The Structured Trade Finance scheme covers both exports and imports and is comprised of programs and facilities designed to address both the market and product diversification problems that Africa faces. It is intended to remove bottlenecks to the trading of products already produced or near production and able to enter trade. Structured trade finance facilities are intended to be self securing and self liquidating. Facilities under this Scheme are organised under the Dual and Non-Dual Recourse Programs.
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Dual Recourse Facilities
Programs under the Dual Recourse (DR) category are those in which the Bank lends to a corporate against the guarantee or aval of an acceptable bank or another creditworthy corporate. This category of programs helps the Bank to rely on the proximity of the local banks to the underlying borrowers in monitoring the loans that
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Non-Dual Recourse Facilities
1. Line of Credit Program The Bank provides funded and unfunded credit lines through the Line of Credit Program (LOCP) to creditworthy African and non-African banks active in African trade finance and designated as the Bank’s Trade Finance Intermediaries (TFIs). The LOCP is an instrument through which the Bank provides loan and guarantee facilities through
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Trade Finance Intermediaries (TFI’s)
Afreximbank Trade Finance Intermediaries Selection of Afreximbank Trade Finance Intermediaries Afreximbank selects Trade Finance Intermediaries (TFIs) through which it will deliver its services. The TFIs are a critical part of Afreximbank’s operating model and are an important channel through which the Bank services the numerous and diverse groups of eligible exporters and importers in the
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Food Emergency Contingent Financing Facility (FECONTRAF)
Food Emergency Contingent Financing Facility (FECONTRAF) The Food Emergency Contingent Trade Financing Facility (FECONTRAF) enables physical food (grains) reserves to be substituted with a standby facility allowing vulnerable African countries to finance the commercial imports of grains, or their staple food of choice, if they have a food emergency. It will guarantee the availability of
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Afreximbank Trade Facilitation Programme (AFTRAF)
The Afreximbank Trade Facilitation Program enhances the confidence of counterparties in the settlement of international trade transactions and improves correspondent banking relationships. It supports critical imports into Africa, boosts intra-African trade and facilitates the purchase of equipment for the production of export goods. It provides trade confirmation services, trade confirmation guarantees and irrevocable reimbursement undertakings.