Forex policies affecting transborder trade, say traders

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The Transborder Traders Association has raised concerns over the impact of the Central Bank of Nigeria’s foreign exchange policies on intra-African trade. President Nasiru Salami highlighted the challenges faced by traders due to mandates requiring them to repatriate earnings, citing hindrances to cross-border trade in Nigeria.

Salami emphasized the need for better organization within the Nigerian government, expressing frustration over the enforcement of laws that differ from practices in other countries within the Economic Community of West African States (ECOWAS). He noted that while Nigeria strictly enforces such laws, other ECOWAS countries do not impose similar requirements on traders.

Salami further explained that trade between Nigeria and other African countries often occurs through a trade-by-barter system. In this exchange, Niger Republic supplies Nigeria with livestock, while Nigeria reciprocates with agricultural products and sometimes manufactured goods, illustrating the mutually beneficial nature of intra-African trade relationships.

Source: Punch

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