WEFA: NEXIM Bank, UBA Sign $100m MoU To Foster Trade Between US, Africa

Export-Import Bank of the United States (EXIM) and United Bank of Africa have signed a Memorandum of Understanding (MoU) with the gola of expanding trade between the United States and sub- Africa.
Expectedly, the MoU, signed at the sideline of the World Economic Forum on Africa, which began in Kigali, Rwanda on Wednesday, could provide up to $100 million to finance the expansion of trade between United States and Africa.
The MoU was signed by the Chairman and President of the EXIM Bank, Fred Hochberg, and Phillips Oduoza, CEO and Group Managing Director of United Bank for Africa (UBA).
The MoU “signals to American exporters and African businesses alike that there are many more promising opportunities to work together, and EXIM stands ready to provide the financing needed to turn more of those opportunities into realities,” Hochberg said,
The MOU is a statement of general intent between EXIM Bank and UBA to promote the availability of EXIM financing of up to $100 million in the region, as the two banks work together to share information and develop export-financing opportunities in key sectors including commodities, agriculture and food products, spare parts, and large and small equipment purchases.
Under the MoU, EXIM Bank and UBA will explore options for offering a range of financing solutions for American exporters and African buyers, including short and medium-term financing programs that allow for flexible repayment terms and competitive insurance policies guaranteed by EXIM.
It will be recalled that since 2009, EXIM has provided more than $6 billion in financing for transactions across sub-Saharan Africa.
For the fiscal year ending in 2014, the Bank supported $2.05 billion in transactions in more than 20 sub-Saharan African countries.

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