Ecobank raises $125m long term funding, trade facilities
Ecobank Nigeria has secured a $75 million Syndicated Subordinated Term Facility through the engagement of Nederlandse Financierings- Maatschappij voor Ontwikklelingslanden N.V. (FMO Entrepreneurial Development Bank) based in Holland.
It also secured a $50 million trade financing line facility from Africa’s foremost trade institution- African Export-Import Bank (Afrexim Bank).
Under the arrangement, the FMO Entrepreneurial Development Bank facility is for a tenor of seven years while that of Afrexim Bank is a short term.
Ecobank Nigeria’s Managing Director, Jibril Aku, who expressed delight over the transactions, said: “These transactions will broaden and strengthen Ecobank Nigeria’s base as a lending bank. We are particularly encouraged by the response of the international markets, as it reflects confidence in our long-term growth plans.”
He added that the facilities would further increase the bank’s dollar liquidity, trade finance lines and also enhance its competitiveness.
“We got these facilities at attractive rates. This no doubt will further increase our competitiveness in the financial space and also deepen our trade financing activities both regionally and locally,” he said
Aku noted that the readiness of the two renowned international multi-lateral financial institutions to do business with Ecobank further attest to the respect the bank commands globally.
FMO is the Dutch development bank. It supports sustainable private sector growth in developing and emerging markets by investing in ambitious companies. The financial institution believes a strong private sector leads to economic and social development, empowering people to employ their skills and improve their quality of life. It focusses on four sectors: financial institutions, energy, agribusiness, food and water.
The African Export-Import Bank (Afreximbank) is a multilateral financial Institution established in 1993 by African governments, African private and institutional investors as well as non-African financial institutions and private investors for the purposes of financing and promoting intra and extra African trade.
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