A system and method for channel estimation in wireless communications systems are provided. A method for operations at a first communications device includes computing an estimate of a channel between the first communications device and a second communications device based on pilot signals transmitted from the second communications device, removing self-interference from a composite transmission relayed from a relay node, and detecting information contained in the transmissions from the second communications device from the composite transmission based on the estimate of the channel. The composite transmission includes transmissions from the first communications device and transmissions from the second communications device.