African Export-Import Bank
Banque Africaine d’Import-Export
Export-Import Bank of China Grants African Export-Import Bank a Credit Line Amounting to US$ 100 Million
Dakar, May 13, 2009
The Export-Import Bank of China and The African Export-Import Bank (the “Bank” or “Afreximbank”) today signed an Agreement under which China Eximbank committed to grant Afreximbank a US$ 100 million Trade and Project Finance Line of Credit. The Agreement, which was signed here this afternoon on the side-lines of the 2009 Annual Meetings of the African Development Bank Group, marks an important step by the two Exim banks to arrest possible declines in the rapidly expanding Africa-China trade. China-Africa trade grew by an annual average rate of about 40% between 2000 and 2008; but that growth rate is being threatened by the on-going economic crisis that has reduced access to trade finance by African banks and traders. Mr. Jean-Louis Ekra, President of Afreximbank, signed on behalf of the Bank while Mr. Zhu Xinqiang, Vice President of China Eximbank, signed on behalf of the Export-Import Bank of China.
Under the Facility, US$20million will be used by Afreximbank to fund short-term trade finance activities and US$80 million will be channeled into medium term financing in support of projects. The Facility will support the purchases of a variety of Chinese goods and services from a broad range of sectors, including Manufacturing, Agro-industry, Telecommunications, Energy, the Environment, Transportation, Water supply and sanitation. The ceremony was witnessed by important dignitaries attending the Annual Meetings of the African Development Bank Annual Meetings.
“The Facility provides a tremendous opportunity for us to keep Africa–China trade flowing at this time when the on-going credit crisis has significantly reduced the availability of trade finance to African entities. In addition, the development goods that will be imported into Africa under the Facility will stem job losses that have begun to intensify in our continent and accelerate Africa’s drive towards diversification of its exports away from commodities” said Mr. EKRA at the Signing Ceremony.
The African Export?Import Bank (“Afreximbank” or the “Bank”) was established in October 1993 by African governments, African private and institutional investors, as well as non?African financial institutions and private investors, for the purposes of financing and promoting intra? and extra?African trade. The Bank was established by the adoption of its basic constitutive documents, namely, the Agreement for the Establishment of the Bank (the “Establishment Agreement”), which confers on the Bank the status of an international organization, and the Charter of the Bank, governing its corporate structure and operations. Afreximbank is headquartered in Cairo, Egypt and has branch offices in Harare (Zimbabwe), and Abuja (Nigeria). Apart from Governments, its shareholders include African multilateral institutions, as well as African and non-African financial institutions and private investors. China Eximbank is a major shareholder of Afreximbank.
Established in 1994 and solely owned by the central government, The Export-Import Bank of China (China Eximbank) is a government policy bank under the direct leadership of the State Council. Its international credit ratings are compatible to the national sovereign ratings. China Eximbank has over ten business branches and domestic representative offices, as well as three overseas representative offices in Johannesburg, Paris and St. Petersburg. It has established and maintained correspondent relationship with more than 300 overseas banks worldwide
A copy of the full text of the speeches during the signing ceremony is available at www.afreximbank.com
- Publishing Date : May 13, 2009
- Category : News