Get Guardian on GoogleAfreximbank has unveiled a dedicated $2 billion facility to finance bankable projects at state and local levels across Africa, insisting that lack of funding should no longer hold back sub-national governments.
The announcement was made in Calabar ahead of the 6th edition of the African Sub-Sovereign Conference Network (AFSNET), holding from November 12 to 14, which has brought governors, premiers and other sub-sovereign leaders from across the continent to Cross River State.
Speaking at a pre-conference briefing, the Director, Trade Facilitation and Investment Promotion, Afreximbank, Dr Gainmore Zanamwe explained that AFSNET was created in 2021 after the bank realised that while it had engaged heads of state, ministers and big businessmen, the real people live at the grassroots.
“We actually realised that they reside in states for Nigeria. For South Africa, it’s in the provinces. For Kenya, it’s the counties, and for Egypt, it’s the governorates,” he said.
He said the initiative is essentially to promote trade, investment and industrialisation at the local level, where states have the land, assets and roads to support production, processing and export of value-added goods, and to ensure that value is retained in the states where agricultural and mineral products originate.
The official said AFSNET will also help demystify the African Continental Free Trade Area (AfCFTA) Agreement for states, so that young people in places like Calabar can understand how to produce in special economic zones and export to Ghana, South Africa and other Nigerian states.
He described the Calabar edition as a preparatory platform for the Intra-African Trade Fair (IATF) scheduled for Lagos from November 5 to 11 next year, just as the recent Creative Africa Nexus (CANEX) in Lagos served as a dry run for the big fair.
On Cross River, he said the bank was surprised by the state’s huge agricultural potential, particularly palm oil and other products, after a workshop with officials responsible for agriculture. He said the state can produce food not only to feed Nigeria but other countries, and identified tourism, culture and the creative space, including the Calabar Carnival, as viable areas the bank is ready to support.
He stressed that under AFSNET, the $2 billion is ready for any state in Nigeria or outside, and urged the media to spread the message.
“Some people say funding is a problem; from Afreximbank, we say no. The $2 billion is there, commissioner, the $2 billion is there, go and tell your people, you people in the media, go and tell people that money is there,” he said.
He said the three-day conference will show participants how to access the funding, starting with training on November 12 on how to identify projects from the state’s vision, focus on two or three priority sectors, and package them to become bankable or prepare pitch decks for investors.
He promoted what the bank calls Africa Direct Investment – Africans investing in Africa – arguing that an investor from Lagos coming to Cross River, or a South African coming to Nigeria, should be given the same privileges and incentives normally given to investors from America or Europe, because they understand the culture, language and how things work in Africa.
He said the opening ceremony holds on November 13, when governors will pitch their projects, while sessions on November 14 will focus on building a pipeline of bankable projects and creating a conducive investment environment.
He disclosed that in the past five years, AFSNET has facilitated investment opportunities worth more than $3 billion, trained over 2,000 people on investment promotion, and worked with about 21 African countries.
He commended Governor Bassey Otu for persistently lobbying to bring AFSNET to Calabar and for the commitment shown in preparing the venue, which was still under construction a few months ago.
Also speaking, Cross River Commissioner for Information, Pastor Ekpenyong Cobham, described the ongoing economic push as a historic convergence where determination meets opportunity.
He said Governor Otu’s administration is deliberately building an independent sub-national economy, and for the first time making a focused attempt to ensure Cross River’s diverse agricultural and natural products are properly processed to meet rigorous international standards.
He said as the state prepares to host stakeholders and distinguished investors, the administration is laying the groundwork for a holistic economic ecosystem to restore the lost glory of the local economy, and urged journalists and participants to prepare for dynamic days of interaction, networking and deal-making as Cross River opens its doors to sustainable, high-impact investments.
