Mozambique: BNI and Afreximbank sign line of credit agreement for SMEs

Login

Register

http://www.clubofmozambique.com/

Mozambique: BNI and Afreximbank sign line of credit agreement for SMEs

3:04 CAT | 22 Jun 2023

Photo: BNI

The National Investment Bank (BNI) and the African Export and Import Bank (Afreximbank) on Tuesday (20-06) signed a strategic agreement for the establishment of a credit line called “Afreximbank – Revolving Working Capital Facility”, with the aim of boosting small and medium-sized enterprises (SMEs) operating in the agribusiness, light industry, food processing and logistics value chains.

BNI representative Abdul Jivane said the main objective of the credit line was to improve the profitability of export business revenues, as well as allowing SMEs to obtain the necessary capital to carry out their activities.

“This initiative is expected to provide companies with greater capacity to expand their operations and reach new markets, resulting in a significant increase in exports. In addition, it will contribute to the inflow of foreign currency into the country, promoting the improvement of the trade balance and reducing dependence on imports,” Jivane advanced.

In turn, the vice-president of Afreximbank, Denys Denya, said that the agreement between the two institutions constitutes an important milestone in supporting the SME sector, as it recognizes the crucial role they play in the country’s economic development.

“With access to the financial resources provided by this line of credit, small and medium-sized companies will have the opportunity to leverage their businesses, thus strengthening the local economy,” Denya said.

Denya added that “by providing financial support to SMEs, we seek to create an enabling environment for increased production, development of new products and expansion into international markets. With the implementation of this agreement, we hope that the institutions will be well positioned to face the challenges and take advantage of global opportunities, thus contributing to the sustainable development of the country”.

Source: Diário Económico