From Abel Leonard, Lafia
Dr. Abdulkareem Alhassan, Director of the Center for General Studies at Federal University of Lafia, has emphasized that Nigeria stands to gain significantly from the Russia-Africa shift to settling trade in local currencies.
In an exclusive interview with The Sun on on Tuesday, Dr. Alhassan, noted that using local currencies for trade would create new opportunities for Nigeria and other African nations. He explained that this approach could reduce transaction costs and make trading with Russia and BRICS countries more efficient.
According to him, this move will reduce dependence on the US dollar, lower transaction costs, and bolster economic relations with Russia and BRICS nations, positioning Nigeria as a major player in Africa’s drive for economic independence.
The sun reports that the BRICS bloc—comprising Brazil, Russia, India, China, and South Africa—presents a viable alternative for African countries looking to reduce their dependence on the US dollar.
In an exclusive interview with The Sun on Monday, Dr. Alhassan, noted that using local currencies for trade would create new opportunities for Nigeria and other African nations. He explained that this approach could reduce transaction costs and make trading with Russia and BRICS countries more efficient.
“Trading in naira with Russia will not only deepen Nigeria’s economic relationship with them but will also positively impact our trade balance, helping to stabilize our economy.
Dr. Alhassan further posited that the move away from dollar-dominated trade could help Nigeria and other African nations escape the restrictive conditions imposed by Western financial institutions like the IMF and World Bank.
“We need to prioritize trading in our own currencies, like the naira, to avoid the economic pressures that come with dependence on the dollar and Western financial systems,” he said said.
Dr. Alhassan noted that the development aligns with Nigeria’s broader economic agenda under the African Continental Free Trade Area (AfCFTA), which encourages the use of local currencies for intra-African trade.
He added that as the country seeks to enhance its global trade presence, shifting to naira-based transactions with Russia and BRICS partners could ease the financial burden on Nigerian importers and exporters, fostering stronger ties with emerging economies and reducing dollar-related volatility in the Nigerian market.
“As an expert in international economics, I believe that Nigeria, with its vast market and resources, could become a key player in Africa’s growing economic independence, further bolstered by partnerships with Russia and the BRICS alliance.” He said.
