For many Nigerians, the term "naira devaluation" sounds like an economic concept discussed only by politicians, bankers, and financial experts. However, the effects of a weaker naira are felt every day by ordinary citizens struggling to survive in an increasingly expensive economy. Naira devaluation occurs when the value of Nigeria's currency falls compared to foreign currencies such as the US dollar, British pound, or euro. While governments sometimes allow devaluation to attract foreign investment and improve exports, the immediate consequences are often painful for the average Nigerian. Rising Cost of Living One of the most visible effects of naira devaluation is the sharp increase in the prices of goods and services. Nigeria relies heavily on imported products, including fuel, medicine, machinery, electronics, and even some food items. When the naira loses value, importers spend more naira to buy the same products abroad, and these extra costs are passed on to consumers. As a result, families find themselves paying more for food, transportation, healthcare, rent, and education. What could comfortably feed a household a few years ago may no longer be enough to cover basic needs today. Shrinking Purchasing Power The average worker's salary often remains the same while prices continue to rise. This means that the money earned each month buys fewer goods and services than before.
