Afreximbank commits N$1.5bn to Namibia
The African Export and Import Bank (Afreximbank) has committed US$85 million, or N$1.5 billion, in funding towards project financing.
This comes on the back of its return to Namibia, Rene Awambeng, director and global head of client relations, said during a briefing session held this week.
"Given the economic importance of Namibia on the African continent and in the southern Africa region specifically, and its dynamic international trade sector, the bank is keen to work with both the public and private sectors in Namibia in developing a robust pipeline of projects that can be financed by your bank," Awambeng said.
Partnerships
Afreximbank was keen to partner with local financiers in the lending space to make financing available to keen stakeholders.
"We are happy to announce our commitment to working with the Namibian commercial and development or investment banks to make financing accessible to the public and private sectors and small and medium enterprises to finance trade and project deals in Namibia. We see some urgency here given that many international banks are progressively exiting Africa’s trade finance, essentially due to the rising cost of compliance," he said.
The bank would also be keen to support intra-Africa trade, with Awambeng explaining that easy payment for goods and services would be enhanced through its Pan-African Payments and Settlement System (PAPSS), which will allow payments for cross-border trade to be made in local currencies.
Ease of business
"For instance, a Namibian seller will receive Namibian dollars from a buyer in Zambia who will pay in Zambian kwacha, allowing the central banks of the two countries to do the settlements. This will reduce the need for foreign currency in intra-Africa trade, thereby boosting trade amongst African countries," he said.
"The bank also has products to support the Intra-African Trade Finance Facility and the Intra-African Investment Finance Facility to facilitate trade and investment flows between Namibia and the rest of Africa," Awambeng added.
The bank was established in 1993 by African governments, African private and institutional investors, and non-African financial institutions and private investors. Its purpose is the financing, promoting and expanding of intra-African and extra-African trade.
This comes on the back of its return to Namibia, Rene Awambeng, director and global head of client relations, said during a briefing session held this week.
"Given the economic importance of Namibia on the African continent and in the southern Africa region specifically, and its dynamic international trade sector, the bank is keen to work with both the public and private sectors in Namibia in developing a robust pipeline of projects that can be financed by your bank," Awambeng said.
Partnerships
Afreximbank was keen to partner with local financiers in the lending space to make financing available to keen stakeholders.
"We are happy to announce our commitment to working with the Namibian commercial and development or investment banks to make financing accessible to the public and private sectors and small and medium enterprises to finance trade and project deals in Namibia. We see some urgency here given that many international banks are progressively exiting Africa’s trade finance, essentially due to the rising cost of compliance," he said.
The bank would also be keen to support intra-Africa trade, with Awambeng explaining that easy payment for goods and services would be enhanced through its Pan-African Payments and Settlement System (PAPSS), which will allow payments for cross-border trade to be made in local currencies.
Ease of business
"For instance, a Namibian seller will receive Namibian dollars from a buyer in Zambia who will pay in Zambian kwacha, allowing the central banks of the two countries to do the settlements. This will reduce the need for foreign currency in intra-Africa trade, thereby boosting trade amongst African countries," he said.
"The bank also has products to support the Intra-African Trade Finance Facility and the Intra-African Investment Finance Facility to facilitate trade and investment flows between Namibia and the rest of Africa," Awambeng added.
The bank was established in 1993 by African governments, African private and institutional investors, and non-African financial institutions and private investors. Its purpose is the financing, promoting and expanding of intra-African and extra-African trade.
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