The African Export-Import Bank (Afreximbank) and the Export-Import Bank of China (CEXIM) sign US$600 million loan to fund Ioans and trade finance transactins.
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On October 17, in the presence of Shengjun Ren, President of CEXIM and Prof. Benedict Oramah, Afreximbank President and Chairman of the Board of Directors at the CEXIM Headquarters in Beijing, Mr. Wencai Zhang, Vice President of CEXIM, and Dr. George Elombi, Executive Vice President of Afreximbank signed the agreement. The purpose of the loan is to facilitate and finance the trade and economic cooperation between the member states of Afreximbank and the People's Republic of China (PRC). The loan will also aide in promoting the financial cooperation between Africa and the PRC.
Speaking during the meeting and signing ceremony, Prof. Oramah noted that
it is fortuitous that the signing of this important facility coincides with the
10th anniversary of the Belt and
Road Initiative (BRI). This is strong evidence of the rapid growth in
cooperation between China and Africa. Noting that the BRI is a blueprint of
cooperation aimed at enhancing policy, trade infrastructure, financial and
people-to-people connectivity, as a bank we are committed to play a big role especially
of leveraging financial resources into Africa. This facility will help to
catalyse trade financing between Africa and the PRC, thereby enhancing flow of
goods, capital and technology. He added that through
its 6th Strategic Plan, which runs from 2022 to 2026, Afreximbank is working
diligently to broaden its role in African trade finance and continues to see
lots of collaboration opportunities on the continent. Working with partners
like CEXIM, we aim to attain the goals of this strategy, especially supporting
China-Africa Cooperation and expanding Africa's export manufacturing capacity.
Mr. Shengjun Ren, President of CEXIM, noted the signing of the agreement as a concrete measure taken by CEXIM in fulfilling its due responsibilities to promote high-quality BRI cooperation and to implement the nine programs under the Forum on China and Africa Cooperation framework. It is also an important example of
third-party market cooperation carried out by CEXIM.
The two sides agreed
to take the signing of this agreement as an opportunity to strengthen
cooperation in various areas including credit business, equity investment,
capital market operations, trade finance, personnel exchange and knowledge
sharing, so as to make positive contributions to China-Africa economic cooperation and trade as
well as sustainable economic
and social development of African countries.
- ENDS -
About
CEXIM
Founded in 1994, CEXIM is a state-funded
and state-owned Chinese policy bank dedicated to supporting China's foreign
trade, investment, and international economic cooperation. With the Chinese
government's credit support, the Bank plays a crucial role in promoting steady
economic growth and structural adjustment, supporting foreign trade, and
implementing the "going-global" strategy. CEXIM is
rated by Standard & Poor's, Moody's Investors Service, and
Fitch, as A+, A1, and A+ respectively, same as China's
sovereign ratings. By the end of 2022, CEXIM had a total asset of USD
852.45 billion, covering businesses in credit, trade finance, financial market,
equity investment, etc... CEXIM has 32 domestic branches, 1 representative
office in Hong Kong SAR, and 6 overseas institutions.
More information
about CEXIM: http://english.eximbank.gov.cn
About
Afreximbank
African
Export-Import Bank (Afreximbank) is a Pan-African
multilateral financial institution mandated to finance and promote intra-and
extra-African trade. For 30 years, the Bank has been deploying innovative
structures to deliver financing solutions that support the transformation of
the structure of Africa's trade, accelerating industrialization and
intra-regional trade, thereby boosting economic expansion in Africa. A stalwart
supporter of the African Continental Free Trade Agreement (AfCFTA), Afreximbank
has launched a Pan-African Payment and Settlement System (PAPSS) that was
adopted by the African Union (AU) as the payment and settlement platform to
underpin the implementation of the AfCFTA. Working with the AfCFTA Secretariat
and the AU, the Bank is setting up a US$10 billion Adjustment Fund to support
countries to effectively participate in the AfCFTA. At the end of 2022,
Afreximbank's total assets and guarantees stood at over US$31 billion, and its
shareholder funds amounted to US$5.2 billion. The Bank disbursed more than
US$86 billion between 2016 and 2022. Afreximbank has investment grade ratings
assigned by GCR (international scale) (A), Moody's (Baa1), Japan Credit Rating
Agency (JCR) (A-) and Fitch (BBB). Afreximbank has evolved into a group entity
comprising the Bank, its impact fund subsidiary called the Fund for Export
Development Africa (FEDA), and its insurance management subsidiary,
AfrexInsure, (together, "the Group").
For more
information, visit: www.afreximbank.com