FIRST Capital Bank (FCB) has secured a US$15 million trade finance facility from the African Development Bank (AfDB) for lending to small to medium enterprises (SMEs).<\/p>\n
The facility will help bolster intra-African commerce in line with the goals of the Africa Continental Free Trade Area, AfDB said in a statement.<\/p>\n
The package, comprising a US$7,5 million trade finance line of credit and a US$7,5 million transaction guarantee, is expected to catalyse about US$146 million in trade over the next three years, the pan African bank said.<\/p>\n
\u201cThe line of credit will provide the much-needed hard currency financing to support FCB to close its trade finance gap and expand its trade finance support for SMEs and local corporates in Zimbabwe, a transition country.<\/p>\n
\u201cThe transaction guarantee will provide a 100% guarantee to international confirming banks for the non-payment risk taken on FCB\u2019s trade finance transactions conducted on behalf of SMEs and women-led businesses.\u201d<\/p>\n
The facility was approved by AfDB\u2019s board of directors on April 30.<\/p>\n
FCB chief executive officer Tapiwa Mushoriwa said they were excited about the growth prospects the US$15 million facility \u201cwill unlock for the business communities driving our economy\u201d.<\/p>\n
\u201cThe package aims to bolster our trade finance services in Zimbabwe, across Africa, and globally,\u201d Mushoriwa said.<\/p>\n
Moono Mupotola, AfDB\u2019s country manager for Zimbabwe, said the \u201cfacility is expected to support the importation of strategic commodities and promote the integration of Zimbabwe\u2019s economy into regional and global trade markets, which are essential for the country\u2019s growth\u201d.<\/p>\n
In its financial results for the year ended December 31, 2023, FCB said it was engaging AfDB and Trade Development Bank for credit lines for lending to sectors of the economy as the bank seeks to grow the interest income base.<\/p>\n
FCB last year secured credit lines worth US$33,32 million from the European Investment Bank and Afreximbank.
\nhttps:\/\/www.newsday.co.zw\/business\/article\/200026983\/fcb-secures-us15m-afdb-facility<\/p>\n","protected":false},"excerpt":{"rendered":"
FIRST Capital Bank (FCB) has secured a US$15 million trade finance facility from the African Development Bank (AfDB) for lending to small to medium enterprises (SMEs). The facility will help bolster intra-African commerce in line with the goals of the Africa Continental Free Trade Area, AfDB said in a statement. The package, comprising a US$7,5 […]<\/p>\n","protected":false},"author":1,"featured_media":3041,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_mi_skip_tracking":false,"footnotes":""},"categories":[15],"tags":[],"class_list":["post-3002","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-news-and-updates"],"_links":{"self":[{"href":"https:\/\/ctrade.co.zw\/index.php?rest_route=\/wp\/v2\/posts\/3002","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/ctrade.co.zw\/index.php?rest_route=\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/ctrade.co.zw\/index.php?rest_route=\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/ctrade.co.zw\/index.php?rest_route=\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/ctrade.co.zw\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=3002"}],"version-history":[{"count":3,"href":"https:\/\/ctrade.co.zw\/index.php?rest_route=\/wp\/v2\/posts\/3002\/revisions"}],"predecessor-version":[{"id":3042,"href":"https:\/\/ctrade.co.zw\/index.php?rest_route=\/wp\/v2\/posts\/3002\/revisions\/3042"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/ctrade.co.zw\/index.php?rest_route=\/wp\/v2\/media\/3041"}],"wp:attachment":[{"href":"https:\/\/ctrade.co.zw\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=3002"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/ctrade.co.zw\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=3002"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/ctrade.co.zw\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=3002"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}