Afreximbank signs $1bn SATIPP with South Africa to promote African trade
The African Export-Import Bank (Afreximbank) signed onT uesday an agreement with South Africa, the South Africa-Africa Trade and Investment Promotion Programme (SATIPP), with funds of $1bn.
Benedict Oramah, president and chairperson of Afreximbank’s board of directors, signed the agreement with Kutoane Kutoane, CEO of Export Credit Insurance Corporation of South Africa (ECIC).
The SATIPP is a joint programme launched by the Afreximbank and ECIC with the aim of promoting and expanding trade and investment between South Africa and other African countries with funds of $1bn.
The SATIPP is to facilitate the expansion of South Africa’s trade and investment with the rest of Africa to promote regional economic integration.
The programme will provide financing to projects that are being promoted by South Africans businesses in other African countries. In addition, it will support the export of capital goods and services from South Africa to other African countries.
Moreover, it will support the activities of small and medium enterprises in regional supply chains and support South African exporters through capacity building and enhancing of export marketing skills, as well as through trade and market information activities.
The programme offers many advantages and benefits, combining the expertise and capacities of ECIC and the Afreximbank such as the expansion of South African exports of value added goods and services, as well as investments in other African countries, according to Oramah.
Oramah said ,“the SATIPP is a natural fall out of the participation of the government of South Africa in the equity of the bank through ECIC.”
He pointed out that all goods and services will be eligible for support except armaments, ammunitions, and other military equipment, in addition to all internationally prohibited items.