By Cynthia Ezekwe
African Export-Import Bank (Afreximbank) has raised its financing facility for Fidelity Bank plc, from $125 million to $180 million, under the Afreximbank Trade Facilitation Programme (AFTRAF).
The Pan-African multilateral financial institution made this known in a statement, stating that the expansion to $180 million was bolstered by the continued strong financial performance of Fidelity Bank, Nigeria’s largest Tier 2 bank.
According to Afreximbank, the decision to increase its support is consistent with the economic and commercial success of the initial $125 million financing facility, which has been fully utilised by Fidelity Bank.
In addition, the augmented financing facility is expected to allow Fidelity Bank to scale up and accelerate its activities and programmes in trade and related activities.
Commenting on the financing facility increase,Benedict Oramah, president and chairman of the board of directors of Afreximbank, said, “Fidelity Bank has proven its ability to make smart use of this type of financing, with consequent benefits for the Nigerian economy. Afreximbank is keen to support a leading African bank that supports African businesses and entrepreneurs.’’
Afreximbank deploys innovative structures to deliver financing solutions that support the transformation of the structure of Africa’s trade, accelerating industrialisation and intra-regional trade as part of its commitment to boost economic expansion in Africa.
The bank’s strategy is based on four pillars which include; Promoting intra-African trade,
facilitating Africa’s industrialisation and export development, strengthening trade finance leadership, and improving financial performance and soundness.