ACCI President Urges FG to Fast-Track Currency Swap Mechanism to Ease Trade with China

James Emejo in Abuja

The President of the Abuja Chamber of Commerce and Industry (ACCI), Chief Emeka Obegolu, yesterday called on the federal government to fast-track the full implementation and expansion of the Nigeria–China currency swap agreement.

Obegolu said the strategic move will enhance the ease of doing business with China.

He also said that the current swap agreement, which was recently renewed at N3.28 trillion (15 billion Yuan), remained inadequate in comparison to the growing trade volume between Nigeria and China.

The ACCI president made the 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.

In a statement issued by ACCI Media and Strategy Officer, Olayemi John-Mensah, the ACCI president said, “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.”

Obegolu, who is the leader of the Organised Private Sector (OPS) in the Federal Capital Territory (FCT) and its environs,  further described the Nigeria–China currency swap agreement as a commendable initiative that remains significantly underutilised, currently accounting for less than 10 per cent 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.

He said, “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.”

To scale up the initiative and make it more beneficial, Obegolu recommended the 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, and comprehensive trader education and awareness on the use and benefits of the swap mechanism.

He said, “If effectively implemented, the currency swap programme will lower transaction costs, reduce reliance on third-party currencies like the U.S. Dollar, and protect Nigerian businesses from avoidable risks.

“It is time for deliberate policy action to institutionalise this framework as a mainstream channel for international trade.”

He 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.

He however, 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 remained actively engaged in strategic partnerships with Chinese institutions to promote investment, capacity building, and business matchmaking opportunities for Nigerian entrepreneurs.