Currency Swap will reduce reliance on dollars – Economist

A former Director-General of West African Institute for Financial and Economic Management, WAIFEM Prof. Akpan Ekpo has urged the CBN to take the currency swap agreement with the Peoples Bank of China on board, to reduce reliance on dollars for trade.

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

“So Nigerians who are 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.

He urged the Federal government to revisit the currency Swap agreement which both countries signed few years back, especially in the face of growing exchange rates.

“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.

“If you look at the global trend, emerging markets by the BRICS are trying to trade with bilateral currency to downplay the importance of dollar, euro or pound because these currencies are not theirs and they can’t print them.

“So, if we can now implement the Chinese Yuan-Naira swap, it will be very helpful for business trade.’’