Nigeria will benefit from renewed economic engagement with the United States as the U.S. reopens a $15 billion trade channel aimed at increasing investment and strengthening bilateral trade relations.
The Export Credit Guarantee Program of the United States Department of Agriculture, also known as GSM-102, provides government-backed guarantees that allow Nigerian banks and importers to obtain financing for the purchase of American agricultural commodities.
The development aligns with rising bilateral trade volumes. In 2025, two-way trade in goods and services will reach around $15 billion, marking a 14% increase from the previous year. This growth shows that the relationship continues to expand rather than just begin. 
ECONOMIC BENEFITS
Agricultural trade drove a large part of this growth, rising to $764 million from $415 million in 2024, an 84% increase. This increase highlights fast-growing sectoral opportunities, especially for Nigeria’s agricultural economy and export potential.
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U.S. officials say the programme facilitates cross-border transactions and reduces risk for exporters and lenders. U.S. Consul General Rick Swart described Nigeria as an important agricultural partner at a trade show in Lagos and highlighted Washington’s evolving approach to economic engagement.
The programme reduces financial risk for lenders and exporters, and this encourages more investment and trade. It also supports supply chain stability and strengthens long-term business planning.
US agencies already extended credit limits to selected Nigerian banks under the programme, and this step signals a gradual return of trade financing flows.
Nigerian banks now participate in the programme again, and they can access international trade financing to support import and export activities. This development increases financial activity and improves efficiency in international trade transactions.
The initiative supports supply chain stability, meets Nigeria’s demand for key agricultural inputs, and opens new export opportunities for both US and Nigerian businesses.
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