the naira is thesame...

Better still how does dollar rise causes inflation on a naira spending country

raumdeuter:
Was Tinubu president in April?

Was he president in 2022?

Compare amount they got in July 2022 to July 2023 and let's see

Tinubu removed subsidy and gave more money than ever to state governors

Why are you reluctant to hold Obaseki for blokos when he don go Abuja to collect money on your behalf as constitution demands

What was the official rate of naira vs dollar then.

Mind you,more money was expended for subsidy......more burden to be let off.....

So how do we shower encomium when even the 1.9tr purchasing power is useless

Shaytun:
Thank you very much, I don't get this undue fixation on Dollar.

What determine the purchasing power of a currency is it's ability to buy goods and service, so factor's like inflation, Money supply etc are what will determine your currency strength not dollar.

1 won = 0.6 Naira.

1 Dollar = 1,300 Won

Does that make the south Korean won weaker than the Naira, and have less purchasing power?

The only time Dollar will figure in currency strength is when you are doing a purchasing power parity (PPP).

Does d SK imports more than half of their items using dollar as a yardstick.

You forget in a very short time when you were disturbing the thread with I&E dollar rates so quick

Why does items in Nigeria skyrocket when the dollar is angry

Irrespective on how you twist in...Stupid Nigeria naira's purchasing power is tied to the mood-swing of the dollars cos we rely "wholeheartedly" on import..

You talk with both side of your mouth and it isn't funny...die hard fans in oasis and larride thinks and says the truth irrespective of their irrevocable supports for BAT but for you....we die here as if you live in Pluto....

raumdeuter:
Monthly allocation has almost tripled between April and now

Has exchange rate also tripled between April and now?

This isn't about Tinubu vs Tinubu..baba .
.

It is about Tinubu vs others..

If we weren't tasked to hold d gov "blokos" then...why now when the naira is more useless?

Na d simple matter bdat oo..

He believes Tinubu first 100/still counting days has been the best since Democracy landed in Naijerya...

monerozi5590:
I did a rough calculation when GEJ increased the minimum wage against the dollar. I did that of Buhari too in relation to dollar.

So, going by the current exchange rate. I used average of 800 Naira to a dollar. Nothing less than 80/90k.

Question 1 answered..

How do we achieve 2 and 3....??

monerozi5590:
This is a better time to increase the minimum wage to meet the reality on ground. The committee should speed up and conclude this thing ASAP. Most of our states governors are very corrupt but with this, their excuses of we can't pay minimum wage will be minimal at least.

The question remains...what is the realistic amount do you think would be ideal?

2)How many states would be willing to enforce such a directive?

3)would there be a reduction in d tax of private coys to enable them meet up

The brain that wanted to disburse approx 52 naira per day to a 5 membered-family will definitely not meet up with d amount you have in mind for the min wage.

BlueRayDick:
I think I understand u better now. I think what u should've just pointed out is that inflation rate now has made whatever FG is allocating less valuable than what his predecessors were allocating in the past ( that's is if the inflation rate has actually jumped up compared to what obtains under his predecessors)

It's the way u kept on mentioning "convert it to dollars", that made Ur point confusing at first.

He played down d value/importance of dollar rates cos we don't earn in dolls.

I ve to constantly remind him (singing dollars to his eardrum).that d purchasing power of today's Nigeria naira is useless compared to the past..

1.9tr would be heaven on earth during Jonathan's .

Melvyn11:
Even if you convert to dollar. June: 787billion/ 460 is $1.7B. July: 1.9Tril/760 is $2.6Billion.

Convert that of his predecessors..oga

It isn't Tinubu vs Tinub

But baba vs others

larride:
Lol

I just dey vex all tru today....dis fuel n dollar mata no be joke o

BlueRayDick:
Na only u and the two people wey like this comment actually understand wetin u dey talk o

You will definitely not understand cos u didn't follow d convo from d 1st..

Shaytun =Hold gov Brokos and live FG cos he allocated 1.9tr to states gov.

Sheg=Convert d naira to dolls with the official rate...do dsame with his predecessors..b4 making such statement

Shaytun=do we make use of dollar?? Why should I?

Sheg= dollar determines Nigeria market to some extent.if we ain't tasked to hold state gov b4...why now when the allocation is roughly dsame using purchasing power of naira as a yardstick.


Summary..

Shaytun:
Please focus on making banger statement.

Intellectual discussion is not your forte.

I have been typing with less attention and concentration...

I am free now...



Oga economist.


You want us to hold d gov responsible due to the fact that Bala blue allocated 1.9tr abi


Now look at it this way.

What is the worth of the 1.9tr wch is stupid in the face of today's dollar vs the less allocation wch was relatively decent vs dollar ...?

I think paying 500k per month presently is way less than paying 350k when items and groceries where extremely affordable.


How did dollar came in

We are dead in importation and our lives revolves round importation partially....dollar is the main currency that determines our market......

So...shouting 1.9tr as a record allocation is laughable when in reality it is worth less...

Major reason I asked you to convert to dollar and then compare with the past b4 displaying or flooding the group with your wassap assignment...


Do I have to be an economist to understand how dollar rise plays a major role in our existence as a Nigerian??

Let's pause the harmful effect of fuel hike in the decent usage of the bloody 1.9tr Nigeria naira

Shaytun:
What does the purchasing power of Naira have to do with Dollar.

They need to make Economics a compulsory course for all this Secondary school graduates.

What was the cost of imported items under PDP when dollar rates was relatively OK vs now


Agba-economist

iamoyindamola:
Them say make una hol your government blokos🤣🤣🤣🤣

They no tell d for their wassap group about d purchasing power of naira then vs now...

Shaytun:
I’m sorry but you are not making sense.

Articulate your thought well, and construct a proper response.

Why will it make sense.

I forgot that the purchasing power of naira is the same irrespective of its rate vs dollar...

Shaytun:
Why would you convert FAAC allocation to dollar?

Isn’t that the height of foolishness?

So why do you expect the allocation to be thesame or lower when the naira is worth less compare to before.

So what is there to hold d state gov for, if #1000 naira item is worth about #10,000 now?

Ibukzy:
Here is one

hold ur state governors for palliatives

Oga convert d money to dollar with d official rare

Go back and convert d previous states budget to dollars using same old rates..


You go realise the goodness of d news

Emaprince:
So we shouldn't be worried about exchange rate be that..since we don't spend in dollars.

Shaytun 2023

[quote author=Shaytun post=124518474]Why would I do that?

Do you spend dollar on Nigeria?[/quote]

Exactly what baba said.


[i][/i]

Shaytun:
Hold your state governor throat

Convert to dollar using d official rate fess

Emaprince:


Cornvicts in Nigeria

Man is living in denial..

Shaytun:
The best 100 days so far of any Nigerian Administration brother.

Okay.......

Shaytun:
Some of us are not dishonest folk.

The Nigerian people already passed a referendum on Subsidy removal by voting overwhelmingly for the top 3 candidates. Because they all promised to remove susbsidy if they are elected.

The only Presidential candidate that took a different stance was NNPP kwankwanso. If you had wanted to continue enjoying subsidy, Kwankwanso is the guy you should have voted for .

Oga...my question na how far d first 100days dey go....


No be all these megedefiegede....

Nothing concern obi...atiku n kwakwanso...

If I promise to score a goal in d champions league must I score it with shagalo

Incognito9:
Is he the I&E window or stocks post guy , tell am naira don enter 820

Baba was excited on initial gra gra

Yeah...

Baba shaytun.

How many days remain for the 100 days in office...

This seems a script, well written.

https://www.nairaland.com/7764455/court-orders-immediate-release-emefiele

Oh boy..


These unknown gun men have gone mad.........

izzou:
[color=royalblue]This is funny, bros

NNPC imports fuel at a cost...Let's assume it is 500/litre. NNPC has already paid the foreign refinery for it

When it gets here, NNPC gives it to the marketers at 200/litre.

This is repeated month after month for up to 7 years.

So if you say we weren't making expenses, whose pocket was that money that NNPC was paying the difference, coming from?[/color]

I get it now

izzou:
[color=royalblue]What NNPC is telling you is that they were not paying any marketer.

What they did was give the marketers below the cost price. And that was how they were shouldering the subsidy burden

So, FG is owing NNPC, not the marketers.

Or how come you and i were buying fuel at 189 if it was lamba?[/color]

I think we are mixing everything.....if we weren't paying NNPC then we weren't making expenses on fuel subsidy as a nation...

So how come we hear diverted subsidy fundwho are we paying and how?.

If NNPC received no funds for subsidy...isn't it misnormal to have diverted subsidy fund

My opinion:...

iamoyindamola:
I can’t remember seeing such arguments here
Can you quote where this was said

Re-read the highlighted post .."I believe"

GloriousGbola:
There is no lamba. From 2016 nnpc has been the sole importer of fuel into the country. This has also been discussed here more than once. They were carrying the subsidy via underrecovery as they call it.

The question remain same...
If we weren't paying for fuel subsidy...why are we broke......cos I blv our brokenness is as a result of paying a budgeted sum for fuel.....

izzou:
[color=royalblue]What is the lamba there?[/color]

I think we were quoted on paying for subsidy and as a result we were/are broke.......