Nigeria plans to raise $5 billion from the United Arab Emirates’ largest lender through a derivatives deal aimed at reducing borrowing costs. This move comes as African nations increasingly turn to such instruments amid rising global yields driven by the Iran conflict. The swap will allow Nigeria to hedge currency risks while lowering its overall debt servicing expenses. Central Bank of Nigeria officials confirmed the negotiations, signaling a strategic shift toward international financial partnerships to stabilize domestic markets.

The deal underscores Nigeria’s proactive approach to managing fiscal pressures in a volatile global environment.