The Naira has always experienced a free fall against the dollar anytime there is a major economic challenge around the world. It’s almost unthinkable that a dollar now goes for over N200. The reason is not far-fetched; our economy is still largely dependent on oil. The story may not get better in the nearing future as crude oil reserve is being depleted and according to energy experts, it may not be readily available in the next 50 years.
While the government is trying its best to mitigate the effects of the oil price crash at the macro level, individuals also need to do same at the micro level. At your own level of personal finance, you need to protect the value of your own Naira. Here is insight about five things you can do to boost the value of your own Naira.
1. Online Business
The idea of setting up an online business may still look like a mystery to many people, but there is rarely a business that can survive now without having anything to do with the internet. This is the era of globalization of businesses and Nigerian individuals and companies should not be afraid to step into the tide. Information marketing and other form of services can be rendered online while charging in USD. Travel services, shipping, online coaching and mentoring, blogging, Google Adsense, affiliate marketing, etc. have been fetching many Nigerians hard currencies legitimately.
2. Take Your Skills Online With Freelancing
Can you write, translate, design, draw, handle telephone/email conversation, plan, be a PA or handle customer services, etc.? There are several opportunities around the world that are ready to pay you in dollars for your time and skills. Enroll in one of the freelancer groups online e.g. oDesk, Elance, guru.com, freelancers.com etc. If you do anything that can be transferred digitally then you can make some meaningful cash online in dollars. The bottom line is that you can export your skills online in exchange for dollars through freelancing.
3. Export Some Commodities On Demand
Nigeria still has some exportable products such as cocoa, cashew nut, yam flour, Shea butter, honey, herbs, charcoal, palm oil, iron ore/metals, precious stones, aluminium, fertilizer/urea, petrochemicals and methanol. All you just need to do is to find the producers of these commodities and find a market for it abroad. It won’t be that easy, but the reward will surely worth it.
4. Invest In External Stocks
Some stock markets abroad are more predictable and reliable than the Nigerian stock market. Investing in such markets would at least save your money from depreciating any time the naira falls against the dollar and the profits accrued to such stocks would mean more in Naira. Some of the foreign markets include NYSE, NASDAQ, FTSE etc.
5. Save More Money In A Domiciliary Account
Converting and saving your Naira into dollars can also help in protecting the value of your own Naira. Anytime you have some big cash you’re not likely going to be spending soon, you can convert it to USD and save in a domiciliary account. Opening a domiciliary account in any of the Nigerian banks is pretty simple. Once you have the requirements for opening a current account, having a domiciliary account will not be difficult. You will have more Naira to spend in the case of a Naira fall when you convert your dollars back to Naira.