Ecobank, AFDB Sign $200m For Trade Financing In Africa

The Ecobank Group and
the African Development Bank (AfDB) have signed $200 million to facilitiate Trade Financing in the continent.
This is contained in a statement signed by Ecobank’s Head of Media, Mr Nabi Ouedraogo, recently and made available to The Tide source in Abuja. It said the facility was signed at an official ceremony held during the AfDB Annual General Meeting in Kigali.
According to the statement Ecobank’s Group Chief Executive, Mr Albert Essien signed for Ecobank while Director, AfDB, Mr Alex Rugamba signed for the bank.
The statement noted that facility comprised of two components of $100 million unfunded risk-sharing facility to bolster Ecobank’s capacity as an international confirming bank for trade transactions originated by issuing banks in Africa.
The second component, it said was another $100 million trade facilitation loan which would be used by Ecobank to provide trade finance support to local corporate organisations and SMEs in Africa.
“Over a period of 3-5 years, the facility will support approximately $1.8 billion of trade transactions in Africa,” it said.
Commenting Essien, it assured that the two banks would continue to deepen their collaboration for improved trade in Africa.
“This facility will greatly support international and intra-regional trade in Africa.
“We look forward to an ever-deepening collaboration with the AfDB to provide vital trade finace support to promote regional integration and the development of SMEs across Africa,” he said.