- Saturday, April 20, 2024
By: Shubham Ghosh
THE Export-Import Bank of India (India Exim Bank) has extended a credit line of Rs 730 crore (£72 million) on behalf of the Narendra Modi government to the Africa Finance Corporation (AFC) to improve infrastructure in the continent and boost economic revival of the region’s countries.
AFC is a pan-African multilateral development financial body which provides infrastructure solutions in the continent. Exim Bank, on the other hand, extends credit lines to national governments, regional financial institutions, commercial banks and other overseas entities to develop global partnerships.
According to one joint statement from Exim Bank and AFC released on Tuesday (31), AFC has received £72 million credit line from Export-Import Bank of India to improve critical infrastructure required for the revival of African economies in the wake of the Covid-19 pandemic.
The funds will be used to help AFC’s continued mission to bridge Africa’s infrastructure gap and drive the sustainable economic growth which the continent urgently requires, the statement said.
AFC receives capital from various international investors and lenders as part of its strategy to maintain the continent’s highest investment grade-credit ratings.
“India Exim Bank continues to foster a network of alliances and institutional linkages with multilateral agencies like Africa Finance Corporation, who have a strong credit profile and are at the forefront of changing the development landscape in Africa,” Harsha Bangari, deputy managing director of the Mumbai-based India Exim Bank, said.
“The Covid-19 pandemic has set back Africa’s growth trajectory and compounded its development challenges. We at AFC, continue to execute our mandate to address Africa’s infrastructure needs, working with leading development partners such as India Exim Bank,” AFC president and chief executive Samaila Zubairu said.
