US media: Tariff risks are prompting Africa to reduce reliance on USD settlements

Bloomberg in the United States reported on the 26th that U.S. tariff risks are putting pressure on African countries and companies, prompting Africa to accelerate reducing its reliance on the U.S. dollar in trade settlement. The article summary is as follows:

In an interview with reporters earlier this week, the chief executive officer of Afroc loan institution Iko Bank, Jeremy Awori, said that although trade between Africa and the United States is relatively small, Africa is also affected by the tariff decisions made by the United States. The renewal of U.S. trade arrangements for Africa needs to undergo an annual review, bringing new uncertainty for African manufacturers and exporters.

Awori said that uncertainty in U.S. tariff policy has led Africa to reduce its use of the dollar in trade settlement, and African businesses are exploring greater use of their local currency and the currencies of other countries. “If we can trade in our local currency, we can reduce the demand for the dollar.”

According to official U.S. data, total trade between the U.S. and non-U.S. countries in 2025 was $83.4 billion. In addition, according to United Nations data, in 2024 intra-African trade totaled about $220 billion, accounting for 15% of Africa’s total trade.

Awori pointed out that strengthening intra-African trade is an important way to withstand external geopolitical uncertainty. Regions should enhance trade ties to achieve higher value added, thereby promoting the development of intra-African trade. (Xinhua)