Former West African Institute for Financial and Economic Management Director General and prominent economist Prof. Akpa Ekpo has urged the federal government to implement the currency swap agreement with the People’s Bank of China to reduce reliance on the U.S. dollar.
On Saturday, when discussing the country’s current foreign exchange dilemma, which has been traced back to an over reliance on the US dollar, Ekpo issued the above call.
According to him, the current state of the foreign exchange market necessitates carrying out the currency swap deal with China.
To avoid putting all of our eggs in one basket, now is the moment to undertake the currency swap between Nigeria and China.
To ease the burden on the U.S. dollar and the Euro, it would be best if Nigerians conducting business with China did it in Naira or another Chinese currency.
Now is the time to treat the agreement signed by the Federal Government seriously; previously, this was a one-and-done deal about which no one had any idea.
The currency swap agreement between Nigeria and China began in 2018 and will last for three years. It was extended in 2021 with the hope of bolstering the Naira through trade with China and decreasing dependency on the U.S. dollar.