After two years of painstaking negotiations, the Central Bank of Nigeria has finally signed the execution of a bilateral currency swap agreement with the People’s Bank of China. The development was confirmed on Thursday in Abuja by the Acting Director, Corporate Communications, CBN, Mr Isaac Okorafor.
He said that the Governor of CBN, Mr Godwin Emefiele, led officials of the CBN, while the PBC Governor, Dr Yi Gang led the Chinese team to the official signing ceremony which was held in Beijing, China. The transaction, which is valued at Renminbi 16 billion, or the equivalent of about $2.5bn, is aimed at providing adequate local currency liquidity to Nigerian and Chinese industrialists and other businesses.
This, according to him, would reduce the difficulties encountered in the search for third currencies in the execution of business transactions between Nigerian and Chinese industrialists.