Lagos, September 2, 2025 – Foreign exchange dealers in Nigeria have revealed a growing trend among Chinese traders, who are now increasingly accepting payments in naira rather than dollars for business transactions.
The development, according to forex traders in Lagos and Kano, is reshaping cross-border trade patterns, particularly in manufacturing and wholesale markets where Chinese goods dominate. Traditionally, dollar payments have been the benchmark for imports, but the shift to naira is being seen as a response to the scarcity and high cost of U.S. dollars in Nigeria’s forex market.
Traders noted that the arrangement has been made possible through direct settlement mechanisms between Nigerian and Chinese partners, bypassing dollar dependence. Some analysts suggest this reflects China’s broader global push for the use of local currencies in trade, aligning with Beijing’s yuan-internationalization strategy.
While many importers welcome the move as a relief from dollar pressures, economists warn that its sustainability will depend on Nigeria’s trade balance with China and the capacity of both governments to formalize such arrangements.
The Central Bank of Nigeria (CBN) has not officially commented on the development, but stakeholders say the trend could gradually reduce dollar demand in Nigeria, ease forex market volatility, and boost the naira’s relevance in international trade.
