Afreximbank launches $3b intra-African oil financing programme

African Export–Import Bank (Afreximbank) has launched a $3 billion Revolving Intra-African Oil Trade Financing Programme to address Africa’s reliance on imported refined petroleum products, which costs the continent $30 billion annually. According to a bank statement on Monday, the programme aims to finance the purchase of refined products by African and Caribbean oil buyers, facilitating intra-African trade and advancing industrialisation.

The revolving facility is expected to support $10 billion to $14 billion in intra-African petroleum imports. It aligns with the African Continental Free Trade Area (AfCFTA) goals and aims to strengthen energy security, regional value chains, and economic resilience. Afreximbank has supported key refining projects, including the Dangote refinery and the Lobito and Cabinda refineries, contributing to an emerging refining hub in the Gulf of Guinea.

Refined petroleum products such as Premium Motor Spirit (PMS), Automotive Gas Oil (AGO), and Jet Fuel will be traded under the programme. The financing is open to oil traders, banks, governments, and state-owned enterprises involved in importing refined products from African refineries.

Afreximbank President, Professor Benedict Oramah, emphasised the programme’s role in transforming the Gulf of Guinea into a major refining hub and stimulating investments in marine logistics and ancillary sectors. Dr. Lazarus Chakwera, President of Malawi, praised the initiative for reducing import dependency and ensuring more affordable access to refined products across Africa.

Attribution: Amwal Al Ghad English