Fred P. Hochberg, Chairman and President of the Export-Import Bank
of the United States (EXIM Bank), and Phillips Oduoza, CEO and Group Managing
Director of United Bank for Africa (UBA) today signed a memorandum of
understanding (MOU) with the goal of expanding trade between the U.S. and
sub-Saharan Africa at the World Economic Forum Africa (WEF) in Kigali.
“EXIM Bank is proud to build on its decade’s long commitment to
financing American exports to sub-Saharan Africa,” said Chairman
Hochberg. “This memorandum 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.”
The two were joined by Uzoka Kennedy, Deputy Managing Director and
Group Managing Director Designate, UBA and Sola Yomi-Ajayi, Group Head,
Financial Institutions and International Organizations, UBA, who all
participated in the signing ceremony.
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. EXIM Bank and UBA will 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.
UBA is a leading financial
services institution in Africa, with business offices in 19 African countries,
in addition to offices in the U.S., United Kingdom and France. The
multinational Bank provides banking services to over 11 million customers in
Africa and around the world.
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.
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.
In 2014, the Bank signed a $100 million MOU with the Eastern and
Southern African Trade and Development Bank (PTA Bank) to finance U.S. exports
to the region that target both Diaspora businesses in the U.S. and PTA Bank's
member states.
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