Could this be the Cause of increase in dollar rate in Nigeria?

[Cryptodaring]

I saw a tweet that says the cause of increase in naira to dollar is caused by the dollarization of the country that the government are allowing transaction to be made in Nigeria with dollars and this caused the naira to loose value over the dollar it was said that the only legal tender in Nigeria is suppose to be naira and all the transaction should be made in naira why government con dey allow dollar to be use to pay house rent pay for pilgrims and many more why they con they allow am the economic constitution in Nigeria didn’t state that the market force will be the cause of increase in naira to dollar buh the use of naira in Nigeria and it is well known by the government and the government keep allowing the use of dollar in nigeria why.

[Charles-Tim]

That is true. You can see some companies, few international schools, embassies and many other organizations accepting dollar which is not right. But during Jonathan time, there was no problem and all these were existing at the time. The truth is the the government do not know the right way forward.

[Juicyhome]

I saw a tweet that says the cause of increase in naira to dollar is caused by the dollarization of the country that the government are allowing transaction to be made in Nigeria with dollars and this caused the naira to loose value over the dollar it was said that the only legal tender in Nigeria is suppose to be naira and all the transaction should be made in naira why government con dey allow dollar to be use to pay house rent pay for pilgrims and many more why they con they allow am the economic constitution in Nigeria didn’t state that the market force will be the cause of increase in naira to dollar buh the use of naira in Nigeria and it is well known by the government and the government keep allowing the use of dollar in nigeria why.

yeah it's one of the ways, naira lose value to dollar,  bit that has no reason for government to act so much on it, the major reason is lack of productivity,  Nigeria as a county lack low productivity in international trade, we only depend on only oil ,which is bad for country such natural resources,  the government should focus more on production, until then naira will keep Losing value to dollar.

[iBaba]

That is true. You can see some companies, few international schools, embassies and many other organizations accepting dollar which is not right. But during Jonathan time, there was no problem and all these were existing at the time. The truth is the the government do not know the right way forward.

I feel like the government does know the right way forward chief. It is just that they are also heavily engrossed in the misnomer and are not ready to address the issue because it will also affect their personal interests and the benefits that comes with it. Look at the incident of Gov Yahaya Bello of Kogi State who moved an estimated 720,000 dollars to an American school account based in Nigeria to pay for the school fees of his children  school fees in advance and when you convert this amount of money to our currency, it gives you an approximately 1 billion naira of our own currency and this is just the school fees for his wards.

First and foremost, in a country and a state that's bedeviled with abject poverty and a seemingly fluctuating economy and falling currency in the international market, pumping a whole sum of 1 billion naira to a private school for his children's school fees while serving as a governor is absolutely indicting.

Secondly, if he had converted the same amount to naira and try to make such transactions for the sake of paying school fees, it would have raised more eyebrows in the financial institutions especially if they are prudent enough to alert the economic and financial crimes institutions to investigate the matter.

This is just one state governor in one of the 36 states of Nigeria who was discovered of this scandalous transactions. How about many of our leaders out there and top government officials moving foreign funds in large quantity into institutions in Nigeria as a means of refraining from being detected over money laundering and so on. Imagine if we require them to stop the use of dollar within the domestic market, how are they able to cover these sheddy deals for cry out loud?

[Jerrycrypto2024]

Op what you read from the tweet one don't need prophet to know that situation of such can course national currency to depreciate mostly the area of buying items within a nation with another currency such as mentioned house rent and consumables it's very wrong and such can course such national currency to go extinction.that apart but one major course is not just tide to the use if dollars but how the economy and policy made by government and leaders are structure and enforce because good policy and good enforcement can change any fall in any economic system.

The productive of Nation matters most because for any economy to override a fall they must be able to stand the world system of give and take such as you produced  you sell and get new things but here we don't produce but always seeking that's why we are called consuming Nation and it's the major reason if falling of naira not Dollar usage.

[Sim_card]

I don't think that using dollar in the country is what has made the price higher because currently, Federal government have stopped the use of dollar in International airports that only Naira should be used. EFCC is also going round to monitor those businesses that is accepting dollars, but still the problem of high dollar rate is not solved. There are important things that they government needs to work on and not beating around the bush when the major problem as not being tackled. Nigeria government should focus more on production and limit the rate of corruption in the system.

[Kelward]

Many factors follow for wetin make our naira de devalue everyday, making payments with dollars inside Nigeria, instead of using naira na part of di problem. Aldo I believe say di use of dollars as payment inside Nigeria, don reduce but naira value never still de appreciate, so oda major factors still de contribute for di devaluation of naira. Di major reason wey I feel say wey make naira not to de strong be say we be consumer based economy, most  of di products wey we de use for Nigeria, na imported dem be, therefore we de enrich di economies of oda countries. If Nigeria, de export more finished products pass as we de import I believe say our naira go get more value pass as e be.

[Agbe]

Op that is correct and the following factors also contributed to the increase of dollar rate in the country. World Bank imposed/Request or asked bthe government to devalue the naira to develop the country and this has been going on from the inception of the independent government in the country and also the policies of the government concerning foreign policy are not implemented properly by the agencies but instead the agencies collect bribe and let them operate in the country they way they want. And that was what happened to Binance when it first came to the country. They collect bribe from the exchange so in 2023, Buhari government accused Binance nof illegal operation in the country but they bypass that by bribing some agencies again. The problem we have in the country is the agencies. And also the CBN too, they are not helping any matter.

[rachael9385]

I don't think that using dollar in the country is what has made the price higher because currently, Federal government have stopped the use of dollar in International airports that only Naira should be used. EFCC is also going round to monitor those businesses that is accepting dollars, but still the problem of high dollar rate is not solved. There are important things that they government needs to work on and not beating around the bush when the major problem as not being tackled. Nigeria government should focus more on production and limit the rate of corruption in the system.

You are right but permit me to say that the OP is speaking from the past not the present. The truth is if the did haven't been made the way to reduce the misdemeanor will not be there. What the OP said is true and it has made naira to lose value and dollar is always rising because of the constant use of dollar in the country. If won is not making use of what he got, the value of it will reduce and the person will no longer time or spend money on the thing again because it has no value. If that the government are fighting to make sure that naira regains it's valuable state in the country we might experience the reduction of foods price. But the main thing is that as we have used dollars over naira and we noticed how profiting it is to us it will be difficult for us to go back to naira.

[Ojinga]

I saw a tweet that says the cause of increase in naira to dollar is caused by the dollarization of the country that the government are allowing transaction to be made in Nigeria with dollars and this caused the naira to loose value over the dollar it was said that the only legal tender in Nigeria is suppose to be naira and all the transaction should be made in naira why government con dey allow dollar to be use to pay house rent pay for pilgrims and many more why they con they allow am the economic constitution in Nigeria didn’t state that the market force will be the cause of increase in naira to dollar buh the use of naira in Nigeria and it is well known by the government and the government keep allowing the use of dollar in nigeria why.

dollar is very important in Nigeria not only in this Nigeria the whole world itself, so if they don't make dollar to be regulated in the system that means our market will be only be trade in between us alone. It won't go far and no more exchanges and there will be no need of Bitcoin as well in this country so the use of dollar is very very important in Nigeria, and waiting I noticed again be say if the dollar no dey for this country our own naira no go get value in other countries. And besides the stock markets works more in dollar not in naira meanwhile the foreign products won't be imported to us again if the government tries to stop the use of dollar in this Nigeria. So dollar dey very important to our society current now.

[Awwal08]

I saw a tweet that says the cause of increase in naira to dollar is caused by the dollarization of the country that the government are allowing transaction to be made in Nigeria with dollars and this caused the naira to loose value over the dollar it was said that the only legal tender in Nigeria is suppose to be naira and all the transaction should be made in naira why government con dey allow dollar to be use to pay house rent pay for pilgrims and many more why they con they allow am the economic constitution in Nigeria didn’t state that the market force will be the cause of increase in naira to dollar buh the use of naira in Nigeria and it is well known by the government and the government keep allowing the use of dollar in nigeria why.

dollar is very important in Nigeria not only in this Nigeria the whole world itself, so if they don't make dollar to be regulated in the system that means our market will be only be trade in between us alone. It won't go far and no more exchanges and there will be no need of Bitcoin as well in this country so the use of dollar is very very important in Nigeria, and waiting I noticed again be say if the dollar no dey for this country our own naira no go get value in other countries. And besides the stock markets works more in dollar not in naira meanwhile the foreign products won't be imported to us again if the government tries to stop the use of dollar in this Nigeria. So dollar dey very important to our society current now.

Nigeria currency has devalue because they allow them to transact with dollar, Nigeria riches spend dollar more compared to naira, that is the main reason why dollar rate is increasing, but it is a good idea that the federal government has stop the idea of spending dollar currency in Nigeria so that naira should be more valuable again.