US Exim has given a US$108mn loan to a South African rail company.

Transnet, of Johannesburg, will use the finance to purchase 53 locomotives from US manufacturer GE. It’s the second loan US Exim has given Transnet to buy GE locomotives, and takes the agency’s total funding for the company to US$230mn.

The loan comes on the heels of a trip to South Africa by Barack Obama, who said he hoped to see more bilateral trade between the two nations.

Speaking after the signing of the transaction, US Exim president Fred Hochberg says: ““As the president highlighted on his recent trip, there are enormous opportunities for US exporters in South Africa and across the broader region. US Exim will continue to help American companies expand their reach into this dynamic market.”