Afreximbank commits $500 million to Tunisia-Africa trade promotion program

Afreximbank commits $500 million to Tunisia-Africa trade promotion program

The African Export-Import Bank (Afreximbank) is to implement a Tunisia-Africa Trade and Investment Promotion Program (TATIPP) with an initial commitment of $500 million to promote trade between Tunisia and the rest of Africa, President of the Bank, Benedict Oramah, has announced.

Speaking in Tunis during a meeting Tuesday with President Beji Caid Essebsi, Prof. Oramah said that TATIPP, whose structure would be similar to the programs being implemented with Egypt, South Africa and Nigeria, would provide special risk cover for Tunisia’s trade with the rest of Africa, Afreximbank said in a press release.

The program would also provide financing to Tunisian companies engaged in trade with other African countries and support others to retool with the view to improving their competitiveness in Africa and globally, he added.

Prof. Oramah said that if the initial commitment was fully utilized, Afreximbank would be prepared to increase the amount available.

The bank President also announced at a meeting with Prime Minister Youssef Chahed that that the Bank was considering to reopen its Tunis-based regional office for the Maghreb Region to revive trade flows between North Africa and the rest of the continent within the framework of the recently-launched African Continental Free Trade Agreement (AfCFTA).

He recalled that in addition to the $500-million TATIPP, Afreximbank had approved facilities worth $300 million for six Tunisian banks under its Afreximbank Trade Facilitation Program (AFTRAF).

AFTRAF is structured to enhance confidence of counterparties in the settlement of international trade transactions, support intra-African trade and facilitate purchase of equipment for production of export goods. It was developed in response to the cutbacks in trade finance available to Africa due to stringent compliance and regulatory requirements imposed on international banks, the press release explained.

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