Rinchi
TechInAfrica – Africa Finance Corporation (AFC), the Africa-based infrastructure development finance institution announced the acquisition of a loan facility from the Export Bank of China—a $200 million of a 5-year loan and $100 million of 5-year— standby facility for the purpose of general corporate.
The facility from CEXIM shows the initiative financing facility from the country of the People’s Republic of China (PRC). The initiative is also followed by the Corporation’s strategic objective to build a coalition of investors by broadening its fundraising projects to include all sources of institutional capital in East Asia as well as its partners in North America and Europe.
The facility will also provide contingent funding support that is important for the management of liquidity risk and opens up other financing and partnerships with Chinese state-owned and private corporates.
The facility agreement also will also mark the first path into beneficial partnership with CEXIM, including AFC’s support to CEXIM’s Africa strategy, viewing their assets portfolio and provide advisory on how to maximize its loan book in Africa.
The President and CEO of AFC, Samaila Zubairu, stated: “In the last two decades, China has grown from a relatively small investor to becoming one of Africa’s largest trading partners today. This facility is therefore not only a milestone for the Corporation and its strategy for the Far East, but also marks a natural evolution in the growing financial sophistication of China in Africa, a necessary development required to accelerate Africa’s journey towards closing the infrastructure deficit.
“Moreover, AFC welcomes CEXIM’s commitment towards its Africa strategy, and we look forward to lending our expertise on how best to deliver sustainable infrastructure investment that should catalyze industrial growth on the continent,” Said Samaila Zubairu ended his statement.
