The African Export-Import Bank (Afreximbank) has said that it has concluded plans to invest $2.5 billion in Nigeria for infrastructural development, as well as maximizing the economy of the country.
This is part of the initiative by the African multilateral financial institution to help boost Nigeria’s economy giving the importance of the country to the bank.
According to the News Agency of Nigeria (NAN), this disclosure was made by the President/Chairman. Board of Directors of Afreximbank, Prof. Benedict Oramah, when he led a delegation of the bank to visit the Secretary to the Government of the Federation (SGF), Mr Boss Mustapha in his office.
What the Chairman/President of Afreximbank is saying
Oramah in his statement said, “We decided that giving the importance of Nigeria to the bank in terms of the share of membership of the bank, the pivotal role Nigeria is playing in the bank, and also the extent of activities we undertake in Nigeria, we decided that we should be coming periodically to brief the SGF that through him also, such briefing can be extended to the different agencies of government. So that as we implement our work, we will continue to receive the support we need.”
Oramah noted that Afreximbank has done cumulative disbursements of almost $20 billion within the last 5 years in Nigeria.
He said that his mission to the SGF was to brief him on other intervention programmes in the areas of establishment of the African Medical Centre for excellence and African quality assurance centre and also inform him of the plans to support Nigeria to begin to manufacture vaccines given the present Covid-19 situation in the country.
Speaking during the occasion, Boss Mustapha, expressed his appreciation for the numerous initiatives by the management of Afreximbank and their support to Nigeria’s economy.
The SGF said, “Supporting the Nigerian economy in the way you are doing as evidenced in the initiatives that you have enumerated this afternoon.
“I’m glad that most of these were things I had cause to discuss with you a couple of times, and on occasions, particularly when I had singular privilege and honour to chair the annual general meetings in Moscow.”
The SGF said the credible infrastructural facilities Afreximbank had put in place in Nigeria would help to stimulate the nation’s economy, adding that Afreximbank’s institutional framework will address so many issues in Nigeria.
He pointed out that in spite of the adverse effect of Covid-19, Nigeria has demonstrated that its economy is resilient, and is strong to have been able to exit a recession, though marginally in the fourth quarter of 2020.
What you should know
Afreximbank is a Pan-African multilateral trade finance institution established in 1993 under the auspices of the African Development Bank with headquarters in Cairo, Egypt.
It was set up by African Governments, African private and institutional investors as well as non-African financial institutions and private investors for the purpose of financing, promoting and expanding intra-African and extra-African trade using three broad services namely:
- Credit (Trade finance and Project finance)
- Risk Bearing (Guarantees and Credit Insurance)
- Trade Information and Advisory Services
Afreximbank has 50 African member countries. As of June 2020, the bank had four regional locations and is in the final stages of establishing a fifth regional office for Central Africa.
This is a welcome development from AFEXIMBank we hope the details stated be quickly implemented so as to stimulate the growth of Nigeria’s economy. And we hope such investment will be into critical employment generating sectors.