Can Nigeria print money to solve its problems?
Money bills. Source: Mufid Majnun via Unsplash

“Why can’t countries just print more money?”

It’s a question that many have asked me. Even in school, students in introductory economics classes seized the opportunity to finally get an answer from their professors.

The response can be both complicated and simple; it depends on who you ask. For me, a story always helps.

The first World War was quite costly for the Germans. They had borrowed huge sums of money, banking that a victory would help them repay their debts. They lost the war, and to add insult to injury, they were fined $270 billion (in today’s value) for causing the war in the first place. 

The German economy was a wreck. And to try and finance their debts and pay wages, the government decided to print money. However, the more mark notes (Germany’s currency) they threw into the system, the more worthless the currency became. Individuals now had

This story is only available to Premium subscribers Subscribe or sign in to finish reading

Not ready to subscribe? Register to read a selection of free stories

Tokunbo Afikuyomi, Jr.

Tokunbo Afikuyomi, Jr.

Read Latest

What is Nigeria’s best chance at high economic growth?

PREMIUM - 05 OCT 2022

How do mini-grids provide electricity in cities?

PREMIUM - 04 OCT 2022

Pound getting pounded: What can Nigeria learn from the UK?

PREMIUM - 30 SEP 2022

Why Nigeria's population should matter to its next President

PREMIUM - 29 SEP 2022

Download our mobile app for a more immersive reading experience

Scan QR code
mobile download