by MTHULISI SIBANDA
JOHANNESBURG, (CAJ News) – THE African Development Bank (AfDB) Group has approved two financial facilities for South African-based Standard Bank Group to support economic development in Africa.
The first is a US$200 million trade finance risk participation agreement (RPA) for Standard Bank of South Africa.
The second is a R3,6 billion ($202 million) investment in a social bond issued by the Standard Bank Group (SBG).
The partnership is to bolster Standard Bank Group’s capital, increase support for small and medium-sized enterprises (SMEs) in South Africa and expand trade across the African continent.
AfDB Vice President for Private Sector, Infrastructure and Industrialization, Solomon Quaynor, said: “This partnership between the African Development Bank and Standard Bank Group exemplifies our commitment to driving sustainable economic growth in Africa.”
“By supporting SMEs and fostering inclusive financial solutions, we are taking significant steps towards achieving our vision of a prosperous continent where every individual has the opportunity to thrive,” Quaynor said.
Ahmed Attout, AfDB Director for Financial Sector Development, commended Standard Bank Group on its commitment to sustainability.
“This intervention innovatively builds on SBG’s Sustainable Finance Framework, utilizing local debt capital markets to support financing to key segments including SMEs,” Attout said.
This approval is aligned with the AfDB’s new Ten-Year Strategy (2024 –2033) to transform African economies.
– CAJ News