I hope you are well.

I have a window for Purchase Order (PO) funding in Nigeria. The funding will also consider USD denominated deals in other African countries.
1. We are looking for viable PO deals across African countries, sectors outside oil and gas are welcome on a case-by-case basis.
2. PO must be from blue chips companies, or entities with good payment history or track record as off-takers
3. PO repayment (preferable in dollars) circle must be reasonable within 45 days, (if longer it must be justified with the good margins).
4. Profit sharing model.
5. Payments of the invoices raised against the PO must be domiciled with us or a joint account open with client to avoid client diversion of funds

Please feel free to contact me on WhatsApp (0-eight-0-three-4-one-5-seven-6-zero-2) if you have any questions.
Regards

Op, do minimum wage in America and compare it to Nigeria, then let's see if you can purchase more in your actual earned Naira as you can on minimum wage in dollars.

budaatum:
Op, do minimum wage in America and compare it to Nigeria, then let's see if you can purchase more in your actual earned Naira as you can on minimum wage in dollars.

I was just having an argument about purchasing power parity,PPP, with a colleague of mine who spent just a few days in Ghana and has concluded that the naira has a greater PP than the cedi. I've not spent much time to understand the concept since this could be true in some regards and also bearing in mind that there is also Relative PP. I've watched a few vids from YouTube but haven't been able to know how to measure PP between the two countries. I recall the formular for PP in terms of spot rate and relative PPP. Is the Big mac index analogy or theorem valid for all commodities? If the cost of Big Mac is lower in Nigeria, does that then mean Nigerian Naira has a higher purchasing power?

Ohh, Op is Purchasing order not Purchasing power.. My brain filled in the blanks..ooops

kkins25:
I was just having an argument about purchasing power parity,PPP, with a colleague of mine who spent just a few days in Ghana and has concluded that the naira has a greater PP than the cedi. I've not spent much time to understand the concept since this could be true in some regards and also bearing in mind that there is also Relative PP. I've watched a few vids from YouTube but haven't been able to know how to measure PP between the two countries. I recall the formular for PP in terms of spot rate and relative PPP. Is the Big mac index analogy or theorem valid for all commodities? If the cost of Big Mac is lower in Nigeria, does that then mean Nigerian Naira has a higher purchasing power?

Purchasing power is not exactly an easy concept, and purchasing power parity even more so, but the clue is somewhat in the name.

Imagine you were paid in a common currency called Big Mac (BM) wherever you worked. And say, in one country rent is 5BMs and in another it's 10BMS. We would say your purchasing power of a roof over your head in the 5BMs country is higher because you can buy twice as much. But now imagine you are paid twice as much in the country where rent is 10BMs than in the country where rent is 5. Can you see how your purchasing power is now equal since you can both spend an equal portion of your earnings on rent.

This is of course a very simplified analogy, which is why the more complex purchasing power parity is used instead.

There are many things that may make Big Mac's themself cheaper in one country than another. Cheaper inputs for instance would make Big Mac's cheaper. Its currently £3.19 in UK, which at say ₦750 to the dollar is, well, you work it out, which is probably why there's no McDonald's in Nigeria (as far as I know), where wages are very low. McDonald's relys on high sales, which Nigeria can not exactly support since one can spend a lot less getting full up at Mama put than what a Big Mac might costs.

See the The Big Mac index. It's a form of PPP index. In fact, African countries with McDonald's are those with high tourist visits.

budaatum:


Purchasing power is not exactly an easy concept, and purchasing power parity even more so, but the clue is somewhat in the name.

Imagine you were paid in a common currency called Big Mac (BM) wherever you worked. And say, in one country rent is 5BMs and in another it's 10BMS. We would say your purchasing power of a roof over your head in the 5BMs country is higher because you can buy twice as much. But now imagine you are paid twice as much in the country where rent is 10BMs than in the country where rent is 5. Can you see how your purchasing power is now equal since you can both spend an equal portion of your earnings on rent.

This is of course a very simplified analogy, which is why the more complex purchasing power parity is used instead.

There are many things that may make Big Mac's themself cheaper in one country than another. Cheaper inputs for instance would make Big Mac's cheaper. Its currently £3.19 in UK, which at say ₦750 to the dollar is, well, you work it out, which is probably why there's no McDonald's in Nigeria (as far as I know), where wages are very low. McDonald's relys on high sales, which Nigeria can not exactly support since one can spend a lot less getting full up at Mama put than what a Big Mac might costs.

See the The Big Mac index. It's a form of PPP index. In fact, African countries with McDonald's are those with high tourist visits.

Would check this out and be back. Thanks my buda!