US$1.7 billion Afreximbank financing boost for economy

Business Finance

The country’s economic fortunes could receive a significant fillip as the African Export-Import Bank (Afreximbank) weighs an additional US$1.706billion in transactions, according to the Ministry of Finance.

This prospective financing commitment comes on top of Afreximbank’s existing support for Ghana’s public and private sectors, which currently stands at an impressive US$1.761billion, underscoring the multilateral trade finance institution’s unwavering commitment to bolstering the country’s economic development.

Afreximbank’s potential US$1.7 billion investment in Ghana’s economy is poised to provide a much-needed boost to various sectors, ranging from infrastructure to trade facilitation, as the country navigates its path to economic recovery and sustained growth.

The bank’s robust support for Ghana’s development agenda was recently shown by a groundbreaking project nicknamed ‘Project Shiprite’. Earlier this month, a consortium comprising Afreximbank, the African Development Bank (AfDB), Eastern and Sout
hern African Trade and Development Bank (TDB) and Petra Pension Schemes jointly executed a facility agreement to extend senior debt funding of US$94million to PMD Assetco Limited (PMD).

This financing will facilitate the construction and operation of a cutting-edge floating dock ship-repair facility in the port of Takoradi, positioning Ghana as a regional maritime hub. With the full commitment of US$13 million in capital secured, Project Shiprite will boast a 13,500-tonne lift-capacity floating drydock, 30,000 square metres of reclaimed land, a 200-metre jetty, modern workshops, offices and heavy marine equipment upon completion.

Afreximbank Annual Meetings

Afreximbank’s steadfast backing of Ghana’s economic aspirations was further underscored by the recent visit of Abena Osei-Asare, Minister of State, who will lead Ghana’s delegation to the 2024 Afreximbank Annual Meetings and 3rd African-Caribbean Trade and Investment Forum (ACTIF2024) in Nassau, Bahamas.

The high-profile event, themed ‘Owning Our Desti
ny: Economic Prosperity on the Platform of Global Africa’, brought together over a thousand delegates including African and Caribbean leaders, policymakers, business leaders and thought-leaders to chart a course for sustainable economic transformation on the continent.

Ms. Osei-Asare will deliver keynote remarks at the opening ceremony and a plenary session focused on ‘Economic Transformation for Global Africa in a Polycrisis World’. She also participated in a high-level policy dialogue on ‘An Emergent Global Africa: A Platform for Sustainable Economic Transformation’.

Ghana’s strong ties with Afreximbank date back to the bank’s inceptio, as the country is a founding member and shareholder, holding 3,645 Class ‘A’ shares – representing 2.41 percent of the bank’s total shareholding.

Source: Ghana Web