ADDIS ABABA – The African Export-Import Bank (Afreximbank) is set to hold a business forum in Addis Ababa on Wednesday to promote its trade facilitation scheme to commercial banks in Ethiopia.
The program, known as Afreximbank Trade Facilitation Program (AfTRAF), was launched in August 2018 to enhance the confidence of counter-parties in the settlement of international trade transactions for intra and extra African trade.
The Export-Import Bank business in Ethiopia has traditionally been through one commercial bank, Commercial Bank of Ethiopia (CBE).
Its officials are now aiming to promote and develop strong partnerships with all commercial banks during the forum that will be attended by Rene Awambeng, Director & Global head Client Relations of Afreximbank, Governor of the National Bank of Ethiopia and CEOs’ of commercial banks, according to the meeting’s schedule.
Afreximbank has planed to sign up and provide the AfTRAF Program to 10 other commercial banks by the end 2021, according to the Cairo-based financial institution.
In the same period, Afreximbank says it is targeting the deployment of US$500 million in AfTRAF facilities amongst 11 commercial banks.
The program covers five essential facilities including LC Confirmation Facility with optional discounting, Bank to Bank Reimbursement Undertaking Facility, Promissory Notes Bills of Exchange Aval Facility, Bonds, Guarantees Indemnities (BGI) Facility, and Trade Confirmation Guarantee Facility.