Afreximbank launches $6bn development programme to support African countries

• Nigeria, South Africa to account for 17% and 15%, respectively

Gainmore Zanamwe — Senior Manager in the African Export-Import Bank (Afreximbank) told Daily News Egypt that the bank will launch a development financing programme for the benefit of all African countries by providing credit facilities worth $6bn.

He added that the programme aims to finance food and commodities, as well as fertilisers, with the aim of enhancing food security for African countries, especially after they was affected by the repercussions of the Russian-Ukrainian War.

He explained that the programme was initially going to be launched with $4bn, however, the value was raised to $6bn to better address the current global circumstances.

Zanamwe added that the finance will be available to all countries, including Egypt.

Last June Afreximbank released its ‘Africa’s 2022 Growth Prospects: Poise under Post-Pandemic and Heightening Geopolitical Pressures’ report in which it highlighted that Egypt is projected to account for 17% of Africa’s combined output expansion in 2022, up from 16% in 2021.

The two largest economies, Nigeria and South Africa, are expected to account for 17% and 15%, respectively, of aggregate output of the region.

“Growth is projected to strengthen in North Africa — the fastest-growing sub-region — lifted by the impressive performance of Egypt, the territory’s largest economy,” the report said.

“The projected recovery is also indicative of the relatively strong bounce-back in a few large African economies, with Egypt — which entered the COVID-19 crisis with sizable buffers following years of economic reforms — being one case in point.”

Source: Daily News Egypt