Before the advent of modern currency, Nigeria, like many other societies, relied on various traditional forms of exchange that were deeply rooted in culture and necessity. These means of trade not only facilitated economic activities but also reflected the social and cultural structures of the time.
Here’s a look back at some of the most common traditional means of exchange in Nigeria’s past.
- Cowrie shells
Arguably the most iconic and widely recognised form of currency in Nigeria’s history, cowrie shells were used as a medium of exchange for centuries. Originating from the Indian Ocean, these small, shiny shells gradually became a valued currency in West Africa due to their durability, aesthetic appeal, and ease of transport. They were particularly common in trade between different ethnic groups and even served as a measure of wealth, often used to pay for goods, dowries, and taxes. Cowries were commonly used in the Yoruba and Igbo regions.
- Barter system
Long before cowries, the barter system was a dominant method of trade. In this system, goods and services were exchanged directly for other goods or services without the need for a standardized currency. For example, a farmer might trade yams for livestock, while artisans exchanged crafted tools for foodstuffs. The value of goods was determined by their perceived utility and scarcity, which sometimes made negotiations lengthy but fostered communal relationships. Barter was especially prominent in local markets where trust and familiarity played a huge role in trade transactions.
- Manilas
Manilas were metal objects shaped like bracelets, made primarily from copper or bronze. These were used as a form of currency and trade, particularly in coastal regions like the Niger Delta. They were initially introduced by European traders during the transatlantic slave trade and were used to purchase goods, including slaves. Manilas became symbols of wealth and were also used in ceremonial payments, such as during marriages or funerals. Over time, however, they were phased out with the introduction of modern currency.
- Salt
Salt held immense value in many Nigerian societies, especially in the northern regions, where it was scarce. Its role as a preservative and a flavor enhancer made it a critical commodity. Salt was sometimes used as a medium of exchange, especially in trade between the northern and southern regions. The ancient salt mines of Borno and Kano provided a valuable resource that was exchanged for agricultural products and livestock from other regions.
- Iron and Brass rods
In various parts of Nigeria, including among the Yoruba and Benin people, iron and brass rods were used as currency. These metal rods, sometimes referred to as “iron money,” were significant because they were durable and could also be melted down and repurposed into tools or weapons. The exchange value of these rods varied depending on their weight and the amount of metal they contained.
- Livestock
In agricultural societies, livestock like goats, sheep, and cattle were not only essential for sustenance but also used as a form of wealth and exchange. Livestock was traded for other goods and often used as dowries or ceremonial offerings. Among pastoralist communities like the Fulani, cattle were particularly valuable and served as a key indicator of status and wealth.
- Beads
Among certain ethnic groups, such as the Yoruba and the Benin people, beads were not only ornamental but also served as currency. These beads were often crafted from glass or precious stones and were used in significant trade transactions. Like cowries, beads were also used in social and ceremonial exchanges, such as during marriages or rites of passage.
- Grains and Agricultural products
In Nigeria’s agrarian past, grains like millet, sorghum, and maize, as well as products like palm oil and kolanuts, were frequently used in exchange. Since these were essential for sustenance, they became convenient for barter, especially in rural communities where agricultural products formed the backbone of the economy.