Nigeria Officially Joins BRICS to Boost Trade, Investment

(Bloomberg) — Nigeria has officially joined the BRICS group of emerging-market powers.

BRICS, which stands for Brazil, Russia, India, China and South Africa, has been pushing to expand in recent years as it grows in clout and has accepted other countries including Egypt, Ethiopia, Indonesia and United Arab Emirates.

The enlarged alliance may challenge the dollar’s dominance in oil and gas trading and become a stronger counterweight to the Group of Seven industrialized nations.

Nigeria’s acceptance in the group was communicated in a statement on Saturday by the acting spokesperson of the Ministry of Foreign Affairs, Kimiebi Ebienfa.

“The Federal Government of Nigeria has accepted the invitation to join BRICS as a partner country. The formal acceptance to participate as a partner country underscores Nigeria’s commitment to fostering international collaboration, leveraging economic opportunities, and advancing strategic partnerships that align with Nigeria’s development objectives,” it said. 

“BRICS, as a collective of major emerging economies, presents a unique platform for Nigeria to enhance trade, investment, and socio-economic cooperation with member countries,” it added. 

Nigeria, Africa’s most-populous nation, has been battling soaring inflation and will roll out new rules to simplify its tax system. The current level of tax collection is one of the lowest globally, according to the World Bank, constraining Nigeria’s public finances and limiting how much it can invest in essential services and infrastructure.

Last month, China and Nigeria renewed a 15 billion yuan ($2 billion) currency-swap arrangement designed to boost trade and investment between the two countries.

More stories like this are available on bloomberg.com