The African Export-Import Bank (Afreximbank) has approved a US$190 million financing package for CBZ Bank Limited, strengthening Zimbabwe's trade finance capacity, expanding access to credit for small businesses and supporting critical investments in the country's energy sector.
The package, signed in El Alamein, Egypt, comprises three facilities designed to boost trade finance, support exporters and SMEs, and finance strategic energy projects underpinning Zimbabwe's industrialisation and economic growth.
The funding also reinforces Afreximbank's commitment to narrowing Africa's trade finance gap while advancing the objectives of the African Continental Free Trade Area (AfCFTA) through increased intra-African trade, SME development and improved energy security.
The agreements were signed by Afreximbank executive vice-president for Global Trade Bank, Haytham Elmaayergi, and CBZ Bank managing director, Valeta Mthimkhulu.
The largest component is a US$150 million revolving trade finance facility, which will enable CBZ Bank to issue trade finance instruments, including letters of credit, to companies engaged in import and export activities.
A further US$20 million dual-tranche SME finance facility will expand lending to small and medium enterprises involved in trade while providing technical assistance and capacity-building support.
The two institutions also signed a US$20 million dual-tranche on-lending facility to finance projects aimed at easing power shortages and improving electricity reliability in Zimbabwe and the Southern African Development Community (Sadc).
The facility also positions CBZ Bank to participate in an approved US$210 million syndicated dual-tranche financing programme for the Zimbabwe Electricity Transmission and Distribution Company.
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Elmaayergi said the facilities would directly and indirectly support export-oriented businesses, boosting foreign currency earnings and easing pressure on Zimbabwe's foreign exchange market.
He said Afreximbank's SME and trade finance interventions were anchored on financing, legal and regulatory frameworks, awareness and capacity building, services and strategic partnerships.
"The US$150 million revolving trade finance facility will benefit several productive sectors in Zimbabwe, contributing to the country's Vision 2030 aspiration of becoming a prosperous and empowered upper-middle-income society," Elmaayergi said.
Mthimkhulu said the agreements would strengthen CBZ's ability to deliver financing solutions that unlock opportunities for businesses across the economy.
"From exporters to small businesses, we are committed to enabling growth while contributing to key national priorities, including energy development," she said.
