Afreximbank, Sterling Bank To Offer Supply Chain Finance In Nigeria

AFRICAN Export- Import Bank ( Afreximbank) has partnered with Sterling Bank to introduce the innovative supply chain finance product ‘ Payables Finance’, in Nigeria.

This product, branded as ‘ Afreximbank Tradelink,’ is one of Afreximbank’s digital offerings under the umbrella of the Africa Trade Gateway ( ATG).

ATG provides African corporate and commercial banks with relevant digital tools to access market information, connect with buyers and sellers across the continent for efficient marketing and procurement, facilitate Know Your Customer ( KYC) processes, and promote trade payments between African countries in local currencies.

The partnership with Sterling Bank is a unique and innovative arrangement which leverages the complementary strengths of both institutions to provide a comprehensive market- led solution to Nigerian corporate and their suppliers.

Under the arrangement, Afreximbank will provide financing to corporate and banks in both US Dollars and Euros while Sterling Bank will manage financing in naira. Suppliers of Nigerian corporate can thus benefit from financing in both local and foreign currency as per their requirements.

The Executive Vice President of Afreximbank Global Trade Bank, Haytham Elmaayergi, described the launch as another milestone in realising the bank’s vision of transforming Africa’s trade.

He said: “Afreximbank identified supply chain finance as a solution for improving access to trade finance in Africa and embarked on a journey to increase penetration through financial intervention and capacity building. Its Factoring Working Group has done extremely well to provide lines of credit to support factoring and has actively promoted factoring across the continent in collaboration with other institutions.”