Gulf Africa Review’s Post

What are the opportunities and developments in the African trade finance market despite its challenges? ....despite its apparent problems, the African trade finance market presents many new and exciting opportunities. With the advent of the AfCFTA, a stable economic foundation is forming which promotes the growth of intra-African trade. This increased inter-regional trade of African businesses will be carried out on platforms such as ATEX, which operate as digital networks for trading while offering helpful trade financing solutions. Afreximbank also plays a crucial role in financing international trade by mobilising and allocating vital resources for its member countries... Read more: https://lnkd.in/gJiug4H4 #AfricanTradeFinance #AfCFTA #IntraAfricanTrade #TradeFinanceSolutions #ATEXAfrica #Afreximbank #DigitalTradePlatforms #EconomicGrowthAfrica #TradeFinance #AfricanEconomy #BusinessInAfrica #ECommerceAfrica #InternationalTrade #TradeOpportunities #FinanceInAfrica #AfricanSMEs #SupplyChainOptimization #TradeInnovation #EconomicDevelopment #TradeFacilitation

To support financing for importers and exporters in Africa, especially in fragile and conflict-affected states, IFC - International Finance Corporation has partnered with Deutsche Bank to establish a €215 million risk-sharing facility. In 2022, #Africa's trade in goods and services amounted to $1.1 trillion, 54% of its GDP. Yet African banks face cashflow challenges that limit trade finance availability. The facility aims to maintain #tradefinance in African countries even as many global banks reduce their involvement. IFC will share risks on Deutsche Bank's trade transactions with 40 issuing banks in 18 African countries. The project, part of the IFC Africa #Trade and #SupplyChain Recovery Initiative, is expected to encourage other financial institutions to support trade finance, promoting economic #growth and job creation across the continent. Article from Trade Finance Global (TFG). Read more at the link below. Follow GTR Ventures now for more curated insights! Borislav Ivanov-Blankenburg Mohamed Gouled https://lnkd.in/gb_pK4YK

AfDB approves $40 million transaction guarantee facility for Dashen Bank. - This facility aims to assist small and medium-sized enterprises (SMEs) and local businesses with their trade finance needs. - It also promotes intra-Africa trade, supporting the African Continental Free Trade Area (AfCFTA) agenda. - The facility provides up to 100% non-payment risk coverage for Letters of Credit and similar instruments. - This initiative is crucial for enhancing trade finance, which drives economic growth in emerging markets. - Dashen Bank's CEO emphasized the benefits of this approval for regional trade services and support for SMEs. - The focus will particularly be on the agriculture and manufacturing sectors in Ethiopia. https://lnkd.in/ec8p7XCM

🌍 New €215m facility by IFC - International Finance Corporation, Deutsche Bank aims to enhance trade in Africa 🤝 To assist in providing essential financing for importers and exporters of crucial goods in Africa, particularly in smaller, fragile, and conflict-affected states, IFC has established a risk-sharing facility with Deutsche Bank worth up to €215 million. 🗣️ “IFC’s risk participation with Deutsche Bank leverages our issuing bank network to enable trade flows in Africa with our Global Hausbank clients and echoes a shared commitment to ongoing economic growth in emerging markets,” stated Borislav Ivanov-Blankenburg, Global Head of Documentary Trade Finance for Deutsche Bank. 📖 Read the news by following the link in the comments section below ⬇️ #tradefinance #internationaltrade #Africa

🌍 Afreximbank Sets Sights on Namibia 🌍 Afreximbank is doubling down on Africa’s economic potential—this time, it’s Namibia in the spotlight. With new facilities in the pipeline and plans to collaborate with local banks, Afreximbank aims to transform the landscape of trade finance and project funding in Namibia. 🌟 At the annual Afreximbank Trade Finance Seminar in Windhoek, Afreximbank’s Gwen Mwaba emphasized that Namibia has untapped potential just waiting to be unlocked. From intra-African trade to fostering Namibia’s oil sector growth, Afreximbank is ready to empower the nation’s economy. This strategic partnership isn't just about finance; it's about long-term, sustainable growth and creating a thriving future. Is your business ready to be part of this transformation? Let’s #BuildTogether! 💼🌍 #Afreximbank #NamibiaFinance #TradeFinance #AfricanEconomy #IntraAfricanTrade #NamibiaBusiness #EmergingMarkets #FinanceAfrica #InvestmentOpportunities #NamibiaGrowth #GlobalTrade #OilIndustry #EconomicDevelopment #AfricanBanking #BCS

Global surveys show that, while around 30% of international trade finance goes to SMEs, the finance rejection rate is higher than for any other type of company (World Trade Organization). So why is trade finance and factoring lending so vital to SMEs and MSMEs? In #Africa, factoring volumes have experienced a significant rise over the past decade, rising from approximately $22 billion to $42 billion, showing this as a core mechanism for financing. 'Bridging the gap: The transformative potential of factoring in Africa', an article published earlier this year from a conversation between Idrissa DIOP, Compliance Director, African Export-Import Bank (Afreximbank), Peter Mulroy, former Secretary General, FCI , and Neil Shonhard, CEO, MonetaGo, and looks at this topic with a view on data sharing, investing in technology, and the future of factoring for the continent. Read the full article, free, via the link in comments below. #tradefinance #globaltrade #SME #factoring #fraudprevention

Accessible #workingcapital and trade credit liquidity is essential for African #SMEs and corporates, however with the continent’s trade finance gap growing, the supply of adequate resources is often in short supply. In a trade climate marked by volatility of currency rates, borrowing costs and hard currency, the need for quick and available credit services is key to meeting Africa’s domestic and global trade needs. This expert-led session will examine the solutions to address the trade finance gap and unlock working capital that meets African export needs, such as leveraging global capital pools to improve foreign currency access for SMEs, and developing open account products to overcome structural barriers in invoice and receivables finance. Priorities for leveraging cash flow and payment cycle solutions like supply chain finance and factoring will also be considered, as well as navigating legal and regulatory challenges and expanding digital credit solutions through collaboration between local banks and #FinTech’s, helping deliver innovation in payments and financing. Featured speakers: 📢 Florian Wicht (International Finance Corporation (IFC) 📢 George Wilson (Investec) 📢 Kuben Pillay (Absa Corporate & Investment Bank) 📢 Bob Blower (CertiQi) 📢 Nathalie Louat (International Finance Corporation (IFC) 📢 Sam West (Africa Global Trade Finance)   Join us in #London on November 14 for #GTRAfrica, the premier event in the #UK showcasing industry leading insights into the latest trends and developments in African trade and exports. 👉 Secure your place at https://lnkd.in/df6hRHCp or contact bookings@gtreview.com for more information. #GTRAfrica #TradeFinance #ExportFinance #InfrastrcutureFinance

Speaking at GTR Africa 2024 in London, Greg Fyfe was upbeat: 'The African ECA market has seen a rebound in activity, with over $23bn in new business being written last year alone, a significant increase on prior years. In addition, the modernisation of the OECD Arrangement to introduce greater flexibility has been welcomed by the industry and African sovereign and project borrowers. We believe that local and regional banks have an important role to play in ECA financing, with an increased appetite to provide ECA guaranteed and tied commercial funding in a range of currencies and across a broad spectrum of countries.' Global Trade Review (GTR) Standard Bank Corporate and Investment Banking

When it comes to global #trade, the playing field is far from even. Trade between #European countries accounts for more than two-thirds (68 percent) of all trade across the continent. In #Asia, the figure is close to 70 percent while in #LatinAmerica and the #Caribbean it is around 20 percent. But across #Africa barely one-sixth of all trade (16 percent) stays within the region. In the latest #OPECFundQuarterly, we spoke to Admassu Tadesse, Group President and Managing Director of the Trade and Development Bank Group - TDB Group, about the future of #tradefinance in Africa and how to close the US$100 billion #financegap. Read the interview: bit.ly/4dmL4Wj

GHIB convenes inaugural “CNVERGE” conference on boosting trade banking for Africa GHIB is aligned with this premise and is of the strong view that scaling up the value of African international trade will lead to exponential developmental benefits #AsaaseNews https://lnkd.in/dNxghbJy