Afreximbank, ECIC announce $1 billion programme to promote trade in Africa
London, June 27, 2018 (AltAfrika)-The African Export-Import Bank (Afreximbank) and the Export Credit Insurance Corporation of South Africa SOC Limited (ECIC) have launched a 1 billion dollar financing programme to expand trade and investments between South Africa and the rest of Africa.
Mr Obi Emekekwue, the bank’s Director and Global Head, Communications and Events Management Department, said on Wednesday that Dr Benedict Oramah, the bank’s President made the pledge in Johannesburg, South Africa.
The initiative is tagged, South African-Africa Trade and Investment Promotion Programme (SATIPP).
Oramah said the joint initiative would support businesses through capacity building and market information initiatives and help small and medium-sized entrepreneurs to join regional supply chains.
According to him, it will provide advisory services and guarantees to South African investors seeking trade and investment opportunities in African member countries of Afreximbank.
He added that the initiative would provide a platform for the realisation of Afreximbank’s strategic objectives in line with its strategy, “IMPACT 2021: AFRICA TRANSFORMED.”
“Under the terms of SATIPP, Afreximbank and ECIC will work together to identify, prepare and appraise trade transactions and projects; explore co-financing and risk-sharing opportunities.
“It will also share knowledge, with particular emphasis on intra-African trade matters, through technical cooperation, staff exchange, research and joint events,” he said.
Mr Kutoane Kutoane, Chief Executive Officer of ECIC, said the aim was to enhance South Africa’s exporting capabilities by intensifying its mutually beneficial trade with the rest of the continent.
Afreximbank is the foremost pan-African multilateral financial institution devoted to financing and promoting intra– and extra-African trade.
The bank, since 1994, has approved about 60 billion dollars in credit facilities for African businesses, including about 8.5 billion dollars in 2017.
Afreximbank had total assets of 11.9 billion dollars as at Dec. 31, 2017 and is rated BBB+ (GCR), Baa1 (Moody’s), and BBB- (Fitch). The bank is headquartered in Cairo.