How the Naira devaluation is affecting the price of phones

In recent times the value of the Nigerian Naira against the Dollar has depreciated considerably. According to TradingEcomomics, as at December 2014 the Naira stood at N185.65 against the Dollar, while the value (as at 24th of December 2015) has risen to to N199.05.

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In real life scenarios, when you visit banks or black market sellers, you may end up getting rates ranging from N230 to N270. How does this affect the price of phones?

Generally these higher rates affects (increases) cost of importation. A phone you bought for say N20,000 in January may rise up to N25,000 now. There are many instances to name a few, and this cuts across a wide range of products – not just phones.

Look at the recently launched Gionee P5w. From the specs (HERE), it’s safe to place the cost price between N13,000 – N16,000. But then, comments from buyers on Nairaland claim the phone actually costs N19,000. You see. We might also argue that the N70,00 price tag placed on the TECNO Phantom 5 was partly due to the nature of our Dollar exchange rate. I may or may not be right.

We can only hope and pray, the situation gets better as we approach the new year. It’s also interesting to note this : In September 1980, the Nigerian Naira hit a record low of N0.53. Good old days!!

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3 comments

  1. Sure. Its painfully affecting everyone
    .
    I ordered a Samsung Ativ Book T for someone in October @ 62,500

    Now that Im planning to get mine, Jumia is saying #74,500.
    Pretty frustrating

  2. The situation ain’t funny at all,some older generation devices are all increasing in prices instead of coming down,one can’t even bank on cheaper former Flagships anymore..

  3. Was planning on ordering oukitel K6000. On making enquiries I discovered banks are now charging BTW #256 to #260 per dollar. How do these rates differ from that of the parallel market I ask? For now and the foreseeable future, no new phone.

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