The African Export-Import Bank (Afreximbank) has expanded its range of trade finance products by launching a new guarantee programme for letter of credit (L/C) and other financial instruments.

The Afreximbank Guarantee Programme (Afgap) is aimed at closing Africa's trade finance gap.

Features

Afgap features short-term trade guarantee solutions, including an L/C confirmation guarantee and a country risk guarantee facility.

The facility also provides supply chain finance guarantee solutions and medium and long-term guarantee products.

Tailored solutions

The facility will also provide tailored solutions such as a construction finance guarantee to support project completion, a trade contract guarantee and an interstate transit guarantee to facilitate the movement of goods across Africa's borders.

The programme is part of Exim-plus, a strategy developed to position Afreximbank as a comprehensive trade facilitation and financing solution centre in Africa.

Under Exim-plus, Afreximbank is offering a wide range of instruments that are often associated with export credit agencies and other more specialised trade and development finance institutions.

This article represents the views of the author and not necessarily those of the ICC or Coastline Solutions.