Bali, Indonesia, 11 April 2018: – The African Export-Import Bank (Afreximbank) and the Indonesia Eximbank yesterday in Bali, Indonesia, entered into an agreement to commit up to $100 million to support businesses and trade activities between Indonesia and African countries.
The agreement, signed on the sidelines of the Indonesia-Africa Forum, will support African imports from Indonesia and African exports to Indonesia in order to stimulate increased trade flows between Africa and Indonesia and spur economic growth and development.
Amr Kamel, Executive Vice President, Business Development and Corporate Banking, signed the agreement on behalf of Afreximbank while Sinthya Roesly, Chairman and Executive Director of Indonesia Eximbank, signed on behalf of her institution.
Under the terms of the agreement, Afreximbank will work with Indonesia Eximbank in supporting import of capital equipment and services from Indonesia by African private sector entities through an overseas financing arrangement, with Indonesia Eximbank providing direct financing to African buyers of Indonesian goods and services on the back of a guarantee provided by Afreximbank.
Indonesia Eximbank will also provide financing support to Indonesian buyers of African goods, with Afreximbank acting as the Bank of the African exporters. In addition, Indonesia Eximbank will support short-term trade transactions emanating from African buyers of Indonesian products, including through provision of confirmation lines to the African Banks on the back of a trade confirmation guarantee facility provided by Afreximbank.
Mr. Kamel said the agreement could make an important contribution to the “economic development of our respective regions by leveraging the capabilities of our respective institutions to promote and finance trade between Indonesia and Africa, thereby enhancing South-South trade”.
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Media Contact: Obi Emekekwue (oemekekwue@afreximbank.com; Tel. +202-2456-4238)
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About Afreximbank: The African Export-Import Bank (Afreximbank) is the foremost pan-African multilateral financial institution devoted to financing and promoting intra- and extra-African trade. The Bank was established in October 1993 by African governments, African private and institutional investors, and non-African investors. Its two basic constitutive documents are the Establishment Agreement, which gives it the status of an international organization, and the Charter, which governs its corporate structure and operations. Since 1994, it has approved more than $51 billion in credit facilities for African businesses, including about $10.3 billion in 2016. Afreximbank had total assets of $11.7 billion as at 31 December 2016 and is rated BBB+ (GCR), Baa1 (Moody’s), and BBB- (Fitch). The Bank is headquartered in Cairo. For more information, visit: www.afreximbank.com