China signals its willingness to expand its currency swap agreement with Nigeria and supports the country’s plan to issue panda bonds, strengthening bilateral financial ties.
Chinese Foreign Minister Wang Yi, during an official visit to Nigeria as part of a four-nation African tour, highlights the importance of financial cooperation between the two nations. He acknowledges Nigeria’s request to increase the currency swap line and expresses optimism about future collaboration.
“We will positively consider Nigeria’s request to expand the currency swap agreement. Our cooperation in finance continues to grow successfully,” Wang states during a press briefing in Abuja on Thursday.
China welcomes Nigeria’s intention to issue panda bonds, with Wang expressing confidence in Nigeria’s financial credibility. “We believe the issuance of panda bonds will benefit both nations,” he notes. Wang also emphasizes China’s ongoing contribution to Nigeria’s infrastructure development, particularly in rail transport projects.
The China Development Bank recently approves a $254.76 million loan for the Kano-Kaduna railway, a project led by the China Civil Engineering Construction Corporation (CCECC).
Wang’s visit follows high-level discussions, including President Bola Tinubu’s recent trip to China, which elevates the nations’ relationship to a comprehensive strategic partnership. The renewed currency swap agreement, worth 15 billion yuan ($2 billion), promotes trade and investment while encouraging the use of local currencies.
On regional security, Wang reiterates China’s commitment to supporting Nigeria at the United Nations and fostering stability in Africa.
Earlier in the week, Wang visits Chad to discuss continued cooperation, reinforcing China’s partnership with the region.
