MARAN to examine Nigeria-China currency swap deal in maritime sector

By: Joy Enamuna

As part of its commitment to shaping industry discourse and analyzing key government policies affecting the maritime sector, the Maritime Reporters’ Association of Nigeria (MARAN) is set to focus on the Nigeria-China Currency Swap agreement.

Themed “Navigating the Nigeria-People’s Republic of China Currency Swap: Opportunities and Challenges for Import, Export, and Maritime Business,” the event will take place at Rockview Hotel, Lagos, on April 15, 2025.

The currency swap deal is designed to facilitate trade by ensuring naira liquidity for Chinese businesses and yuan liquidity for Nigerian businesses, thereby reducing reliance on the U.S. dollar for transactions.

Bringing together key stakeholders from the import-export sector, policymakers, and government agencies, the event will assess how this agreement impacts maritime trade amid fluctuations in the dollar and its effect on imports.

MARAN President, Godfrey Bivbere, emphasized the need for a thorough review of the policy, citing China’s status as Nigeria’s largest import partner and the economic strain caused by dollar volatility.

“Nigeria and the People’s Republic of China recently renewed their currency swap agreement worth 15 billion yuan ($2 billion), allowing direct exchange between the Chinese yuan and Nigerian naira without involving the U.S. dollar. This landmark deal is expected to strengthen bilateral trade, lower transaction costs, and enhance economic cooperation,” he stated.

Discussions at the event will explore the implications of the swap deal, its impact on transaction costs, trade volumes, and how it shapes the operations of importers, exporters, and maritime businesses.

Participants will include representatives from the Central Bank of Nigeria (CBN), the Nigeria-China Strategic Partnership (NCSP), the Chinese Embassy, the Ministry of Finance, importers, exporters, maritime operators, economists, financial institutions, and trade organizations.

Bivbere added that the forum aims to enhance understanding of the agreement’s benefits and challenges while offering insights into how stakeholders can navigate shifts in trade and maritime operations.

“Nigeria must adopt innovative strategies to stabilize its economy and reduce dependency on the U.S. dollar for global trade. Strengthening currency swap agreements with major economies is a key approach,” he remarked.

The event is also expected to identify risks and opportunities linked to China’s growing economic influence in Nigeria, providing actionable recommendations for stakeholders to adapt to evolving trade dynamics and foster economic growth.

Over the years, MARAN has played a pivotal role in spotlighting critical maritime issues, drawing participation from prominent Nigerians at its events.