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A US$500 million credit facility from the African Export-Import Bank (Afreximbank) will enable Africa Trading and Distribution Company (ATDC) to expand the sourcing, movement and distribution of commodities and products across African and global markets, the bank said on Monday.
Afreximbank and ATDC signed the global credit facility agreement to finance eligible trade and distribution transactions, including the purchase and aggregation of African goods, logistics, transportation, warehousing and distribution costs.
The facility will provide ATDC with financing across different stages of the trade and distribution cycle, with repayments anchored on proceeds generated from the sale of goods financed under the facility.
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“The US$500 million Global Credit Facility extended to ATDC underscores Afreximbank’s commitment to strengthening the trade, logistics and distribution architecture required to realise the full potential of the African Continental Free Trade Area (AfCFTA),” Kanayo Awani, Afreximbank’s executive vice president for Intra-African Trade and Export Development, said.
Awani said the facility would facilitate the distribution of “Made-in-Africa” goods across the continent, deepen regional value chains and expand market access for African producers.
“It will also enhance the global competitiveness of African products, positioning the continent as a significant exporter of value-added and manufactured goods,” she said.
ATDC Chief Executive Officer, Stewart Makura, said the facility would strengthen the company’s ability to aggregate supply, mobilise working capital and move goods efficiently across value chains.
“Realising Africa’s full trade potential requires reliable systems that connect producers, processors, manufacturers and markets,” Makura said.
The facility will also help ATDC develop trade corridors and expand access to sourcing and distribution networks across African markets, supporting commercially sustainable trade flows and greater processing of African commodities, the statement said.
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