Advantages of Barter Exchange

Barter trade saves a country from imported inflation resulting from use of money. Some countries lack foreign exchange to pay for the imported goods. Barter trade is seen as exchanging value for value as compared to commodities for a few dollars.

It is a way of solving the inconvertibility of some currencies. Barter trade enables countries experiencing Balance of payment problems to also get goods and services at least for people to survive. Barter trade helps to widen the export base of the country.

A variety of crops can be grown for export. It was encouraged by the African economic Integration such as the COMESA and the ACP. It can enable a country to improve her trading position.

More trading patterns can be got. International currencies such as the dollar, Pound sterling keep fluctuating all the time. Barter trade, solves such problems.