The African Export-Import Bank (Afreximbank) has announced a USD 1 billion financing commitment for Ethiopia over the next 12 months, urging businesses and financial institutions to seize the opportunity as the country implements key economic reforms.

The announcement came during a two-day roadshow held in Addis Ababa, the bank’s second in four years, aimed at promoting trade financing and showcasing support for Ethiopia’s development agenda.

Fikadu Digafie, Vice Governor and Chief Economist of the National Bank of Ethiopia (NBE), welcomed the initiative, calling it timely given Ethiopia’s ongoing macroeconomic transformation. He emphasized the need for stronger collaboration between the private sector, commercial banks, and Afreximbank to realize the full benefits of reform.

Eric Monchu Intong, Acting Group Managing Director for Client Relations at Afreximbank, highlighted Ethiopia’s low utilization of the bank’s resources despite being a founding member. Over the past five years, Ethiopia has accessed only USD 2 billion, compared to significantly higher figures in other member states.

Since 2021, Afreximbank has supported Ethiopia through its Africa Trade Facilitation (AfTRAF) Programme. Partnerships have expanded from state-owned institutions to 14 commercial banks, enabling the import of critical goods such as fuel, fertilizers, and pharmaceuticals.

Monchu Intong urged stakeholders to submit bankable projects, pledging that at least USD 1 billion would be disbursed across the public and private sectors within a year. He identified priority areas including transport infrastructure, industrial parks, manufacturing, and value-added exports.

Source: Capital Ethiopia