Ojonugwa Julius Akubo's Blog

Most underdeveloped and developing countries of the world depend on external sources like loans from the IMF, world bank and other financial institutions for the efficient financing of their budgets. This dependence accumulate to become what is known as debt.Debt is that part of a nations finance that was acquired from external sources based on stated agreements. The degree of dependency on foreign support however differs if it were to be measured across the various developing countries. That is to say some countries are more dependent on foreign support than others. This support comes in form of either grants or loans for running their domestic expenses such as infrastructural development, job creations and even for the payment of salaries amongst other reasons. Of cause the fact that so many countries for genuine reasons may need to rely on foreign support is not the quagmire in this work. The problem is rather a question as to what eventually becomes the effect of the debt on the e

Could this be true?: http://youtu.be/L922_Qib9jM

Geographically people are located at different locations of the world hence the existence of various distinguishing mediums such as currencies, dressings, cultures and even business activities. Over the years the increasing insatiabile human needs accompanied by geographical limitations has brought about the need for some form of 'inter-trade"amongst this various geographic locations. For effective trade to exist therefore, there was need for an exchange rate to ensure equality in the transactions. What is Exchange rate? ' Exchange Rate ' is the price of a nation's currency in terms of another currency. It is the equilvalence or worth of a nations currency when compared to another country's currency. This means that exchange rate has two components, the domestic currency and a foreign currency. It can be quoted either directly or indirectly. Devaluation and Depreciation of Exchange rate A devaluation is when a country deliberately decides to lower its exc