Nigeria and China have renewed their bilateral currency swap agreement, extending the deal for another three years. The agreement, first signed in 2018, aims to boost trade and investment between the two nations by reducing dependence on third currencies like the US dollar.
The People’s Bank of China confirmed that the agreement’s total value stands at 15 billion yuan (approximately $2.09 billion or ₦3.28 trillion). This renewal is expected to deepen financial cooperation, encourage the use of both currencies, and ease trade and investment processes for businesses in both countries.
The swap deal was initially negotiated to provide local currency liquidity for Nigerian and Chinese businesses, reducing transaction challenges. The extension highlights both nations’ commitment to strengthening economic ties and promoting financial stability.