As there are incessant cases of external and internal economic factors affecting nigerian trade and market space, how does their families cope and their quality of life? Reason for this vital question is simple because their income, spending, saving, investment and overall financial wellbeing have been directly affected. Truly, these factors have influences their lives, views and ways of managing their money in their home as they are strong forces upon their economy which result to several uncertainties in the land.
Current Economic Trend in Nigeria economy.
These are economic factors which influence on the market space are really affecting Nigerians. Their suffering, cries and pains are much now. Lets explore some of them.
INFLATION.
Its common in the economy as the value and purchasing power of the local currency become very low and cheap to the extent that they can't actually get what they used to purchase before. In Nigeria, the prices fluctuation is very high and this new inflation rate as compared in the year, 1980's have increased more than 80% and keep increasing. For instance Where a price of cement of 50kg bag sold at 3 naria, cost as higher as 5,000 naria( $ 6 USD) now. This is how all other prices of goods and services have increased thereby having serious impact on families' income negatively.
The income level of their home is very poor and low. The minimum salary of 30,000 naria ($ 36 USD) monthly was pegged where many private and public sectors still pay below which affect the income of the people and reduced their income in the face of high rate of inflation in the market. Many market ventures and companies move away from Nigeria as the economic downturn which affects the earning of the home which lead to reduced demands and spending.
The rising prices of goods and services in Nigeria have affect negatively on the families earnings and income. As these families will find it difficult to afford basic necessities. The import goods on which her economy is built upon as the financial authorities are rising as they keep devaluing of their currencies thereby causing the fluctuations in prices of Naria against other currencies on which import, export, and overall economic well being.
GOVERNMENTAL POLICIES AND APPROACHES
With their change and adoption of new monetary policies aimed at fiscal relief or financial security can affect the homes and financial conditions. The policies might sound right with clear objectives but their approach will be very wrong and create opportunities for greedy merchant will utilize them to inflict serious financial pains on others.
As the new government under president Tinabu whose election that produced him are still been challenging in court for massive rigging, election malpractices and questionable character, make announcement of the end of fuel subsidy which have marked his regime. Fuel subsidy have been in years. The reason is simple to reduce the cost of fuel as the major source of energy in Nigeria. Its removal help the administration to save more money but how does the homes of majority of people feel? There will be social unrest as there are demonstration where the worker as for their salaries been increased. Transportation costs which served as the basis why the prices of good and services have increased sharply thereby causing grieving pain on several homes.
Former President Buhari attempted to change the banknotes into newly printed fiat currencies within a month. How does the people take it? They were not happy. Even as they encourage digital banking services but many of them does not even have bank account and hate digital Transactions. This policy is very good but their approaches are wrong, leading the even more financial challenges.
MIGRATION AND URBANIZATION
To seek for better living, Nigeria moves from the area of residence to another place which have affected several homes. Unemployment, political instabilities, poor income earning, better quality of life etc are top reasons why Nigerian moves in large number to other countries. Hardly, you can't see any Nigerian in every region of the world as they work hard to earn money and remit it for the dependants upkeep and building of facilities.
The kind of movement that Nigeria indulge for better life are in two types. Firstly, Rural to urban centres, in the rural areas where primary activities like farming, lumbering, rearing of animal which serves as food and raw material for our industries are left for cities where they look for better job. This kind of movement have great negative on food production and security as their agricultural produces are not enough for nigerian or to be exported. Secondly, Migration to other countries of the world. Many uneducated nigerians engage in perilous and dangerous journey across the desert and sea for better life thereby reducing our labour force and enriching the other countries. It cause brain drain as our professional, technocrats, bankers etc are leaving for countries for better life.
CONCLUSION
these economic trends are affected every nigerian homes as they keep struggling to be comfort and manage their finance. These factors are economic in nature and targets the trade and market space causing their prices to change abruptly and higher beyond the income earning of many homes.