After many years, South Africa finally signed the establishment documents of AFREXIM Bank. This means that South Africa is now a Class A shareholder, with equal rights as the other founder members. As an acknowledgement of the change in South Africa’s status, the bank has allocated US$11bn to the country:

  • US$8bn package will fund strategic sectors like energy, minerals beneficiation, automotive sector, manufacturing and infrastructure.
  • An additional US$3bn package will drive inclusion and transformation, and fund SME and underserved economic actors.

UBU Holdings Chair, Portia Derby-Molefe, with Thelo DB CEO, Ronnie Ntuli

 

AFREXIM Bank’s entry to the South African market is exciting as it increases the number of funding options available to South African businesses, especially black-owned businesses and those in rural areas.

From UBU’s experience, they are efficient and could replace the SA DFIs as preferred lenders. We at UBU welcome the entry of AFREXIM Bank into the industrial funding space.