Afreximbank closes $282m India-focused club deal
The African Export-Import Bank (Afreximbank) on Thursday announced the successful completion of a first-of-its-kind India-focused club deal for 282 million dollars.
This is contained in a statement issued by Vincent Musumba, Manager, Communications and Events, Afreximbank, at the conclusion of the deal in Dubai, United Arab Emirates (UAE)
Musumba said the deal was initiated for the exclusive participation of Indian lenders, and arranged by Bank of Africa UK PLC.
He said the primary syndicated club deal saw participation from Indian lenders through their overseas branches and subsidiaries in the Dubai International Financial Centre in the UAE, Singapore, and Mauritius.
Musumba said the facility was backed by six participating banks and financial institutions, including five that joined as first-time lenders to Afreximbank
The communications manager said the facility which would help Afreximbank achieve its objective of diversifying its funding sources, carries a three-year tenor.
He quoted Haytham ElMaayergi, Executive Vice-President, Afreximbank, saying “the conclusion of the initiative represents a major milestone for the bank as it sought to fulfill key objectives of its funding programme.
“This facility will help Afreximbank to continue to play a major role in the development of intra-African trade and trade between Africa and the rest of the world, particularly with India.
“It is a testament to the rapid growth in Africa’s economic relationship with India and is evidence of Afreximbank’s growing ability to harness resources into Africa.
“Also to fund trade finance-related investments that will have a positive impact on trade between Africa and India,’’ he said.
Musumba also quoted Chandi Mwenebungu, Director and Group Treasurer of Afreximbank, as reviewing the bank’s vision for Africa, to included diversification of its liability book by geography, investor type, and tenor.
Musumba said that Zineb Tamtaoui, General Manager, Bank of Africa, Dubai Branch, expressed appreciation for the opportunity to put together “a landmark deal that would be a stepping stone to many India-focused club deals going forward”.
NAN
