In Nigeria we have a saying,’Drinking panadol for another person’s headache. That is what came to mind when I read on Reuters that the US says it will press Nigeria this week to devalue the Naira. I was like, ‘Has Nigeria become the 51st state of the United States?’
There must be something for them to gain for them to be pushing us like this. Our president Muhammadu Buhari has said he will not devalue, and CBN Governor Emefiele is with him on that. So, what is happening?
Don’t get me wrong,the US has a wide reach when it comes to knowledge on how to run an economy – that is why it is currently the world’s richest economy, but she should not force-feed us something that we as an independent nation have rejected for now.How do we know it is not something we are allergic to, to put it mildly.
The danger with uncontrolled devaluation is that your assets become so cheap that international business can come buy up your devalued industries on the cheap, and who wants Nigeria to face what happened to Russia in the early 1990s, when her biggest industries were sold on the cheap to a few people?
Already, the fallen Naira has made living harder of Nigerians as even the most basic commodities have become super expensive. When the US sends her Assistant Secretay of State to ppressureus, let us , like Obasanjo would do, listen as they advice, but let us remember that we are an independent cuntry, and so the final decision is ours, and for now, we choose not to devalue. Haba.
Read more about the US saying it will pressure Nigeria to devalue: U.S. to press Nigeria on foreign exchange rate flexibility | Reuters