Afreximbank IV credit line

completed

The FC development loan to the African Export-Import Bank (Afreximbank) is intended to improve African MSMEs' access to trade finance in order to sustainably strengthen trade within and outside Africa. To this end, Afreximbank directs the KfW loan in the form of individual loans to African commercial banks for onward lending to MSMEs. Afreximbank was founded in 1993 with the aim of promoting trade within and outside Africa. As part of its statutory mandate, Afreximbank grants short and medium-term trade loans and guarantees directly to private and state-owned companies as well as to local financial institutions that are involved in trade financing. The development loan improves the financing of trade in both South-South and South-North trade. Stronger trade within and outside Africa creates an important prerequisite for the sustainable economic development of the continent. As a regional development bank, Afreximbank is an important strategic partner of the Federal Development Bank for the financing of MSMEs, but also for the further development of innovative and development-related financial products such as investment loans for the African agricultural processing industry. The three-year, bullet repayment loan of USD 80 million will be fully repaid on October 31, 2017.