Afreximbank, ATDC sign $500m facility to expand trade, distribution

The African Export-Import Bank (Afreximbank) and the Africa Trading and Distribution Company (ATDC) have signed a $500 million global credit facility agreement to support trade, movement and distribution of commodities and products across African and global markets.

ATDC is a pan-African platform established to support the expansion of Africa’s trade, with initial local operations in Egypt, Nigeria, Malawi and Zimbabwe, the platform is closing gaps in trade and market intelligence, improving market access, and supporting implementation of the African Continental Free Trade Area (AfCFTA).

Under the facility, Afreximbank will provide ATDC with trade-finance capacity to undertake and scale eligible trading and distribution transactions across the continent. The financing will support purchasing and aggregation of African goods, associated logistics, transportation, warehousing and distribution costs, providing ATDC with the financing required across different stages of the trade and distribution cycle.

ATDC will deploy financing available under the facility towards eligible trade, logistics and distribution transactions with repayments anchored on proceeds generated from the sale of goods financed through the facility.

Commenting on the signing, Executive Vice President, Intra-African Trade and Export Development, Afreximbank, Mrs. Kanayo Awani, commented: “The $500 million Global Credit Facility extended to ATDC underscores Afreximbank’s commitment to strengthening the trade, logistics and distribution architecture required to realise the full potential of the African Continental Free Trade Area (AfCFTA).”.

Chief Executive Officer of ATDC, Mr. Stewart Makura, said, “Realising Africa’s full trade potential requires reliable systems that connect producers, processors, manufacturers and markets. This facility strengthens ATDC’s ability to aggregate supply, mobilise working capital and move goods efficiently across value chains. Together with Afreximbank, we will support stronger supply chains, value addition, import substitution and intra-African trade.”