RMB And India Exim Bank Sign Agreement To Boost Trade Between India And Africa
RMB And India Exim Bank Sign Agreement To Boost Trade Between India And Africa. Rand Merchant Bank (RMB), the corporate and investment banking division of FirstRand Bank Limited, recently signed a Master Risk Participation Agreement with Export-Import Bank of India (India Exim Bank). The agreement was signed at the Regional Conclave on India-Southern Africa Growth Partnership, held at the Maslow in Sandton on 31 October and 1 November 2022, in partnership with the Confederation of Indian Industries (CII) and India Exim Bank.
The agreement was signed by Vikramaditya Ugra, Chief General Manager, India Exim Bank and Chris Alderson, Global Co-Head of Debt and Trade Solutions at RMB, in the presence of Silvino Augusto Jose Moreno, Minister for Industry and Commerce in Mozambique and Jaideep Sarkar, High Commissioner of India to South Africa. Trade has traditionally played an important role in the close economic ties India has with countries in Africa, and there is significant potential for growth in the continent. The strength of industry in India compliments that of Africa and facilitating trade between the regions will be mutually beneficial across industry sectors,” says Alderson.
This agreement, which has been signed under India Exim Bank’s latest trade facilitation initiative, the Trade Assistance Programme, aims to support trade transactions between India and Africa by opening financing avenues. Through this programme, India Exim Bank provides credit enhancement to trade instruments. This in turn augments the capability of commercial banks and other financial institutions to facilitate cross-border trade transactions. The ultimate goal is to strengthen economic engagement between India and countries in Africa.
“Africa in particular offers a number of synergies and opportunities with India, and with a Preferential Trade Agreement in place, barriers to trade between the regions will be reduced. Indian trade and investment in the continent is expected to increase, which in turn will drive growth partnerships and sustainable economic development in these emerging markets,” Alderson concludes.
