VTB Bank (Europe) SE and African Export-Import Bank set to cooperate in trade finance
VTB Bank (Europe) SE has signed an agreement with African Export-Import Bank (Afreximbank) within the frame of Afreximbank’s Trade Confirmation Guarantee Programme. The agreement allows VTB to use a wide range of Afreximbank trade finance products for expanding VTB’s activities in Africa and contributing to the strengthening of VTB’s clients’ positions in cooperation with African counterparties.
Arthur Iliyav, Chairman of the Board at VTB Bank (Europe) SE, said: “VTB Bank (Europe) SE’s participation in the program is an opportunity to provide additional financing options for African counterparties and support VTB Group’s clients looking to conduct business in the region. We hope it will give our clients a competitive advantage in the African market and help increase the share of African partners in their trade business.”
Amr Kamel, Executive Vice President, Business Development and Corporate Banking, at Afreximbank, said: “The signing of this agreement will enable Afreximbank to strengthen its support to Russian entities seeking to do business in Africa.”
The African continent continues to gain more importance for Russian trade. Turnover between Russia and Africa exceeded $20 bn in 2018, showing solid growth of 17% compared to 2017. VTB Group is keen to follow its clients’ needs and has already concluded a number of transactions with financial institutions in several African countries.
About VTB Bank (Europe) SE:
Headquartered in Frankfurt, VTB Bank (Europe) SE is part of VTB Group, providing a wide range of services across the corporate investment banking sector with a focus on fostering European-Russian trade relations. The bank has a wide portfolio of corporate lending products, trade finance capabilities, real estate finance, structured commodity financing, euro clearing for a network of correspondents, the processing of cross-border payment orders, as well as current account management and cross-selling of banking products. VTB Direktbank, a branch of VTB Bank (Europe) SE, has successfully established itself as a trusted direct bank for deposit products, currently servicing more than 170 000 customers.
The African Export-Import Bank (Afreximbank) is the foremost pan-African multilateral financial institution devoted to financing and promoting intra- and extra-African trade. The Bank was established in October 1993 by African governments, African private and institutional investors, and non-African investors. Its two basic constitutive documents are the Establishment Agreement, which gives it the status of an international organization, and the Charter, which governs its corporate structure and operations. Since 1994, it has approved more than $67 billion in credit facilities for African businesses, including $7.2 billion in 2018. Afreximbank had total assets of $13.4 billion as at 31 December 2018. It is rated BBB+ (GCR), Baa1 (Moody’s), and BBB- (Fitch). The Bank is headquartered in Cairo.