Three decades of building prosperity for Africans through trade
Over the past 30 years, Afreximbank has been working to expand the possibilities of intra-continental trade and investment in Africa. Now, it is focusing its ambitions across even more borders.
Opportunity from adversity
Regarded as the “lost decade”, 1980s Africa was beset by economic difficulties, political challenges, and ongoing conflicts. For many, it was hardly an environment to experiment in. But for select visionaries, it was an opportunity to create an institution that would wholly support Africans—one that led to the launch of Afreximbank, the continent’s first export-import bank.
Afreximbank began as a “child of necessity,” states its President, Dr. Benedict Okey Oramah. Its purpose was to deliver financial solutions that enabled intra-African trade, global investment, and regional industrialization. Three decades on, its commitment remains the same, made ever stronger by the partnerships and innovations that have shaped the bank over the years.
To mark Afreximbank’s 30th anniversary, its successes were showcased on the world stage at the Afreximbank Annual Meeting (AAM) in Accra, Ghana in June 2023. Under the theme “Delivering the Vision. Building Prosperity for Africans,” a roadmap was set for Africa’s continued socioeconomic development through intra-African trade.
In front of an audience of government officials, senior policymakers, business leaders, and academia, speakers positioned the value of trade in the context of the continent’s interconnectivity, sustainability, and security. Afreximbank was celebrated for its progress in liberating the African market but—in recognition of new challenges—a call for more integrated solutions was made.
On trading places
The world’s perception of Africa as a reputable trading partner is a marked contrast from what it was two decades ago. “Africa was a fragile market, not connected by any kind of infrastructure,” says Rosa Whitaker, President and CEO of The Whitaker Group investment firm, an African trade negotiator, and AAM speaker.
“Africa’s exports are being increasingly diversified and there's a united vision to integrate economies, ideas, and people within Africa,” she adds. Both African governments and an increasing number of private institutions are directing their investments towards the continent, knowing it has the potential to be the partner of choice for global capital.
“Africa’s exports are being increasingly diversified and there's a united vision to integrate economies, ideas, and people within Africa.”
Rosa Whitaker President and CEO of The Whitaker Group investment firm
Since its establishment, Afreximbank has been working to fulfil this potential. This is exemplified through its support for the African Continental Free Trade Area (AfCFTA) and solutions aimed at streamlining intra-African trade—including the Pan-African Payment and Settlement System (PAPSS) which allows payments to be done in local currencies.
On the final day of the AAM, Afreximbank also launched the Africa Trade Gateway (ATG), a suite of five digital solutions that provides entrepreneurial, financial, and legislative support to businesses. As a single platform, it enables Afreximbank to promote trade and investment opportunities and the implementation of the AfCFTA all from one destination.
A Caribbean connection
In Africa, connectivity is perceived as a prerequisite to prosperity. As the African entrepreneur and investor, Tony Elumelu, says, “If you want to attract investment you need to bridge the gap between nations and people.” And that is exactly what Afreximbank is doing as part of its mission to build a better Africa.
Having announced the opening of its first Caribbean office in Barbados earlier this year, Afreximbank invited the nation’s Prime Minister, Honorable Mia Mottley, to lead a plenary session at the AAM: ‘Strengthening Interconnectivity Between Africa and its Diaspora for Shared Prosperity.’
“If you want to attract investment you need to bridge the gap between nations and people.”
Tony Elumelu African entrepreneur and investor
In her address, the Prime Minister highlighted the value of Afreximbank in bringing the trading capacity of Africa and the Caribbean closer.
“When we look at the reality that if we are cut off, the immediate fresh food supply for the entire Caribbean is at risk, that's untenable,” she explains. With Africa as a strategic partner, the region can gain access to a pool of capital from both the public and private sectors, enabling it to move towards a more sustainable future.
Afreximbank’s Caribbean office marks a significant turning point in the development of South-South trade. Connected to the African diaspora in this way will enable the bank to create a funnel of investment to Africa, developing a stable economic environment for African enterprises as a result.
After all, they are the institutions setting the foundation on which future business leaders will operate. And so, it’s important that, as Africa’s trading network grows, they do not neglect the structure that the continent needs to ensure prosperity for its people.
