Nigerians Can Feed With N500 Daily – Fmr CIBN President
Professor Segun Ajibola, former President of the Chartered Institute of Bankers of Nigeria (CIBN), has stated that an average Nigerian can still feed with N500 daily, insisting that the naira is still strong within the Nigerian economy despite recent slide in the value of the currency.
Ajibola revealed this on Wednesday, September 22, during an interview with Nigeria Nigerian Television Authority (NTA), revealing that there is a disconnect between what the real value of naira commands in Nigeria and outside.
He said, “The national currency is a reflection of the state of any economy. It encapsulates the strengths and the weaknesses of that economy.
“Over the years, we have seen a slide in the value of our national currency. In the 70s and 80s, almost 2$/ N1, today we are talking of over N500 (per dollar).
“Our naira is still very strong locally. With N500, an average Nigerian can still feed himself or herself today but when we look at N500 in terms of a dollar or a pound sterling equivalent, you can’t do anything with one pound on the street of London, you cannot buy anything meaningful with one dollar on the street of New York.
“Therefore, there is a disconnect between what the real value of our naira commands in Nigeria vis-a-vis outside.
“In economic parlance, we talk about purchasing power parity, what is the real value of the currency compared with the value of currencies outside that jurisdiction?
“We discover that our local currency as naira is still in a position to command some value within the country but outside the country, we have a problem.”
This post was written by Omon Okhuevbie and was first published at independent.ng