ACCI President Urges Nigerian Government to Fast-Track Currency Swap Mechanism to Facilitate Ease of Trade with China May 8, 2025.
The President of the Abuja Chamber of Commerce and Industry (ACCI), Chief Emeka Obegolu, SAN, PhD, has called on the Nigerian Government to take urgent and strategic steps to enhance the ease of doing business with China.
He particularly emphasised the need to fast-track the full implementation and expansion of the Nigeria–China currency swap agreement. Chief Obegolu, SAN, PhD, made this call during a courtesy visit to the Nigerian Embassy in Beijing, China, where he expressed deep concern over the growing difficulties Nigerian businesses face in transacting with Chinese partners, especially around currency exchange and international payments.
“We have received numerous reports of Nigerian entrepreneurs losing substantial amounts of money while trying to transfer legitimate business funds to China due to informal and risky currency exchange mechanisms.
Some have become victims of outright fraud. This undermines trust, trade integrity, and the sustainability of our commercial relationship with China,” he said.
As the leader of the Organised Private Sector (OPS) in the Federal Capital Territory, Abuja Nigeria and its environs, Chief Obegolu, SAN, PhD, described the Nigeria–China currency swap agreement as a commendable initiative that remains significantly underutilised, currently accounting for less than 10% of annual bilateral trade.
He urged both the Nigerian and Chinese governments to revisit the operational framework of the agreement to expand its scope, enhance its efficiency, and ensure better access to the facility for Nigerian businesses. “The recent renewal of the swap deal is encouraging, but more is required.
We must scale up the value and duration of the swap, digitise the exchange process, and empower commercial banks to facilitate direct Naira–Yuan transactions. Doing so will reduce our dependence on the U.S. Dollar and make trade between our countries faster, safer, and more predictable for our business community.”
The current swap agreement, recently renewed at a value of ₦3.28 trillion (15 billion Yuan), remains inadequate in comparison to the growing trade volume between Nigeria and China. To scale up the initiative and make it more beneficial, Chief Obegolu recommended the following actions:
- Expansion of the value and tenure of the swap agreement • Active participation of commercial banks in Yuan–Naira transactions
- Digitisation of interbank exchange platforms in collaboration with Chinese banks
- Comprehensive trader education and awareness on the use and benefits of the swap mechanism “If effectively implemented, the currency swap program will lower transaction costs, reduce reliance on third-party currencies like the U.S. Dollar, and protect Nigerian businesses from avoidable risks,” he noted.
“It is time for deliberate policy action to institutionalise this framework as a mainstream channel for international trade.”
Chief Obegolu also appealed to the Nigerian Embassy in China to intensify efforts in facilitating strategic connections between Nigerian and Chinese businesses and to continue supporting advocacy aimed at easing trade constraints.
While acknowledging the broader gains of Nigeria–China cooperation in sectors such as infrastructure, telecommunications, agriculture, and energy, he stressed the need for a financial architecture that supports smooth trade settlement as a core pillar of the partnership.
He called for stronger collaboration between diplomatic missions, financial regulators, and private sector institutions to develop seamless interbank exchange systems and promote awareness of the advantages of local currency trade settlements.
Chief Obegolu, SAN, PhD, reaffirmed ACCI’s commitment to supporting government policies that drive economic diversification, strengthen international trade, and protect Nigerian enterprises abroad.
He added that the Chamber remains actively engaged in strategic partnerships with Chinese institutions to promote investment, capacity building, and business matchmaking opportunities for Nigerian entrepreneurs.
During the visit, Chief Obegolu was accompanied by Mr. Tony Ejinkeonye, a former President of ACCI, and expressed appreciation to Ambassador Babagana Wakil and the Embassy staff for their continued support to Nigerian institutions and businesses in China.
Olayemi John-Mensah ACCI Media & Strategy Officer.
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