A bipartisan group in Nigeria’s House of Representatives has demanded that the country’s federal government and central bank accept the Chinese yuan as a trading currency replacement without further delay.
On Wednesday, after a motion was put up by Jafaru Leko, the council approved a resolution that included this request.
As previously reported by mismob, the Nigerian and Chinese governments have launched a bilateral currency swap arrangement.
Even though the naira is losing ground to other Western currencies, Leko said in the motion that the government should embrace the current.
He suggested using the currency as a component of Nigeria’s foreign reserve and that the government should do it.
“The addition of the Chinese yuan as a reserve currency might help cushion the blow of the Naira’s decline, lessen the dangers of currency swings, and strengthen Nigeria’s economy,” he said.
China, he said, had already become the world’s economic superpower.
In order to expedite the 2018 agreement on the yuan, the House decided that the banking and other ancillary institutions committees should communicate with the Central Bank of Nigeria to determine the best course of action.
Mismob Media