Multinational - African Export-Import Bank


Project Summary

Approval Date 28 May 2014
Signature Date 12 Dec 2014
Sovereign / Non-Sovereign Non Sovereign
Sector Finance
DAC Sector Code 24030
Commitment U.A 107,852,371.67
Status Implementation

Project General Description

This intervention consists of a $ 280 million trade finance facility, including an additional $ 30 million subscription to the African Export and Import Bank (Afreximbank), a risk participation agreement (RPA) without initial disbursement of $ 100 million over three years and a $ 150 million Trade Finance Line of Credit (LCFC). The project aims to support Afreximbank's trade finance operations as part of its trade facilitation and regional integration mission in Africa. Indeed, the African Export-Import Bank (Afreximbank) was established in 1993 by the Bank, African States, central banks and other institutional investors as a tool for promoting trade and trade. Regional integration. The proposed facility will respond to strong market demand for trade finance in regional member countries, supporting trade in vital economic sectors such as agriculture, energy and manufacturing industries. It will boost regional integration, encourage intra-African trade and support public revenue generation. It will benefit hundreds of FIs and businesses in more than 20 RMCs, including low-income countries and fragile states. Afreximbank will use CFLC over four years to provide commercial loans to businesses and FIs (to be defined) on a rolling basis. The bank will use this facility to finance intra-African trade and between Africa and the rest of the world.

Project Objectives

The main objective is to reduce Afreximbank's capital constraints, improve its credentials as an emerging confirming bank, and strengthen its ability to provide a vital source of liquidity to FIs and companies in Africa. The ultimate goal is to increase its role in promoting trade and regional integration in line with its mission and strategic plan.

Beneficiaries

The main beneficiaries of the project are the African Export-Import Bank (Afreximbank) and the African States that are members.

Participating Organization

Funding
African Development Bank

Information

IATI identifier 46002-P-Z1-HAA-055
Last Update 22 Nov 2020

Export

Contact Details

Email private-sector@afdb.org

Geographic Location

Country Multinational
Coordinates Location Name
7.1881 21.09375 Africa