LAGOS, Nigeria–(BUSINESS WIRE)–Africa Finance Corporation (AFC), the leading infrastructure solutions provider on the continent, has received a US$100 million credit line from the Export-Import Bank of India (India Exim Bank) to develop the critical infrastructure required to rebuild Africa’s economies in the wake of the Covid-19 pandemic.
Proceeds from the 10-year loan will support AFC’s continued mission to bridge Africa’s infrastructure gap and drive the sustainable economic growth that’s urgently required on the continent. India Exim Bank, the sovereign export credit agency of India, has actively sought opportunities to co-finance projects in Africa through credit lines to support infrastructure development. The AFC draws capital from a diverse range of international investors and lenders as part of its strategy to maintain Africa’s second highest investment grade credit ratings.
“As part of our mandate, India Exim Bank continues to foster a network of alliances and institutional linkages with multilateral agencies like Africa Finance Corporation, who have a strong credit profile and are at the forefront of changing the development landscape in Africa,” said Harsha Bangari, Deputy Managing Director of India Exim Bank. “We look forward to broadening the relationship between our institutions for the economic benefit of Africa.”
India Exim Bank provides credit lines to national governments, regional financial institutions, commercial banks and other overseas entities as part of its strategy to develop global partnerships.
AFC’s President and CEO, Samaila Zubairu said, “The Covid-19 pandemic has set back Africa’s growth trajectory and compounded its development challenges. We at AFC, continue to execute our mandate to address Africa’s infrastructure needs, working with leading development partners such as India Exim Bank. These strategic partnerships help mobilise the urgently needed capital to rebuild Africa post-pandemic, with more resilient and sustainable infrastructure across key sectors including renewable energy, transportation and telecommunications.”
In June 2021, Africa Finance Corporation received a boost to its credit ratings from Moody’s Investors Service, which raised the outlook on its A3 rating to “stable”. The Corporation’s unique access to global capital markets, drives development, integrates Africa’s economies, and transforms lives on the continent. Ends
AFC was established in 2007 to catalyse private sector-led infrastructure investment across Africa. It is the second highest investment grade rated multilateral financial institution in Africa. AFC’s approach combines specialist industry expertise with a focus on financial and technical advisory, project structuring, project development and risk capital to address Africa’s infrastructure development needs and drive sustainable economic growth. AFC invests in high-quality infrastructure assets that provide essential services in the core infrastructure sectors of power, natural resources, heavy industry, transport, and telecommunications. The Corporation has invested over US$8.7 billion in projects in 35 countries across Africa since inception.
About India Exim Bank
India Exim Bank was set up in 1982 by an Act of Parliament and is fully owned by the Government of India. It is the principal financial institution for coordinating the working of institutions engaged in financing exports and imports. India Exim Bank, has over the years, played a catalytic role in facilitating India’s integration with the global economy by promoting, financing and facilitating India’s international trade and investment. The Bank’s range of programmes have helped Indian enterprises become competitive and develop a global footprint.