African Export-Import Bank (Afreximbank) has signed a US$500 million (R8.1 billion) credit facility with the Africa Trading and Distribution Company (ATDC) to finance the purchase and movement of goods across African markets.
The facility will provide ATDC with funding for eligible trading and distribution transactions, including the aggregation of goods and associated transport, warehousing and distribution costs, the bank said in a statement on Monday, September 21.
ATDC, an Afreximbank-backed trading and distribution company, has initial operations in Egypt, Nigeria, Malawi and Zimbabwe. It plans to use the facility to connect producers and manufacturers with buyers across the continent and develop recurring trade flows along regional corridors.
The financing will support the distribution of African-made goods and expand market access for producers, Afreximbank Executive Vice-President for Intra-African Trade and Export Development Kanayo Awani said.
Access to working capital will help the company aggregate supply and move goods across value chains, ATDC Chief Executive Stewart Makura said.
