China Exim (Cexim) has issued a guarantee outside of China for the first time, on US$300mn of loans for the African Export-Import Bank (Afreximbank).

The finance comes in two tranches: a US$250mn syndicated facility and a US$50mn bilateral deal, with the latter coming directly from Cexim’s own balance sheet.

The syndicated facility was guaranteed by Cexim, marking its first guarantee for a non-Chinese borrower and by default, its first on the African continent, a Standard Chartered spokesperson confirms to GTR.

Standard Chartered acted as sole co-ordinating bank and documentation agent, as well as sole bookrunning on the syndicated facility, which was oversubscribed by 100% and included 15 lenders.

The other 14 are: Cexim, China Merchants Bank, Shanghai Rural Commercial Bank, Industrial and Commercial Bank of China, CTBC Bank, E Sun Commercial Bank. Land Bank of Taiwan, Mega International Commercial Bank, Bank of Taiwan, First Commercial Bank, KEB Hana Bank, Woori Bank, The Shanghai Commercial & Savings Bank and Taipei Fubon Commercial Bank.

Afreximbank will use the finance to on-lend, with the Cexim guarantee allowing it to do so at a lower cost.

Cexim’s Shanghai branch chairman Li Li says: “Afreximbank and Cexim have long standing good relations. Cexim is positive and confident about working with Afreximbank to boost Africa’s economic development and increase trade with China. This syndicated facility would enhance the two institutions’ ability to achieve our mandates.”