The prices of food items and other commodities in Nigeria today have skyrocketed due to the insecurity in the country, border closures, and the impact of the Covid-19 pandemic. Inflation in the country recently reached 17.33%, driven by the impact of the pandemic that has also induced a drop in oil price, which is Nigeria’s main export, and also a weakened currency. To overcome these situations people in Nigeria should earn in dollars and save money smartly.
Families and individuals who before now find it hard to survive are in an even worst situation now. In fact, these families and individuals find it hard to eat once a day, not to talk about eating three times. With the way things are going in the country, one can predict that the inflation pressure will remain high even in the coming months.
How can the average Nigerian survive despite the harsh economic realities of the country? There aren’t many solutions that come to mind; the rising inflation rate affects you so far as you live and spend here in Nigeria. However, earning in Dollars can be a hedging tool for you against the rising inflation rate.
When you earn in Dollars as a Nigerian, you’ll feel the devaluating effect of inflation less as compared to someone who earns and spends solely in Naira. In recent years, there has been a need for Nigerians to earn in foreign currency like the U.S Dollars (which is the world’s strongest currency), but this need has become even greater today.
The high inflation rate and the frequent devaluation of the Naira have made the need to earn in Dollars even more urgent. If you reside in Nigeria, you just must find a means of earning in Dollars. It will give you a hedge against inflation. Also, earning in Dollars will help you avoid poverty.
We’ve already mentioned that earning in Dollars as a Nigerian will give you a hedge against inflation. It’s a strategy that will help you move from lack to plenty. Besides the already mentioned benefits of you earning in Dollars as Nigerian, other reasons why you need to position yourself to earn in Dollars include:
The U.S Dollars is substantially higher than the Naira. As of the time of writing this piece, $1 equates to 381 Naira. This rate is the official CBN (Central Bank of Nigeria) rate. In Black Market, 1 USD is been converted at N485.
Imagine you earn 1,000 Dollars for a service you rendered to a client in the US; this amounts to a whopping 381,000 Naira when converted using the CBN rate and 485,000 Naira when converted using the Black Market rate.
The amount you earned after converting the Dollars to Naira is something only a few people earn. Although you’ll still feel the impact of the high rate of inflation when you spend this money in Nigeria, it is still a better situation to be in than when you earn and spend in Naira.
The harsh reality is that only a few employers in the country can even pay their workers 381,000 Naira per month. So, it is better for you to earn in Dollars. It can move you from poverty to riches.
The Dollars is a strong currency that hardly loses its value. No matter the volatility in the market, it will always be higher than the Naira. The Naira is an unstable currency; it keeps depreciating due to the unstable economy of the nation.
When you earn in Dollars as a Nigerian, you can expect the value of your earnings to be worth higher within a short period. This means that if you decide to keep the Dollar amount earned, you’ll have it at a higher amount later in the future when converted to Naira.
The stability in the value of the Dollar and the constant devaluation of the Naira is another reason why you need to position yourself to earn in Dollars.
The Dollars is a strong and stable currency that is excellent for savings and investing. When you save in Dollars, the value of the money you save is less likely to depreciate. In fact, it will appreciate.
When you earn and save in Naira, the value of your money will depreciate with time. The Naira is easily affected by market fluctuations. And with the current state of the nation, it looks likely to continue to lose its value. A truly wise investment for any Nigerian will be to earn and save in Dollars.
Earning in Dollars will help you build wealth faster as a Nigerian. It will help you achieve your financial goals faster. When you earn in Dollars, you can achieve your money goals faster, due to its high value. Each time you convert your Dollar earnings, you’ll have more funds in Naira.
The harsh economic realities of Nigeria at present, evident in the high rate of inflation. This has left many Nigerians struggling to survive. Options on a possible way out of this dreadful situation are limited for individuals and families who find it difficult to survive. However, by earning in Dollars, these families and individuals will have a hedge against inflation.
Every Nigerian should find means of earning in dollars. Thanks to the global nature of the world today, earning in Dollars from Nigeria is not as difficult. Right from your home in Nigeria, you can render services and get paid in Dollars.
