Take currency swap with China seriously, reduces reliance on Dollar- Economist tells FG

An economist and the former Director General of the West African Institute for Financial and Economic Management, Prof Akpa Ekpo, has urged the federal government to take seriously the implementation of the currency swap agreement with the Peoples Bank of China to trim down reliance on dollars for trade.

Ekpo made the call on Saturday while speaking on the country’s foreign exchange crisis caused by the over-reliance on Dollar for international trade.

He said the current situation in the forex market makes implementing the currency swap agreement with China necessary.

“This is the time to implement the Nigeria-China currency swap so we don’t put all our eggs in one basket.

“So Nigerians dealing with China should deal with Chinese currency or with Naira, not with Dollar or euro; that will reduce the pressure on Dollar or pound.

“This is the time to take it very seriously; the Federal Government signed the agreement, it was done briefly then we didn’t know what happened again.

Nigeria and China currency swap agreement is a three-year trade deal started in 2018. It was renewed in 2021, aimed at reducing reliance on the Dollar by importing from China to strengthen the Naira.