Afreximbank signs $150 million deal with United Bank for Africa
The African Export–Import Bank (Afreximbank) has signed on Saturday a $150 million trade finance financing facility agreement with United Bank for Africa (UBA) under the Ukraine Crisis Adjustment Trade Financing Programme for Africa (UKAFPA).
The facility will be utilised to finance trade and trade-related transactions in support of UBA’s clients to facilitate increased financing of trade businesses in various sectors of the Nigerian economy thereby mitigating the adverse effects of the Russia-Ukraine crisis.
UBA is one of the partner financial institutions with long standing mutual beneficial relationship with Afreximbank. The facility is expected to provide the much-needed foreign exchange liquidity at affordable pricing to UBA who in turn will utilise the facility to provide trade facilities to its customers.
The funding is driven by an increased demand for trade finance support to UBA’s clients which will enhance confidence in the settlement of international trade transactions for strategic imports such as food, medications and agro products.
This is pivotal to Afreximbank’s mandate for supporting small and medium-sized enterprises (SMEs) particularly those in the manufacturing sector to be able to increase production thereby supporting economic growth and development in Nigeria.
Denys Denya, executive vice president for finance, administration and banking services at Afreximbank, signed the agreement with Adeleke Adeyemi, Group Treasurer at UBA, at the third edition of Africa’s largest trade and investment fair, IATF 2023 taking place in Cairo, Egypt on November 9-15.
