The Nation Newspaper

Tag: AFREXIMBANK

  • Afreximbank grants Heritage Bank $150m facility

    African Export Import Bank(Afreximbank) has provided a $150 million support for Heritage Bank Limited.

    In a statement to announce this development, Divisional Head, Corporate Communications, Olusola Longe-Okenimkpe said: “HBCL Investment Services Limited (HISL), a major shareholder of Heritage Bank Limited, has executed the term sheet for the issuance of guarantee for its $150 million Convertible Bond with the African Export Import Bank (AfreximbanK) to support Heritage Bank Plc in its next phase of growth.

    Heritage Bank recently concluded a business combination with Enterprise Bank Limited as part of its market focus and positioning strategy. The underlying essence of the combination was to facilitate the deployment of its retail banking franchise, especially its aspiration of emerging as the bank of choice for small growing businesses.

    Afreximbank, a frontline African financial institution, believes in the uniqueness of the business strategy of Heritage Bank, especially the Small Growing Business focus of the bank, which aligns with the founding mission of Afreximbank.

    The outcome of recent engagement with a number of institutional investors shows a desirable appetite for the bond issuance, which is scheduled to be completed within a couple of weeks.

  • Obasanjo, Seychelles president to attend Afreximbank AGM

    The African Export-Import Bank (Afreximbank) on Thursday said former President Olusegun Obasanjo and President James Michel of Seychelles will join other leaders as its Annual General Meeting (AGM) in Seychelles next month.

    A statement by the bank noted that the bank’s 23rd AGM would hold from July 18 to July 24.

    The statement indicated that others being expected at the AGM were Nobel Prize Winner in Economics, Joseph Stiglitz, Chairman of Dangote Group, Aliko Dangote, and Chairman of Heirs Holdings Limited, Tony Elumelu.

    Former United Nations Under-Secretary-General, Ibrahim Gambari and ex-World Bank Chief Economist, Justin Lin, will also attend the AGM, the News Agency of Nigeria (NAN) reports.

    The statement added that Obasanjo and others would speak on the theme – “Africa’s New Economy: Intra-African Trade and the Blue Economy as Catalyst for Economic Transformation.”

     

  • AFREXIMBANK advises govts to fund aviation

    AFREXIMBANK has urged African governments to scale up aviation infrastructure funding to attract investments.

    Without adequate funding, the desired level of growth and development in the sector would remain elusive, the bank said.

    Its President, Mr Jean-Luis Ekra, in a paper he delivered at the African Aviation Summit, in Addis Ababa, Ethiopia said African governments should invest in their airlines to become players in the global market, as the dominance of non-African carriers in the airspace remains a huge setback.

    He said non-African airlines generate about $10 billion yearly from plying African routes, quoting statistics released by Airline Economics report.

    According to him, the industry in 2010 supported about seven million jobs in Africa through direct and indirect support to activities in the travel and tourism industries.

    He said: “It is further projected that the industry will grow in terms of its impact on African economies in the next 20 years and job creation is forecast to be around 879,000.”

    He added that the volume of African airline business is expected to triple in the next 20 years to about $200 billion.

    Ekra said aviation finance is imperative for effective economic development, creation of employment above the seven million jobs reported in 2010.

    He said despite of the potential contributions of the aviation industry to trade development across the continent, the performance of the sector lagged behind compared with the rest of the world.

    He, however, noted that the demand for air transport services in Africa has increased steadily in recent years.

    He said: ”Passenger numbers and freight traffic grew by 45 per cent and 80 per cent between 2011 and 2012.

    “It is projected that at 6.1 per cent, Africa will be the third fastest growing region with regard to international traffic by 2015.

    “The growth rates for other regions are Middle East 7.9 per cent; Asia Pacific 6.9 per cent  Europe, five per cent  and North America, 4.9 per cent while the global rate is expected to be 5.8 per cent, according to statistics from the African Development Bank.”

    He said the bank being a trade finance institution was aware of the role of trade in the continent’s developmental agenda and its critical contribution to national and continent’s development.