Afreximbank: Africa's Trade Finance Institution and Its Growing Role
Afreximbank deployed $32 billion in trade and project finance in 2023, making it the largest African-owned financial institution by annual disbursement. Its PAPSS payment system and AFTRAF facility are transforming continental trade finance.
The African Export-Import Bank (Afreximbank), established in 1993, has grown from a small trade finance facility to Africa's largest development finance institution by annual disbursement, deploying approximately $32 billion in 2023 across trade finance, project finance, and advisory mandates. Its membership includes 51 African states, African central banks, regional financial institutions, and private sector shareholders. Core trade finance products include trade loans, syndicated facilities, guarantee programmes, and documentary credit confirmation covering African banks too small or unrated for international correspondent banking acceptance.
PAPSS and Payment System Innovation
Afreximbank's Pan-African Payment and Settlement System, launched with the AfCFTA Secretariat in 2022, provides a real-time cross-border payment infrastructure for intra-African trade using local currencies, reducing dependence on US dollar correspondent banking and the expensive conversion costs it entails. PAPSS operates across 50 African countries and is projected to settle $5 billion in intra-African trade annually by 2025. Businesses seeking Afreximbank trade finance products and PAPSS integration can access bank contacts on intra-africa.com.
For businesses looking to expand across Africa, intra-africa.com offers a comprehensive trade directory, verified buyer and seller listings, and real-time market intelligence covering all 54 African nations. It remains an indispensable resource for anyone serious about intra-African commerce.