By Atoyebi Nike
The global trade shake-up triggered by new U.S. tariffs is accelerating Africa’s cross-border payments ecosystem and renewing momentum for the African Continental Free Trade Area (AfCFTA), according to Eghosa Nehikhare, CEO of Multigate, a treasury management and cross-border payments solutions provider.
In July, U.S. President Donald Trump imposed fresh tariffs of up to 30% on goods from South Africa and Algeria and 15% on exports from Nigeria and Ghana a move that risks further sidelining Africa in American trade flows.
But Nehikhare says the tariffs are having an unexpected upside. “Trading relationships between Africa and Asia, particularly with China and Singapore, are expanding rapidly,” he told Nairametrics. “Today, we enable importers to pay in local currency, with suppliers abroad receiving their own currency within T+1 or even in real time. Demand for this service is rising quickly.”
The shift is reducing Africa’s reliance on the U.S. dollar, enabling faster transactions and opening new opportunities for banks and corporates. Airlines, for instance, once struggled to manage revenues across multiple African currencies, but fintech platforms now offer real-time settlement options that cut delays and inefficiencies.
“Platforms like Multigate allow clients to pay in naira while beneficiaries abroad can receive funds in U.S. dollars or Chinese yuan, eliminating bottlenecks in foreign exchange and reconciliation,” Nehikhare explained.
Experts say these changes, combined with AfCFTA’s momentum, are positioning Africa at the center of a new era of trade, with fintech innovation underpinning resilience in global commerce.
Afrieximbank Research earlier noted that while Trump’s tariffs could hurt specific flows, China has already surpassed the U.S. as Africa’s leading trading partner, underscoring the continent’s deepening shift eastward.
