The recent launch of the African Export-Import Bank (Afreximbank) Caricom office in Barbados is to support the implementation of a partnership agreement signed by the bank and Caricom member states with an aim to expand Africa-Caribbean trade and investment relations.

Up to July 2023, 11 of the 15 Caricom states had ratified the partnership agreement which will enable eligible states to tap into a number of the bank’s financial instruments.

Although the bank has reaffirmed a US$1.5-billion credit limit it had previously made available to Caricom states, it has committed to increasing the limit to US$3 billion in the near future.

With the financing targeted at critical economic sectors, the bank is seeking to bolster the development of trade-enabling infrastructure, enhancing trade and investments between both regions while also providing support to small and medium-sized enterprises (SMEs).

Speaking at the official launch ceremony Professor Benedict Oramah, president and chairman of the board of directors of Afreximbank, said that the new office will bring the bank’s products and initiatives closer to the business community of the region as it facilitates stronger relations with governments and works towards the realisation of mutually identified priorities.

“With the launch of the Caricom office, we can look forward to a smooth implementation of trade and access to finance initiatives, broader business origination across the Caricom member states and more impactful results from our partnership,” Oramah stated.

“We also look forward to Afreximbank subsidiaries finding homes in the Caricom, especially the Fund for Export Development in Africa (FEDA), PAPSS and AfrexInsure. Over time, Caricom and African financial systems will become better integrated for the benefit of our people,” he added.

Afreximbank as a pan-African multilateral financial institution is mandated to finance and promote intra- and extra-African trade. For 30 years, the bank has been deploying innovative structures to deliver financing solutions that support the transformation of Africa’s trade while accelerating industrialisation and boosting economic expansion for the continent.

Prime Minister of Barbados Mia Mottley, in welcoming the opening of the office in her country, said that Africa has long been a loyal friend of the region, noting support the bank has offered to regional states through the African Medical Supplies Platform during the COVID-19 pandemic.

She lauded the establishment of the Afreximbank Caricom office as a culmination of promises made during the first AfriCaribbean Trade and Investment Forum held in Barbados in 2022.

“This is not just a proud moment historically, but it is also a move that makes sense that will benefit our regional private sector and our regional State-owned corporations who need access to a more empathetic, reasonable bank and one willing to take risks that would allow our people to move and grow to the next level,” Mottley said.