AfDB, Natixis sign US$50million agreement to boost trade finance in Africa

afdb

The African Development Bank has signed a US$ 50 million risk participation agreement with investment and corporate bank Natixis. The 50/50 risk-sharing agreement covers a portfolio of commercial transactions totaling USD 100 million, which will support commercial operations worth USD 600 million in Africa over the next three years.

The RPA will meet the growing demand of African markets for trade finance in economic sectors such as agribusiness, health, services and industry. In addition, it will promote the diversification of the economy, generating growth, jobs, and additional tax revenues for several African states. The agreement will benefit African commercial banks as well as SMEs on the continent, by guaranteeing them better access to financing for their foreign trade operations.

Natixis is a financing institution, investment, asset management, insurance, and financial services division of Groupe BPCE, the second-largest banking group in France, with 31 million customers through its two networks, Banque Populaire, and Caisse d’Epargne.

The African Development Bank Group comprises three distinct entities: the African Development Bank (AfDB), the African Development Fund (ADF), and the Nigeria Trust Fund (NTF). On the ground in 41 African countries with an external office in Japan, the Bank contributes to the economic development and the social progress of its 54 regional member states.

Source: Payers

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