deepwater:


Charlie, stop decieving people biko - You earn before you purchase! Tell them the earning power of the NGN first abeg!!!



That guy above has only sold some half-truth to you and that is very poisonous and misleading.
The NGN has no value period!

He told you about purchasing power, what he did not tell you is that you have to earn the currency before you can use it to purchase anything.
Did you know that average minimum wage in USA is circa $2,000 p/m (= NGN 960,000) while the average minimum wage in Nigeria is NGN 30,000 p/m =($63).

Place these values on the same table to see how far apart they are

(a) USD 2,000 to USD 63

(b) NGN 960,000 to NGN 30,000

Whichever way you find yourself, you will lose with the NGN!

Bitter truth is that the average minimum wage earner in Nigeria takes about 3 years to earn what his counterpart earns in a month in the USA.

Next time anybody tells you NGN500 will buy you water, meatpie, eegroll, malt, akara and moi moi - just tell him all those stuff are substandard and poorly made food. NGN 500 would never get you a healthy meal,
e get why Heineken cost pass Goldberg but all na Lager

since the claim here is about the benin cefa, so its also easy to earn in benin abi

just imagine, I'm bittered right now, I remembered when I changed 1k for 3500 cfa

igbosoupkitchen:


While.we are comparing the numbers of the curency can we also please compare the purchasing power??
We are quick to compare naira to dollar,cedis to naira, cefa,euros, gbp etc and we only do so in terms on figures.

Let me ask you,
I dollar is = 480naira (what is the purchasing power of both?
1 dollar can buy you a cup of coffee in the USA but 480 naira can buy you tea( coffee, lipton,milo and milk) +sandwich
1 dollar can buy you 1 or 2 bottles of water in usa but 480 naira can buy 6 or 8 bottles of water in Nigeria.
500 cefa can only buy you 1 bottle water which is 250 cefa and 1 bottle of malt drink 250 cefa,
500 naira in Nigeria can buy you water, malt,gala,biscuit,bread and akara/eggroll
100cedis in ghana cannot buy you what 9000 can buy in Nigeria, FACT

If not for our lack of productivity as a country we will not be an import dependent country aĺways seeking validation of foreign currency.

and What Can 480 dollars Buy You?

thesolutions:

Half truth is evil.
Dollar is the to USA as Naira is to Nigeria. What this means is that Naira and dollar should be in the same class.
What you are saying is that water if imported from US will cost 450 naira per bottle. But ours when exported to US will be 1 dollar for about 6 bottles. Does that make Naira valuable or the water inferior.
Before comparing the price of similar products, use China made products and US made products as yardstick and then tell yourself the truth.

thanks for clearing the air. The guy above is so ignorant.

deepwater:


Charlie, stop decieving people biko - You earn before you purchase! Tell them the earning power of the NGN first abeg!!!



That guy above has only sold some half-truth to you and that is very poisonous and misleading.
The NGN has no value period!

He told you about purchasing power, what he did not tell you is that you have to earn the currency before you can use it to purchase anything.
Did you know that average minimum wage in USA is circa $2,000 p/m (= NGN 960,000) while the average minimum wage in Nigeria is NGN 30,000 p/m =($63).

Place these values on the same table to see how far apart they are

(a) USD 2,000 to USD 63

(b) NGN 960,000 to NGN 30,000

Whichever way you find yourself, you will lose with the NGN!

Bitter truth is that the average minimum wage earner in Nigeria takes about 3 years to earn what his counterpart earns in a month in the USA.

Next time anybody tells you NGN500 will buy you water, meatpie, eegroll, malt, akara and moi moi - just tell him all those stuff are substandard and poorly made food. NGN 500 would never get you a healthy meal,
e get why Heineken cost pass Goldberg but all na Lager

I disagree with your points

You forgot to add differences in standard of living.

500 naira will get you a standard hair cut will 500 naira get you standard hair cut in the United states?

How about labour cost.

Iabour is expensive in the United states, labour is cheaper here in Nigeria. A country where labour is expensive, expect higher pay to meet up with the high cost of goods and services.

Food

500 naira will get you an healthy and organic meal here in Nigeria, will 10 dollars get you an healthy meal in the United states

Funminded:


This is so beautiful. I have never really had anyone make me appreciate Nigeria like this.
But truth be told sha, our Naira is getting more useless everyday.

Have you seen how expensive food has become recently?

dont listen to that rubbish, ask him to tell you how much is a crate of egg in dollars and in naira

Grace001:


Venir a visite a la famille. Comment est owerri ?

Owkay... Owerri est bien....Tu est quelle partie Nigeria? Ta etats du origin?

SUPERPACK:
We are just suffering from Dutch Disease. It can happen to any country or state. Our inability to diversify from oil kept us were we are now.

This is not Dutch disease. It's actually "Nigerian disease." A quintessential Dutch disease involve the appreciation of the local currency and dis-industrialisation in the local economy due to increase in oil or natural resources during boom. This is caused by the excess of demand for foreign goods over local products.

But you see in Nigeria, our industrial sector is not even operating at its potential capacity due to poor infrastructure, and our currency is depreciating.


Perhaps if you say the "resource curse" with the special role of poor institutions and prevalence of corruption are responsible for the free fall of the Naira I may agree with you.


Warm regards.

God bless the wise one for say the truth about the status of the current useless naira

God punish the zombie evil government agent BMC defending failure currency

CBN that devalued the naira purposely to fund their own frivolous luxurious life style why Nigeria masses suffer and wallow in highest inflation poverty

God should just end Nigeria now

thebosstrevor1:


But is cefas not pegged to the Euro?

Tell Nigerians to start producing and they should reduce the barriers for manufacturing and exporting, then we gonna have a strong naira.

There was a time, 1 naira used to be 3 yen but as oil prices came down, it affected our currency and now, it is 1 naira = 0.26 yen

Electricity and security are huge issues.

Cost of production in Nigeria is high.

BuddhaPalm:


Electricity and security are huge issues.

Cost of production in Nigeria is high.

Even with electricity issues, cost of production is cheap in Nigeria.

Chinese and Indians in Nigeria are paying 20k to 30k per month to produce a large quantity of a particular good

Your in America and just 5 dollars get u a crate of egg and your monthly income is 150,000 dollars. Or in Nigeria and a crate of egg cost you 2000 naira and your monthly income is 150,000 naira. Which one do you think has less or more purchasing power?

igbosoupkitchen:


While.we are comparing the numbers of the curency can we also please compare the purchasing power??
We are quick to compare naira to dollar,cedis to naira, cefa,euros, gbp etc and we only do so in terms on figures.

Let me ask you,
I dollar is = 480naira (what is the purchasing power of both?
1 dollar can buy you a cup of coffee in the USA but 480 naira can buy you tea( coffee, lipton,milo and milk) +sandwich
1 dollar can buy you 1 or 2 bottles of water in usa but 480 naira can buy 6 or 8 bottles of water in Nigeria.
500 cefa can only buy you 1 bottle water which is 250 cefa and 1 bottle of malt drink 250 cefa,
500 naira in Nigeria can buy you water, malt,gala,biscuit,bread and akara/eggroll
100cedis in ghana cannot buy you what 9000 can buy in Nigeria, FACT

If not for our lack of productivity as a country we will not be an import dependent country aĺways seeking validation of foreign currency.

But a labourer earning minimum wage of 15 dollars after tax can work for 8 hours a day =$120 =#57,600 No labourer can work and get #5,000 a day. A day salary of a labourer in US can feed a Family of 3 for a month in Ibadan

Viltron:
this is really stupidd. What are u comparing? Why don't you pitch 1 naira against 1 $. Talking about what 500 naira can buy? What exactly? Why not tell us what $500 can buy. Naira is a dead currency all-round

Leave am make she dey compare Nonsense.

Nigerians go just dey talk rubbish.

How can you compare a living thing ($) to a non living thing (N), is that not dead on arrival ?

Am currently in benin right now and I can tell u dat Naira currency is gone....infact Nigeria is gone

igbosoupkitchen:


While.we are comparing the numbers of the curency can we also please compare the purchasing power??
We are quick to compare naira to dollar,cedis to naira, cefa,euros, gbp etc and we only do so in terms on figures.

Let me ask you,
I dollar is = 480naira (what is the purchasing power of both?
1 dollar can buy you a cup of coffee in the USA but 480 naira can buy you tea( coffee, lipton,milo and milk) +sandwich
1 dollar can buy you 1 or 2 bottles of water in usa but 480 naira can buy 6 or 8 bottles of water in Nigeria.
500 cefa can only buy you 1 bottle water which is 250 cefa and 1 bottle of malt drink 250 cefa,
500 naira in Nigeria can buy you water, malt,gala,biscuit,bread and akara/eggroll
100cedis in ghana cannot buy you what 9000 can buy in Nigeria, FACT

If not for our lack of productivity as a country we will not be an import dependent country aĺways seeking validation of foreign currency.

GOD BLESS YOU

igbosoupkitchen:


While.we are comparing the numbers of the curency can we also please compare the purchasing power??
We are quick to compare naira to dollar,cedis to naira, cefa,euros, gbp etc and we only do so in terms on figures.

Let me ask you,
I dollar is = 480naira (what is the purchasing power of both?
1 dollar can buy you a cup of coffee in the USA but 480 naira can buy you tea( coffee, lipton,milo and milk) +sandwich
1 dollar can buy you 1 or 2 bottles of water in usa but 480 naira can buy 6 or 8 bottles of water in Nigeria.
500 cefa can only buy you 1 bottle water which is 250 cefa and 1 bottle of malt drink 250 cefa,
500 naira in Nigeria can buy you water, malt,gala,biscuit,bread and akara/eggroll
100cedis in ghana cannot buy you what 9000 can buy in Nigeria, FACT

If not for our lack of productivity as a country we will not be an import dependent country aĺways seeking validation of foreign currency.

Purchasing power parity (PPP) and nominal exchange are not the same.

Like you rightly compared with respect to what a dollar could buy in USA using US dollars and its equivalent in Nigeria using Naira, you should also understand that dollars is more valuable than Naira.


Look at it this way, if I used use 1 dollar to buy a cup of coffee in USA, but my friend in Nigeria needs almost 500 times the amount to buy same cup of coffee does that not mean that my friend need more money to buy what I bought with a dollar?



Whatever angle you look at it, the value of Naira in comparison to other currencies is worrisome. This is not unconnected to the dependence of the economy on a mono product.

McStoic:


Owkay... Owerri est bien....Tu est quelle partie Nigeria? Ta etats du origin?

Daccord.... Je suis a Lagos. Du south west

agent01:
This piece can only come from someone who can reason and think deep. A can of coca cola in the US is above $4. I have a friend earning 850 dollars per week in USA; but still suffering. The only thing that can make your earnings in Europe to have value is only if you did not spend a penny there. If you are in Nigeria, you can feed yourself with at least #250 per meal; that means the naira you spend is strong.

Lol
Bro don't be deceived.
A can of coke should also be N4 because we produce it here.
And who told you N250 can get you a balanced meal?
With $500 you can rent an apartment for a month, but N500 can't a face me i face you apartment.

igbosoupkitchen:



Yes, I am talking about purchasing power and noone pairs 1 dollar to 1 naira, else we wont be having this conversation.

Read your analysis again..

Stop making blind arguments you only making your self look silly. Never ever make such arguments again in your life...

thebosstrevor1:


I disagree with your points

You forgot to add differences in standard of living.

500 naira will get you a standard hair cut will 500 naira get you standard hair cut in the United states?

How about labour cost.

Iabour is expensive in the United states, labour is cheaper here in Nigeria. A country where labour is expensive, expect higher pay to meet up with the high cost of goods and services.

Food

500 naira will get you an healthy and organic meal here in Nigeria, will 10 dollars get you an healthy meal in the United states

government machinery how work naira is simply useless

USA have 1% inflation

Nigeria yearly inflation rate is 28%

If you think the government can pay you to defend the realities evil failure going on in Nigeria presently your children will suffer the punishment long term

See the truth say the truth

Your useless administration have devalued the naira three times in now in a year

Will USA ever devalued their own currency like that in short period of time

Stop defending Nigeria senseless

Only the truth is what will save Nigeria

Don't take my humble opinion personal

Light brighten our path

Shoprite is running away among other reasons because of low or poor purchasing power

CocoaOla:


government machinery how work naira is simply useless

USA have 1% inflation

Nigeria yearly inflation rate is 28%

If you think the government can pay you to defend the realities evil failure going on in Nigeria presently your children will suffer the punishment long term

See the truth say the truth

Your useless administration have devalued the naira three times in now in a year

Will USA ever devalued their own currency like that in short period of time

Stop defending Nigeria senseless

Only the truth is what will save Nigeria

Don't take my humble opinion personal

Light brighten our path

China is the world manufacturing hub,a rich country, is chinese minimum wage on par with the American minimum wage?

Even if inflation is 1% in Nigeria, it wont lead to increase in wages.

Funminded:


This is so beautiful. I have never really had anyone make me appreciate Nigeria like this.
But truth be told sha, our Naira is getting more useless everyday.

Have you seen how expensive food has become recently?

He made no sense at all.. He only see things in a naija way of reasoning.

There is no way any right thinking human will do such analysis the guy did. I came into your country with my 1currency and got your 480 currency and that doesn't tell u anything?

thebosstrevor1:


China is the world manufacturing hub,a rich country, is chinese minimum wage on par with the American minimum wage?

Even if inflation is 1% in Nigeria, it wont lead to increase in wages.

Oga there is huge difference between economy and value of currency

Grace001:


Daccord.... Je suis a Lagos. Du south west

Interessante. Je pense que tu est South eastern mais residentè au Lagos.

igbosoupkitchen:


While.we are comparing the numbers of the curency can we also please compare the purchasing power??
We are quick to compare naira to dollar,cedis to naira, cefa,euros, gbp etc and we only do so in terms on figures.

Let me ask you,
I dollar is = 480naira (what is the purchasing power of both?
1 dollar can buy you a cup of coffee in the USA but 480 naira can buy you tea( coffee, lipton,milo and milk) +sandwich
1 dollar can buy you 1 or 2 bottles of water in usa but 480 naira can buy 6 or 8 bottles of water in Nigeria.
500 cefa can only buy you 1 bottle water which is 250 cefa and 1 bottle of malt drink 250 cefa,
500 naira in Nigeria can buy you water, malt,gala,biscuit,bread and akara/eggroll
100cedis in ghana cannot buy you what 9000 can buy in Nigeria, FACT

If not for our lack of productivity as a country we will not be an import dependent country aĺways seeking validation of foreign currency.

pls can i marry you?

Lekan239:
i thought there are only guys who don't reason normally on nairaland, every time i see an intelligent post, i always shout WOW

And you think his post is intelligent.
Then you also need to check yourself.

Ikem11:


Oga there is huge difference between economy and value of currency

Your economy determines your value of currency

sirblend:

And you think his post is intelligent.
Then you also need to check yourself.

He weote many intelligent points

Is it their fault?

Since we have a leader that lack basic sense and knowledge of Eco 101, such free fall of Naira against others is inevitable.

Our situation is so sad but I take solace in the fact that a president like Buhari will never ever lead this nation, not anymore.

We're backward judging from all parameters of economics.