The African Export Import Bank (Afreximbank) and United Bank for Africa Plc have signed a $150 million Trade Financing Facility agreement to support UBA’s clients to increase their financing for businesses across various sectors in the Nigerian economy with a view to mitigating the adverse effects of the Russia-Ukraine crisis.
The agreement which was signed on the sidelines of the ongoing Intra-African Trade Fair (IATF) in Cairo, Egypt, is part of the Ukraine Crisis Adjustment Trade Financing Programme for Africa (UKAFPA) designed by Afreximbank.
Denys Denya, Executive Vice President for Finance, Administration and Banking Services at Afrximbank who signed the agreement with Adeleke Adeyemei, Group Treasurer, UBA, said the agreement is a testament to the enduring and mutually beneficial relationship between Afreximbank and UBA. Denya added that the agreement responded to the growing demand for trade finance support among UBA’s clients, pointing out that it reinforces confidence in settling international trade transactions for strategic imports, aligning seamlessly with Afreximbank’s mandate to support SMEs, particularly those in the manufacturing sector, fostering increased production and contributing to economic growth and development in Nigeria.
The Afreximbank-UBA agreement is one of the several deals signed so far at the third edition of the continental trade meet that started last Wednesday in Cairo. Others are:
- Afreximbank and Vista Group: $141 Million term sheet under the intra-Africa investment finance facility
- Afreximbank and Exodus & Company (Pvt) Ltd: $141 million seven-year intra-Africa investment finance facility
- Afreximbank and Sapro Mayoko: $96 million term sheet deal
- Afreximbank and ARISE IIP: Heads of Terms to implement the African Quality Assurance Centre (AQAC) projects in Benin and Gabon
- Afreximbank and FDH Financial Holdings Limited: $10 million Africa Trade Exchange (ATEX) facility agreement
- Afreximbank and International Centre for Regional Integration and Trade Research (ICRITR): groundbreaking Memorandum of Understanding (MoU).