08/04/2024
*ITS TIME TO REDENOMINATE THE NAIRA*
There is a demand today on the African continent for the establishment of an African common currency.
Zimbabwe, after many years of popping up their Zim dollar are now trying to setup a new currency - The Zig.
The East African block, consisting of Kenya, Rwanda, Tanzania, CAR, South Sudan and Uganda are also on the brink of introducing a new common currency - The Shilling
In West Africa, countries like Niger, Bourkina Faso, Guinea and now Senegal are trying to walk away from French and CFA francs; and are looking to create their own individual currencies.
So there is a widespread need over the entire African continent for an acceptable currency for Black Africa and i think Nigeria should take the lead in creating a currency that will serve Africa South of Sahara, that is, excluding the North African countries.
The Naira is currently not where it should be. But, the current government is highly productive and has already created a path to the success of the Naira. The real value of the naira is around 750 Naira to the dollar and iam confident that before the end of May, the naira will arrive at that value, right now its revolving around 1200 to the dollar.
The naira needs to be REDENOMINATED.
Simply what this means is that we need to REVALUE the naira by squeezing it, to make it harder. Today i doubt if anyone spends coins in Nigeria, there are no coins because all the coins are valuless, we need to make them all valuable, we need to strenghten the Naira. How?
We need to remove three zeros from the current naira so that the current denominations will be redenominated as follows.
₦1000 becomes 1 naira
₦500 becomes 0.50 kobo
₦200 becomes 0.20 kobo
₦100 becomes 0.10 kobo
₦50 becomes 0.05 kobo
₦10 becomes 0.01 kobo
All the above will be in coins, that is, the new One naira down to one kobo will all be coins.
We can then make New Naira Notes to cover
5 new naira = current 5000 naira
10 new naira = current 10,000 naira
50 new naira = current 50,000 naira
100 new naira = current 100,000 naira.
To be acceptable to all Black African countries, we can call the new currency a Universal name that is acceptable to all countries. I suggest we call it POINTS AND PERCENTS, and we can use the ash key on the computer ( #) to represent the new system, so that
#5 (5 points) = ₦5000 naira
#10 (10 points) = ₦10,000 naira
#50 (50 points) = ₦50,000 naira
#100 (100 points) = ₦100,000 naira.
and for the coins
₦1000 = #1.00 (one point)
₦500 = 0.50 percent (p)
₦200 = 0.20p
₦100 = 0.10p
₦50 = 0.05p
₦10 = 0.01p
So when we our Naira eventually get to its real value of ₦750 to a USD, the equivalent to the points system will be:
#0.75 = $1
What this means then is that if you have ₦1,000,000 in your bank account, that will become #1000, which is equivalent to $1300.
₦1b will be and equivalent to $1.3m
So we will actually print less money because our currency in circulation of about ₦3t, will become notes to be printed.
Our national budgets will stop reading empty trillions but become powerful billions and empty billions will become powerful millions but they will have more power.
Other African countries will also convert to the new currency according to the conversion rate agreed upon, and Nigeria should take the lead now.
Deji Olaiya
