NIGERIA and the People’s Republic of China have expressed their commitment towards encouraging flexible and diverse regional monetary and financial cooperation such as local currency swaps, to facilitate trade between the two countries and make contributions to global financial stability.
This was contained in the joint statement between China and Nigeria on establishing being part of the broad consensus reached by the two sides during President Tinubu’s official visit to China.
The Central Bank of Nigeria, CBN, had in 2018 signed a bilateral currency swap agreement with the People’s Bank of China, PBoC, worth about $2.4 billion but the implementation had been fraught with challenges due to trade imbalances between both countries.
The two countries also agreed to carry out international cooperation on financial intelligence on anti-monetary laundering/countering the financing of terrorism (AML/CFT) and support Nigeria’s efforts to safeguard the order of its financial and foreign exchange markets and to crack down on financial crimes, including money laundering.
In the signing of a series of partnership agreements and Memorandum of Understandings, MoUs, the two sides further supported the establishment of more friendly relations between Chinese and Nigerian provinces/states and municipalities to expand and deepen cooperation at the sub-national level.
They committed to stepping up the protection of lawful rights and interests of each other’s citizens on their territories and to creating a favourable business environment for each other’s companies.
As China welcomed Nigeria to expand trade between the two countries, the two sides agreed to make joint efforts to fully support Nigeria’s geographical and development advantage in West Africa to establish Africa’s flagship projects on cross-national and cross-regional cooperation.
President Tinubu is in China at the invitation of President Xi Jinping for a State Visit and to attend the Beijing Summit of the Forum on China-Africa Cooperation (FOCAC).
In their discussion, the two presidents agreed that both countries stood at a new historical starting point as significant representatives of major developing countries and emerging economies, noting that their strengthened strategic cooperation would propel a new dynamic for China-Africa relations in the new era and lead the Global South to march together.
