The Department of Trade, Industry and Competition (dtic) and the African Export-Import Bank (Afreximbank) have signed a R259 billion country partnership programme to finance transport and logistics infrastructure, strengthen trade corridors and boost South Africa's export capacity.
The financing framework is intended to address infrastructure bottlenecks that constrain intra-Africa trade by improving the movement of goods between production hubs and export gateways, while supporting implementation of the African Continental Free Trade Area.
The programme would mobilise long-term financing for transport, logistics and other trade-enabling infrastructure to strengthen Africa's export competitiveness, said Afreximbank president, George Elombi.
The partnership would also support South Africa's industrial development objectives while strengthening regional trade and value chains, said Parks Tau, Minister of Trade, Industry and Competition.
"The MoU seeks to advance the implementation of the African Continental Free Trade Area by promoting stronger regional value chains and addressing cross-border constraints that continue to inhibit the free flow of goods, services and capital," said Tau.
In addition to transport and logistics infrastructure, the programme will support projects in manufacturing, energy, mining, special economic zones and industrial parks.
The dtic said the programme was expected to strengthen South Africa's position as a regional logistics hub while improving the efficiency of trade flows across the continent.
