Topic: Nigerian naira hits record black market low of 1,100 per dollar (Read 473 times)

Even though that it is true that it dropped to such extent few days back for whatever reason of policy or whatnot, those are just speech and talk but no real action because the price is back to 1168 per dollar as I'm writing.

It is significant to say that speech would not go anywhere to fortify the naira because there are no organized economy, no real planning for infrastructure growth, no refinery that will help exportation of finished petroleum products, no good macro economic industrialization, so what will buffer those speech or policy? Those are only policies that can help the naira if there are no pressure on the use of foreign currency like dollar. If Nigeria does not rejuvenate her industrial sector and leave her consumption status to exporting status then the naira will get worsened in depreciation of purchase value and that of course means continuous fall of standard of living.

I don't know whether the news I heard from someone concerning the naira falling to 1100 per dollar rate is true or not.
For the quoted reason above, the naira fell to that extent and it will continue to fall if Nigerians don't learn how to use their local products rather than using foreign products more

You know one of the hardest thing for Nigeria to do, enforcement is there problem. It's one thing to set a policy and it's another thing to enforce it and also it's another task to provide a solution when these policy are pish to the crowd.

The first mistake of this regime government is having a policy without a proper solution, they killed fuel subsidy which was a very good idea but at expenses of what suffering? Temporary palliatives where given yet couldn't patch the broken wall, that is because they enforce a policy without a proper solution. Subsidy should have been remover gradually maybe right from when they came to the office which was may till December period but they completely remove it and now all the price of goods and services has doubled and that's because fuel has doubled.


The quick floating of the Naira was another mistake. Floating of Naira was a good idea also but why float the Naira when there is not enough liquidity in the FX market, it doesn't make sense at all, it was after the damage has been done they decided to fund the FX Market with $10B which they announced yesterday that made Naira appreciate in value. This is the problem I was talking about, enforcement problem and proper solutions aren't there to cushion the hardships for the people.

That was how Buhari enforce everyone to digital transaction at the wrong time, I nearly cried during that time because of cash. You have the money to spend but marketers and traders don't want online transaction, they prefer cash that was too limited to the environment, mehn there is a long way to go with this country Nigeria.

Here the worst thing that can happen is "help from the brotherly people of China"..... The dollar will definitely no longer be a dream, and... actively work for food to save China's economy for the rest of your life. And in fact become a primitive and powerless colony of "Uncle Xi".... So the situation is still likely to change, if now I do not make a fatal step towards China or BRICS (which is essentially synonymous with "yuanization of the economy").

Oh yeah, losing 84% is not a big deal, I remember how the Euro was going to die because it dropped 10%.


In exactly my previous post on this forum, I was denying the fact that karma existed, but I have to retract that statement...
How are those donkey carts doing?
You have nearly the same petrol prices as Slovenia and Poland for 5 times the lower wage, sounds pretty expensive to drive a donkey cart!
But you can always switch to Yuans, after all, that's why the BRICS love exists in the first place isn't it?


This fatalist mentality is what will guaratee that nothing will ever be done!
We can't do anything because the system is rigged so we won't do anything and just let it be like this till...till when?

This is what wikiepdia gave me for the last elections

Basically, the guy won with 8,794,726, which is 6 times less than the ones who didn't want to vote!
If everyone had voted he would have got less than 10% and if the undecided would have backed 4 different candidates each of them would have got 20%, double that of this guy!

I was looking at the official exchange rates. The decline is somewhat modest during the last 20 years. Two decades back, the exchange rate was 1 USD = 138 Naira, and now it is 1 USD = 818 Naira. Many of the global fiat currencies have gone down even more. One example is that of Turkish Lira. It has gone from 1 USD = 1.48 TRL to 1 USD = 28.15 TRL. Even here in India, the INR has devalued from 1 USD = 31.42 INR to 1 USD = 83.23 INR. The USD is simply too strong for the other fiat currencies. BTW, the black market rates are not that different from the official rates (1100 vs 818).

It's very frustrating seeing this happening in this trying times, things are getting worse everyday and the current government aren't doing anything effective to fight the fall of the Naira. The government don't care because they mostly have their wealths and investment in foreign currencies. It's the masses that are suffering and things aren't going to change because the election system is rigged. The next coming president will still be won by the highest bidder and nothing can be done about it. I'm not surprised about the continuous fall of the naira because I always knew the naira has always been subsidize just like fuel in the country and immediately the subsidy are been lifted hings will get out of hand. The devaluation of naira is the the number one reason why we Nigerian are investing into Bitcoin to give us some security against our wealth losing value.


Bad government that's just the problem, it's the bad governance gives room for more corruption and the unprogressive nature of the country. We are just consuming over here which doesn't add to the economical strength of the country and the politicians are doing this on purpose. They keep borrowings to consume and not to produce and this is putting the country into debts. Things are quite worse than it's been reported. The rate been reported is not even what it's been sold as the scarcity of the dollars is making the local vendor set their own prices and as our economy is dependent on the dollar rate, jt affects everything in the economy starting from fuel to our daily foodstuffs.

This is why we should not despair too much and we must still be thankful for everything that we currently have. I think Europe is too far from Africa so you could have a better example there. But, I guess that's okay since it was only an example anyway lol. I think you are not from Africa so I wouldn't conclude that they don't have a chance to improve. It's the people living there know the real status of their country. And it would be better to just hope for the best on them. This might be one of the effects of corruption. It sucks, but I think it also has to do with the people because they know already know that the person is corrupt but they still vote them due to the bribes.

No need to imagine again as we are already seeing this things we could only imagine coming to reality and it seems there is absolutely nothing anyone can do about it which is absolutely wrong and I have also seen post of some members from my country saying they're not ashamed as there sre countries who's Nigeria naira is far more better than but I think they forget that this isn't about other countries but about how we are losing  our glory and pride as the gaint of Africa and now turning to a laughing stock which isn't right.
I hope there is actually things that cab be done urgently  about the current situation  of the country else is a bitter ending for the country

I remember doing same around 2016/2017, less than a handful of years ago.
How much value has been lost shows nothing is being created by the economy, SMEs are everywhere but the majority of them end up falling.

Appointments by the president were made based on nepotism Ora's a reward to that helped him to climb on that seat.

I am far from the situation in your country, but I have "experience" of similar problems in my country, as for example it was in the 90s of the last century.
Question - is there an understanding of the real roots of the problems you have mentioned? For example, in my country, there was a noticeable drop in the exchange rate of local currency (Ukraine, hryvnia), in 2014 with the beginning of terrorist aggression of Russia. Everything is "clear" here - seizure, destruction, destruction of entire regions and sectors of the economy. In your country, as far as I know, the situation is not so critical and there are no such processes (God save you from such a disaster).
Nigeria, as far as I know, has been an independent country since 1960 and has a national government, plus very rich resources, including huge deposits of oil and other highly sought-after resources.
The question is - what went wrong, with seemingly very good conditions for the development of the economy?

I can remember exchanging a dollar at N110 in 2008, not to even talk of the N450 range. All these things didn't happen a long time ago. Just 15 years ago and the naira is almost like a tissue paper now. How we got to this point should be a fascinating story, honestly. It's a big shame on our political class as it's now obvious it has lost control of our economy.

Just imagine it. It's heartbreaking to even think that there were those who shamelessly campaigned and did all they could to enthrone this present administration with mouthed promises that the incoming president would put together eggheads who would man our economy. Those I pity most in this dispensation are the minimum wage earners. How do these people even cope? This hyperinflation and the lack of corresponding increase in the standard of living of Nigerians is a red flag. It could lead to an implosion and increased crime rate in weeks to come (as if we haven't been seeing that already) if nothing urgent is done about this situation.

What goes up does not come down therefore we cannot see the Naira trading at 152 a dollar ever again.
 
I do not think that this is a problem the problem there is that the country has to do more expert than. Citizens have to patronize the goods made in the country the services rendered by technicians and others in the country. The dollar has to be abandoned for international transactions. Recently Egypt had a currency swap with Dubai to help boost the Egyptian economy this is another economic measure that the country can adopt. Asking the citizens to buy dollar is like telling the people in a ship to bore holes in the ship because the captain is a terrible person. At the end of the day everyone would drown when the ship capsizes

Where do you get those numbers from? A 97% devaluation of purchasing power?
1 million in 1985 would be 2.87 million now, nowhere near 30 million.
https://www.mclib.info/Research/Local-History-Genealogy/Historic-Prices/Historic-Prices-1985
By that metric, a 2l bottle of cola would have to be $30 now!
Gas was $1.12 it's $3.5 where is the 30x coming from?

Let me put the naira into perspective, in 1985 the rate was 0.89, and now it's 1:1000, losing 1000 the purchasing power against the usd!

Anyhow the government seems to be on the right path to de-dollarization, in 2-3 years nobody in that country would be able to afford even one 1$!  

For whatever reason that is happening nobody knows. Nigeria is blessed in natural resources and human resources/capacity but with bad and wicked people finding their way to government.

A Nigerian outside Nigeria performs better than when in the soil of Nigeria because their is high level of nepotism that doesn't allow people to grow, no infrastructure to help support investment and small businesses are folding because it can't just survive in the hard economy. The people are suffering serious hardship because of inflation and nothing is done about it, no organized system but corrupt legislatures, judiciary and executives that are only after their pockets. If you are not in government then you are just made miserable, so unfortunate.

I am trying to exchange some money today and I realize that naira to dollar keeps increasing, today its 1230 naira to $1, it looks like this will keep increasing, no wonder many people are leaving the country, I think it's worth it, the only way this can be normal is if my salary is been paid in dollars.

The last man that indeed tried to change the country for the better in a short period of time was Muritala Mohamed, I believe that it's never going to happen again.

This man who as assassinated by people close to him, and his story makes me believe that if anyone is going to really fix Nigeria, that person is going to have a lot of enemies, because there is no way you want cut some peoples source of illegal money off, and many won't like it.

Truth be told, criminals are the ones leading this country in disguise as noble men, they are in that position for themselves and their families, it's so sad.

I don't think it can be possible for it to come as low as N150, it is possible for it to slightly come down but not very low. This can only happen if the country can change from consumption to production country, I think this is a country that depends on importation too much and it is really affecting the economy too much. Nigeria is a wealthy country,  an oil and gas producing country,  one of the thing that is also affecting the economy too is mismanagement of fund. The money they have can't be use to revive the economy, but this is money that is being stole by government.  The only way the currency can become better is if the country can serious go into production into major commodities that is very vital to the citizens and a stop of stolen funds that belongs to the nation.

I see nothing to be ashamed of here seriously. I'm not trying to defend here but there are countries that their currency is more worse than naira when convert to dollar. The depreciation of naira is not caused by bad governance but as a result of some policies put in place which are actually a good way to go. Government has a lot of work to do in order to redress this as well as the citizens too. On the path of government, it has ordered the CBN to stop subsidizing the dollar for citizens which cost them huge amount of money. This has a negative effects which we are facing already but it is still the best thing to do. The next thing to do now is to diversify our dependent on oil to other sectors. The less we have to do with dollar, the stronger our naira becomes because the strength of dollar is as result of global economic conditions and the policies of other countries. As a citizen, the more we patronize our local made product, the stronger the Naira becomes. Both the government and citizens have role to play to make the Naira bounce back.

When the former central bank governor came up with the redesigning of the Naira notes before the general elections, it affected the flow of the old and even new currency, and the Naira became very scarce. Politicians needed money to buy votes and the naira was not available. With their connection in the central bank, these politicians began to have access to the dollars. USD that would have been used to engage in meaningful business transactions was distributed among criminal politicians. After the elections the dollars became scarce and the central bank couldn't handle the demand for the currency from businesses and individuals. This led to the the rise in price of the dollar in the black market making the value of the naira keep experiencing an uncontrollable fall.

In Nigeria minimum wage is reviewed after five to seven years. Workers will have to lobby the government and engage in several industrial actions such as protests and strikes before they will get the needed attention from the government. The average Nigerian worker is suffering and smiling this is why many professionals are migrating to other countries to seek greener pastures. And many people are also joining politics so that the can be able to steal their quota of the national treasury.

I don't know much about the Nigerian economy, but there are certain reasons and wrong economic policies that lead to such a continuous decline of the Nigerian naira against the US dollar.

I am not surprised because here in my country the same thing happens. The stupid and disgusting economic policies of the government lead to the continued deterioration of the national currency against the dollar. It has now reached 14,000 national currencies for $1 and the decline will not stop, of course.

Although, as far as I know, economic resources exist in Nigeria, I expect that the government's wrong economic policies, in addition to government corruption, are the reason.

Unfortunately, that's probably why we have a great Nigerian community on the forum, because the situation with their currency is so bad that Nigerians are looking for their way out with bitcoin, cryptocurrencies and whatever they can.


I don't know if you are referring only to Nigeria or in general, but in general it is possible to make some of the printed money disappear, this is what is known as quantitative tightening.

Once money has been printed it does not disappear from the supply, so a return to those levels is not possible, the best those living at Nigeria can expect is for things to not get any worse and the current rate to last years or decades.

But we know this is not going to happen, as when things get this bad governments instead of accepting their mistakes they decide to keep in the same direction hoping for things to magically fix themselves, and when they do not then they blame the population for not being patriotic enough to hold their local currency and allow themselves to be robbed by the inflation created by all that money that has been printed by the government.

A bleak situation for Nigerians indeed. If things presses on we might see another Zimbabwean Dollar in the making (which I hope doesn't happen) since Naira doesn't really have a good reason to rise or recover in value anytime soon. It's not like they are profiting from all the resources that they have for one (which I really hope they take action upon cause for Pete's sake it was theirs and they are pretty much letting anyone with a fat pocket take it away from them), and they are basically the e-waste central of the African Continent.

I've witnessed some of the smartest people I know of come from Nigeria, it shouldn't be hard for the government to realize how massively amazing the Nigerians are. It's sad they're throwing all of this away in favor of their personal gains.

This is so sad. And now from the last time I checked one US dollar is about 1,160 naira. This is now becoming an embarrassment and at this rate the Nigerian currency would become very worthless.

The naira has always been very bad for a very long time but this has to be it worse case as before it would have some bit of stability for a while but right now it's devaluing everyday. I think the government don't know how to tackle the situation and that's what you get from bad government

It's really sad when the government is incapable of doing their basic job, such as keeping the fiat stable. I've seen so many threads by wonderful Nigerians on this forum, threads that show that there are bright entrepreneurial minds there who are pro-Bitcoin and ready to give a boost to their economy with their ideas, but the government clearly cares little about such potential and about ensuring that people can flourish. I suppose the already popular Bitcoin is likely to get even more popular now because Bitcoin has been doing pretty well lately, and it's certainly not in free-fall.

There is another nuance here... The power in the country is not the president or the head of a military group. The country belongs to the people. And if the government to which you have entrusted management does not cope with the tasks, you have every right to demand that they leave their chairs and resign from their positions. Otherwise, they will again promise to “fix everything”, invent “the culprits”, and .. continue to steal, take out loans, which will also be stolen, and who will pay for this whole “celebration of life”? That's right - the POPULATION of the country. And as long as the population votes for populists and fabulous promises, the situation will not change, but will only get worse. Therefore, it is necessary to ask questions of the authorities, and demand either to fulfill the obligations taken or leave your post

I cannot imagine how the local currency could be reduced from 1,100 to 1,250 in one day. What would the lives of middle-class individuals be like, especially since salaries and jobs do not directly interact with the continuous decline in the local currency, and it may take a year or two before they are adjusted. Frankly, I do not have detailed information about Nigeria, but there must be an economic failure for the exchange rate to move from 150 to 1250. It is good that there is activity in the LB here.

It makes one wonder, what will be the steepest drop below N1000 to N100? Hopefully not.!
If converted to the currency in my country also feels so steep, yes the dollar is that strong, until the supply continues to be difficult to stem.
I hope the naira can move again even though it may not be measurable yet, maybe next month or next week, until it is not too much food to enter the black market according to its proper function and public channels.

Well, that is because the dollar is still used as a safe haven currency in times of crisis, and in the face of international instability it is the most sought-after currency. I don't know what period of time you are referring to but the euro has clearly been losing purchasing power against the dollar since 2008, with ups and downs obviously. But it is not accurate to say that it goes up. Regarding your local currency you see it going up, but the reality is that the purchasing power of the dollar also falls, which falls much less than your currency, and by comparison you see it going up.

This is not a good news for Nigerians in Nigeria as the level of inflation is outrageous in the country. The naira is losing its buying power on a faster lane and the effect is telling on Nigerian citizens who save in naira. It is nice to let us understand that Nigerians were deceived for more than 35 years to devalue her currency (naira) and the effect is what we are seeing now.

Nigerians are suffering high level of inflation because of the exchange rate which has increased the cost of goods coming into the country and secondly because of the increment of PMS caused by the removal of fuel subsidy.

Yes, you have rightly said that the world is facing global inflation but that of Africa (Nigeria) in particular is on a faster lane because of bad leadership and corruption.

Unfortunately the entire world is facing financial problems but Africa is having way worse problems than Europe per example. Right now , I don't see any salvation for Africa to be honest because they have too many corrupted people that really don't want anything good to happen with people from that country or with Africa in general.

I also won't be surprised if Nigerian naira will hit even lower rates by the end of the year because inflation and corruption won't go away over night.

Every currencies are highly facing inflation, 1 million dollars in 1985 is like have 30 million dollars today, even the dollar is facing the same fate but the dollar is a very valuable currency over Naira so yes people will see it as a safe haven to avoid inflation.

Nigeria is in a big mess and I don't the devaluation will ever stop, we aren't far from 1,500 to $1 anymore and with the way things are going it seems unstoppable.

The one's who are to be blame are the leaders and the people, Nigeria is filled with people who are ready to support the evil people if the evil people are the ones supporting them financially, Nigerians will do anything for money, there is no right from wrong anymore so I believe how the country as turned out to be is because of the people who can't say no to dirty money.

The leaders are playing a bigger role in the mess of a country and the people are also a part of it.

You are right, if the leaders are not honest and devoted to their motherland, then they fuck there motherland and make babies (money) sorry for such words, but we are also too exhaustive of our leaders too, they took to many loans from foreign countries, for development purposes and many other purposes, but none of them came to the finalization. This means all of them are still ongoing and also not completed. You might find 3 or 4 posts of me, on my local board, where we discussed those programs.

Well, the point is so clear here, which is, that we developing countries are being tested by these corrupt leaders, who at first make big promises and then after getting into power consider themselves up from all the law and become god.

Citizens (middle class) are the ones who are paying the prices now.

As practice shows, the biggest problem of the economy is not “the population’s reserves in dollars.” The main problem is corrupt government, theft, the principle “ours are everything, strangers are nothing”... The fact that someone has set aside 100-1000-10000 dollars for themselves is not a problem, the problem is when they steal millions, when they give lucrative contracts and resources to their companies - "gaskets", and the money will be taken out in huge sums outside the country. So “shaking the wallets of citizens” who are trying to create a “financial cushion” for themselves is not the best solution, moreover, it is ineffective. No matter how much money the population has in their hands, this money will not be enough to stabilize the economy if theft and corruption continue

Nigeria economy isn't collapsing rather it's weak because we are too dependent on dollar to do anything in the country. We don't have much dollar as reserve, infact even the government has debt to settle which are in dollars, the government need dollars to pay debts and citizens also need dollar for schools payment abroad, importation of all kinds materials and goods including refined crude oil.

What baffle me about this dollar to naira brouhaha is that the Euro to naira has been the same, it's not growing like the way dollar is going up. We need to place our priority if we want the dollar to stabilize against naira because this is not even the right time to allow dollar to increase against naira because dollar is growing against almost all the currencies in other countries as well.

Just a point here that you should note that Qatar is no doubt a source of oil, but its economy does not only depend on the oil as they have also diversified their investments, and their ways of earning money are also not based on oil products. While Nigeria, I think, totally depends on oil revenues, it does not have tourism popularity like Qatar.

The disasters of the economy not only depend on the oil imports and exports, but they also depend on the type of leader and the level of corruption happening at the governmental level. By all means, I can say that there is less corruption in Qatar and more in Nigeria.

And talking about countries in oil other than Qatar, they mostly have different policies, expenditures, and the level of security provided to foreigners either in the field of tourism or getting investments from them. When more investors come into the country, the economy grows, but bad cases do the opposite. Overall, I hope Nigeria will recover its stable economic state soon.

Unfortunately Africa is a continent that faces perpetual problems, it is mainly stymied by corruption because strong institutions and justice systems take years to build but can be crippled in a short period by greedy, self interested politics. If I recall correctly Nigeria is the most prosperous nation in Africa, which is partially attained just through having the largest population. It takes generations to turn a country around and make it more productive, but that can also be hindered by neighboring countries for different reasons. The transportation network across Africa is fragile, both by road and fragmented railways, but that can often be a precursor to creating cheap and efficient trade.

I don't see that happening anytime soon, even in the coming 5 years. I also don't also see any possibility of achieving that infect. I increased my expectations to 10 years as a challenge. We can't see this rate again even in the decay to come. One thing about this country to start with: let's keep the fundamentals that are behind the cause of this increase. When the price of something goes all up, it's hard for you to see that thing back down to where it was initially.


This is the only choice that we are left with currently because we can't even predict what the rate will be in the coming days considering the speed that it's using to climb all of the 4 hours. It has moved from $1 for N1100 to $1 for N1153, which is very annoying.
 
One thing that's given me so much concern is that if we have the knowledge and ideas of making use of foreign means of saving and conversion, which makes us a little safer from this value depreciation, what's the faith of the civil servants and the market women who are undergoing day-to-day trading and don't have such knowledge?

It is a terrible time for the low income earners. The economy will be terrible on them because a rise in exchange rate affects the cost of basic commodities in the market, almost everything is affected and some basic things start becoming unaffordable. This economic difficulty can be traced to unqualified leaders occupying and making bad financial decisions and economic policies.

An election was just conducted in the country from where new leaders have come into power. We should not be experiencing this because the new leaders ought to be showing how much better they are than the last administration, but we are witnessing the direct opposite, things are becoming tougher.

I get heartache every time I see the current exchange rate for the naira. It is a huge challenge for us Nigerians because the way the dollar is rising while the naira is falling indicates that the economy of Nigeria is collapsing. Both the government and we as the citizens must work together to ensure the success of our great country as the giant of Africa.

The economy of Nigeria is currently on a live support machine, the economy is in dire need of respiration. Exporters are finding the situation not funny as they cannot get a good return in investment after bringing in goods into the country in hard currency, because inflation is on the high side, and local retailers purchasing power is weak. Nigeria is an oil producing state, just like Qatar and other oil nations that are doing well, so why is Nigeria own different.

I was not aware of the rates of the Naira/USD pair. Well, I am amazed and shocked to see how volatile your stable currency has become. I mean, it is moving like BTC. Our local currency, Pkr/USD, is around 278, and it has decreased in the past few days because the government suddenly came to know that they should do something otherwise the economy would collapse, and they started different operations against those who were holding black money in dollars.

And they recovered $900 million from the locals and also did many other operations to stop the robbery of gas, electricity, and water. And it also helped us minimize the PKR/dollar pair rate.

Well, I mentioned these because why don't your governments take such steps where they can control the rates? Well, we also take some loans too, but I don't know anything about Nigeria's economy, so I think I should look into it. But thanks for giving a historical overview of how things are going there.

Dollar has been a free fall in the unofficial market but that's not all, it's the same even in the official market place. The difference is the official market is protected under the watch of central bank, it's the Import and export(I and I windows) market you can officially buy USD but there is challenge of getting it quickly due to protocols and rules, so the only place to get it faster is unofficial (parallel) market where the price is slightly higher than the I and E windows.

Naira and dollar relationship has been finance by the fiscal and monetary policy where the government and the central banks have to intervene to fix an official price for the dollar to a naira which has been the traditional thing over the years but there is a new government in town that don't want to do that anymore because the government is the one funding the Forex and many loans have been taken over the years just to protect dollar to naira price. They decide to put an end to it and now allow everyone to go source their dollar by themselves, it's no longer the responsibility of the government to subsidies the price of dollar to a naira.

If they have allowed naira and dollar to be traded by the forces of demand and supply, it will probably have been or more than these price but the past government didn't allow that to happen and it's now that we are feeling the negative impact. I love how the government has stopped funding of dollars because it has allow the country to be in debts, even in US, they don't subsidized dollar to other currencies, they allow demand and supply to do his thing.

Naira has always been weaker to dollar, if really they have allowed the I and E windows all this while, problems like insecurities, low production would have been seen even from our currency but the government has been protecting it.

If the current government are serious about devaluing naira, they need to equally increase security accross the north, they need to fix the roads in all the 36 states in the country so that transportation of foods can be easy, they need to support local production, encourage export so that the country will also earn more dollars. It is going to be an advantage if the country fix exportation to get more dollars and reduce importation to increase the value of their own currency.

The bad thing is that he is not the only one, and it always happens in the same way, some leaders are determined to avoid history by repeating it. At present we have Argentina and Cuba, which are very similar cases: an official exchange rate is established by the government that nobody pays attention to and it is sold for a different one that is much more expensive on the black market. But there are many historical examples of this. In the end they will end up in bankruptcy and pure dollarisation or something similar.

Pathetic is an understatement. For a country who believes in devaluing it's currency on a daily by the sore dependency on imports, what do you expect? There are so many factors behind the fall in price of the naira but the major blame goes to the dwindling reserves and dollar inflows.As it is, there'sa desperate need to find a solution and the IMF had suggested Nigeria take a dollar loan from the fund to help cushion the effects but the question is how long will they keep being in debt?
 The way I see it, for every new government that takes over, they bring in new rules and scrap the former, not minding the damage it would cause; take the decision of the president to scrap fuel subsidy for instance. His ideas are weak and careless at best. I will not be surprised if he buys the idea of taking the loan. Is this where they need Bitcoin or has he got a plan for the naira?

The naira has lost its value to the dollar within just a short period of time, and this is something that citizens should be worried about and perhaps seek a self-solution. As a matter of fact, they can save their money in Bitcoin. From my calculation, if $1 was about ₦750, then you would spend about ₦22,500,000 to purchase 1 bitcoin (that's if 1
Bitcoin was $30k+). But as of the time of writing this comment, I checked on Binance, and $1 is about ₦1,156, which means to buy one bitcoin now, you will spend ₦33,004,956. Whereas, even when the price of Bitcoin is high and the value of Nair was not this bad, you will spend less naira to buy it. I believe that before the second quarter of next year, $1 might be worth $1,500 or more, so it's better that citizens prefer to keep their money in Bitcoin; if they also want to hold Fiat, then let them hold USDT or any other fiate that will not loss value like the naira.

Sincerely speaking the rate at which surge in price take effects is somewhat questionable on where are our economy are being driven to, as a matter of fact I have been trying to comprehend the sole purpose of what has caused the sudden increase with the period of 5 months after the sworn in our president. And I really want to understand something about the whole this whole things because when our ex-president were there we are like trying to question him on how the economy is not moving fine and how we lacking of employment..

I want to know why the price keeps increasing, or could it be that we are more consumers and not a producer or what because most at times I can't find the main reason why dollars keeps pressing over Naira, with how I have seen our economy and country whatever that has inflated in price always takes time to decreased just as we do have fuel price increase since from the first day he was made President, and we have been finding it difficult to cope with whole situation and now again we are talking of increase in dollars rate this shows the low export rate from our country to other countries, if we were high in exportation of products believe me we could had a kind of balance rate whereby Naira would keep surpassing Dollars or a kind of equilibrium in price.

No offense - but not very unexpected news. The direction towards “de-dollarization of the economy”, adopted unexpectedly, and having become a victim of the populism of some countries/politicians, is highly likely to lead to such a result. Drawing BRICS and de-dollarization, and essentially into the yuanization of the economy, is the path to the global economic bottom... The Nigerian government should think about whether they are choosing the right “friends”, and what this friendship will mean for them... The main thing is not to pass the point of no return, maybe there is still time for positive changes

Right from the announcement of the removal of fuel subsidy,  I've known that the country was already heading for doom and I guess I wasn't wrong with my thought.
If there is anyone to blame, then it should be the advisers to the presidency because I'm sure someone already engineered the removal of fuel subsidy to the president and that decision was really hasty and another matter to deliberate on is the issue with cement and the government sboukd try as muchbas possible to work on fixing fuel prices as well as prices of  cement if they want a sustainable economy.

It was all a hasty decision to announce withdrawal of fuel subsidy and that is the bane of the present economy. Diesel and kerosene have had subsidy removed years ago but it didn't cause the kind of economic confusion right now.

The government is inept to understand that the economy stands on fuel , that is the effect of being truthful to oneself and not to hastily take a decision that will hugely affect the greater number of the population and not just the fuel cabals like they are targeting.

They made a mistake for not fixing the refinery so that production will be at cheap rate meaning it also comes to the market relatively cheap , but now exportation of raw crude is still going on while importing it back as fuel using the dollar. There are infact so many reasons that the Naira has been crashing from 750 in May to #1250/$ in October.

Just for a record that it is now 1250/$ as the time of writing this post and I’m not shocked because I was already expecting all of this after the election and I’m not trying to politicize any of this but let the truth be told that, the government aren’t doing the right thing and aren’t also taking the right decisions and it is at the Cavour of those who earn in dollar but I still wonder the date of the common trade as well as those who don’t earn in dollar.

The government knows the right thing to do and I always feel ashamed knowing that I’m from a country that is supposed to be the faint of Africa but already turning to a mocking stock and I pray God speedily intervenes.

Exactly the reform of having to do away with the multiple exchange rate set by the apex bank in the past and now having a unified exchange rate would have been better if at all the banks have sufficient liquidity or supply to provide dollars for everyone because we can’t deny the fact that it is the exchange currency for almost all the international transactions. If the present government wants to stop subsidizing the naira against dollar, which I agree should have been stopped long time ago, they should provide an enabling mechanism to make sure everyone gets access to it freely. If they can’t then we might have to revert back to the old reforms pending when we have the industrial infrastructure to export more as this is the only way to make it get grounds against top currencies.

The parallel market will surely continue to push the dollar up because they are seriously holding much of it than they should

It is bouncing back because price of petrol and diesel are now moving like a clock the the seconds is moving. Even made in Nigeria product are also increasing and if we complain the say dollar is rising up, to my own understanding the present administration is not doing anything about it, they are just busy talking about palliative and the people are suffering the subsidy remover, with this situation foreigner are taking over our country in time of employment because of cheap labour.

At some point there is no going back. this stage has long been passed in Nigeria. Currently, the only possible scenario is a fall to zero and the release of a new currency, initially backed by something with high interest rates - like >20%. the government must build trust in the new currency and provide the appropriate risk/reward so that people are willing to risk having it but the current currency is already doomed to death

It is not envisage to get back to the good days of #150 to a dollar or even below.

If you are suggesting hodling the dollar then you could be speculating it to keep depreciating to #2,000 per dollar and that will certainly be disastrous for the people and the economy.  

The present administration seem not to have gotten it right when they removed fuel subsidy without proper planning and creating of unified exchange rate which caused hodling of the dollar and that caused scarcity. The point is that most economy rely on dollar for transaction and when you can't create a good manufacturing sector that will help support the foreign exchange then the pressure bounces back to the economy.

The situation in Nigeria is becoming more pathetic, this is not because the country is not doing well when it comes to GDP, but because they import more than what they export. The trade balance is always deficit and the USD and other foreign currencies are being dependent upon too much for the importation of goods and services, which is what is causing the issue in the country now.

IMF reviewed the situation this week and issued a clue that the country could start borrowing US dollars to cushion the effect of scarcity. The NGN was about two times lower than the current price last year, who knows what it would become this time next year.

Can it be possible for it to ever come down to ₦150?
 
If No, then people in that country will be encourage to buy more dollars for holding so that they will take the advantages of it in the future even though it will affect their economy because things has started to rise and if naira continue to rise against dollar then that's how things will continue too.

It's a dire situation for the currency and its holders.

It has been calling for the last decade now, from as low as N150 to $1 to N450 and then N750 climbing up to N1000, but the rate of collapse has never been this rapid. It usually bounces around with periods of increase and decrease in value, but now it's a one-way traffic.

A lot has to be done on the economy to revive that and create some demand for the currency.

Nigeria's naira hit a record low of 1,100 per dollar on the black market on Wednesday, online platform abokiFX showed, a day after the currency hit a new low on the official market due to persistent dollar shortages.

The naira has been in freefall on the unofficial market, where it trades freely, which worsened after currency restrictions were lifted on the official market.source