As it is becoming obvious by the day that the era of Western Currencies World domination is coming to an end, why is no one in Nigeria talking about pegging our Naira to Gold in order to have a currency that citizens can use outside Nigeria?

Are we waiting for the Yuan or any other emerging major currency to grow and then peg the Naira to it as well? Thereby putting the full Nigerian Economy at the mercy of the New currency (and the issuing country/ies) same way the Nigerian economy is currently being controlled by the USA, Europe and IMF coz the Naira is pegged to the USD.

Can't we learn from Countries like India, who are gradually pushing their Rupees to becoming a globally accepted currency?

When will Nigeria ever get things right?

I was thinking of this some days ago and then the electricity went off and by the time I finished struggling to on the gen I had completely forgotten about it.
I pray whoever becomes the president employs the right people to handle the economy this time around.

Examine the crop of people at the helm. From the president to your senators and reps, to the CBN gov and finance minister.

Look at all their policies and then the state of the nation ...

Then ask your question.

You will discover that you already know the answer.

Naira is not a reserve currency

When you have a political class that is evil, lacks the most elementary iota of human empathy and consumed with insatiable greed, that country's citizens and economy will always be at the mercy of the international economy policy programmers.

You clearly don't understand how the financial market works.

Awon "peg" the Naira to Gold, shey na clothes wey dem hang for rope?

GreatChizzy:
You clearly don't understand how the financial market works.

Awon "peg" the Naira to Gold, shey na clothes wey dem hang for rope?

Please can u school us on how the financial market works, so that we can learn one or two from u.

Lol...peg it to silver and bronze in addition and that changes nothing. Who will you offer a currency even NNPC will reject. Nigeria need forex and NNPC won't accept naira from any foreigner but forex.

You want to have a civil war here abi.

leroi01:
Examine the crop of people at the helm. From the president to your senators and reps, to the CBN gov and finance minister.

Look at all their policies and then the state of the nation ...

Then ask your question.

You will discover that you already know the answer.

Short and simple.

fidelmarshal199:

The only thing that can save the Nigeria economy is massive exportation, we need to export more than we import and that can only be possible if there is a diversification of economy. We need to export more than crude oil.

In absense of that pegging our currency to gold, silver and bronze will yield nothing for our currency

A Lot of African are ready to export. The problem is that the Black African Countries are marginalised by the West at the global market. The moment an African country starts balancing its trade deficit through importing from any sector of its economy to other parts of the world, the West looks for a flimsy excuse under the WTO’s SPS Agreement to ban all such import from that African country.

Check the most recent of such actions here:
https://www.afrik21.africa/en/africa-eu-bans-imports-of-rubber-from-deforestation/

GreatChizzy:
You clearly don't understand how the financial market works.

Awon "peg" the Naira to Gold, shey na clothes wey dem hang for rope?

We're waiting for you.

PARADIZEPRIEST:
Naira is not a reserve currency

There's a difference between a reserve currency and one that is backed by precious metals.

Any currency backed by Gold becomes stabler and stronger because domestic inflation will be stabilised to a huge extent.
Did you notice the almost instant increase in the Russian Rubble when it got taken back to the Gold standard after the Western Sanction?

willi926:

Please can u school us on how the financial market works, so that we can learn one or two from u.

A currency’s strength is determined by the interaction of a variety of local and international factors such as the demand and supply in the foreign exchange markets; the interest rates of the central bank; the inflation and growth in the domestic economy; and the country’s balance of trade. Taking all factors into consideration, the currency strength can be evaluated in three dimensions:

1) Value: the relative purchasing power for goods and services in comparison to foreign currencies
2) Utility: the relevance as a financial valuation and exchange device in foreign economies
3) Reserve: the acceptability in international trade, driving foreign central banks to hold reserves.

As the local production activities add further value to the country’s economy, higher purchasing power encourages spending. The surge in the supply and demand stimulates import and export, flourishing the international trade volumes.

The national currency gains utility in the trade-partner countries, which, in turn, drive their central banks to create reserves for it. Such acceptability enables commerce via a direct exchange of currencies without the mediation of a stronger currency like the U.S. Dollar.

It also provides room for manoeuvre in case a trading partner’s currency value fluctuates due to external circumstances. As a result, the national currency strengthens in the money markets and gains value in the Forex pairs.

The U.S. Dollar is currently considered as the strongest currency in the world. The U.S. economy has the largest consumer market, and the USD serves as the primary trade and reserve currency all around the globe.

Around 60% of the world’s central bank reserves, 40% of debt, 90% of forex trades, and 80% of global trade is denominated in dollars. When the world experiences a crisis, everyone looks to the U.S dollar as a shelter from risks. However, many countries and foreign companies borrow in U.S dollars and earn revenue or taxes in their domestic currencies, therefore dollar strength increases default risk.

And kindly note; this is not all there is it to it, with regards to a currency valuation.

✌️