Dubai Currency vs Naira: A Comprehensive Comparison
Dubai and Nigeria are two countries with vastly different economies and currencies. Dubai is known for its luxurious lifestyle and a booming economy, while Nigeria is a developing nation with a relatively weaker currency. In this article, we’ll compare the two currencies, the Dubai Dirham (AED) and Nigerian Naira (NGN), to see how they stack up against each other.
Dubai Dirham (AED)
The Dubai Dirham (AED) is the official currency of the United Arab Emirates (UAE). The UAE is known for its oil reserves, which have played a significant role in its rapid economic growth over the years. The AED has been pegged to the US dollar since 1997, which means that its value is directly tied to that of the dollar.
Value of AED
As of August 2021, one US dollar is equivalent to 3.67 AED. This means that if you were to convert $1000 into AED, you would receive approximately 3670 AED.
Nigerian Naira (NGN)
The Nigerian Naira (NGN) is the official currency of Nigeria. Nigeria is Africa’s largest oil producer but has struggled with economic instability over the years due to corruption and political instability.
Value of NGN
As of August 2021, one US dollar is equivalent to approximately 411 NGN. This means that if you were to convert $1000 into NGN, you would receive approximately 411000 NGN.
Comparison
When it comes to comparing the two currencies, it’s evident that the Dubai Dirham holds more value than the Nigerian Naira. The exchange rate between USD and AED sits at 3.67, while the exchange rate between USD and NGN is around 411. This means that for every dollar you spend in Dubai, you will receive more AED than you would in Nigeria.
Impact on Tourism
Dubai’s higher currency value makes it more attractive to tourists who are looking for a luxurious experience. The city has invested heavily in tourism infrastructure, including high-end hotels, resorts, and attractions. In contrast, Nigeria struggles to attract tourists due to its economic instability and political unrest.
Impact on Business
Dubai’s higher currency value also makes it an attractive destination for businesses looking to invest or expand into the Middle East. The UAE has a business-friendly environment with minimal taxes and regulations, making it an ideal location for foreign businesses. In comparison, Nigeria’s economic instability and corruption make it a challenging place to do business.
- Conclusion:
In conclusion, the Dubai Dirham is indeed higher than the Nigerian Naira when it comes to value. However, this does not necessarily mean that one country is better than the other.
Both Dubai and Nigeria have their unique strengths and challenges when it comes to their economies and currencies. As a tourist or business person looking to invest or travel, it’s essential to consider all factors before making any decisions.