- EBRD’s first investment in Sub-Saharan Africa is set to boost Access Bank’s trade finance operations
The European Bank for Reconstruction and Development (EBRD) has provided a US$100mn trade finance facility to Nigeria’s Access Bank, marking its first ever investment in Sub-Saharan Africa.
The investment is part of the European lender’s Trade Facilitation Programme and will support Access Bank’s trade finance operations, helping it to “strengthen import and export activities” and “enhance links with other EBRD countries of operation”, it said.
Under the programme, the funds will be used to issue guarantees in favour of foreign commercial banks and provide cash advances to fund trade-related loans to local companies, including pre-export, post-import and local distribution activities.
The facility will also enable intra-regional trade, the multilateral development bank said.
In addition, EBRD will support Access Bank with a “technical cooperation package”, including regular training sessions, workshops and e-learning courses.
An official ceremony to celebrate the deal took place this Thursday, January 29, GTR can reveal.
Access Bank’s managing director, Roosevelt Ogbonna, said: “We are pleased to be the first financial institution in Nigeria to partner with the EBRD. This partnership represents a significant step in strengthening Africa’s trade ecosystem.
“This also aligns with our commitment to providing robust financial solutions that empower businesses, deepen regional trade and support sustainable economic growth.”
Access Bank – which is owned by the largest financial holding company on the Nigerian Exchange, Access Holdings – is the leading commercial bank in Nigeria, with a network of more than 700 branches.
EBRD’s deal with the Nigerian lender comes more than two years after its Board of Governors approved an amendment that enabled it to start working in Sub-Saharan Africa and Iraq.
EBRD president Odile Renaud-Basso said: “We remain committed to supporting the development of local financial institutions and fostering a business environment that drives sustainable private-sector growth and trade finance in Nigeria.”
