India and Nigeria abandon the dollar

India and Nigeria abandon the dollar
India and Nigeria abandon the dollar


12:00 p.m. ▪
3
min reading ▪ by
Nicholas T.

An important driver of dedollarization, India strikes again by purging the dollar from its trade with Nigeria.

More dollars between New Delhi and Abuja

BRICS no longer want to trade in dollars. China and Russia have completely ousted it from their trade. More than 90% of Sino-Russian payments are now made in rubles or yuan.

Dedollarization is a sine qua condition for joining the BRICS alliance. Nigeria wants to be part of it and has just shown its credentials by abandoning the dollar for its trade with India.

The two nations agreed on a system of settlement in national currencies to strengthen their bilateral trade. Nigeria is India’s second largest trading partner in Africa. Their trade amounted to $12 and $8 billion in 2022 and 2023 respectively.

The African giant imports a lot of Indian pharmaceutical products in exchange for its oil. Links are also important in the renewable energy, agriculture, education and transport sectors, RT reports.

From now on, these exchanges will be settled in Indian rupees and Nigerian naira. The official Indian delegation included representatives from the Reserve Bank of India (RBI), the EXIM Bank of India and the National Payments Corporation of India (NPCI).

Not a month goes by without major nations reducing their dependence on the greenback. Already more than 20% of global oil purchases are no longer made in dollars. Knowing that three major exporters (Saudi Arabia, Iran, United Arab Emirates) have just joined the BRICS…

The BRICS are preparing for the collapse of the international monetary system and countries such as Saudi Arabia are not hiding their concern about the freezing of Russian foreign exchange reserves.

Emerging nations are tired of the exorbitant privilege of the United States (petrodollar). We need look no further to understand the origin of current geopolitical tensions.

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Nicolas T. avatarNicolas T. avatar

Nicholas T.

Reporting on Bitcoin, “the goddess of wisdom, feeding on the fire of truth, exponentially growing ever smarter, faster, and stronger behind a wall of encrypted energy”.

DISCLAIMER

The comments and opinions expressed in this article are those of the author alone, and should not be considered investment advice. Do your own research before making any investment decisions.

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