The African Export-Import Bank (Afreximbank) has signed a $500 million credit facility with the Africa Trading and Distribution Company (ATDC) to support the movement of goods and strengthen trade links across African markets.
The facility will finance eligible trading and distribution transactions, including the aggregation of goods as well as transportation, warehousing and distribution costs. The funding is intended to help African producers and manufacturers reach buyers in markets beyond their domestic borders.
ATDC, an Afreximbank-backed trading and distribution company, currently operates in Egypt, Nigeria, Malawi and Zimbabwe. The company plans to use the financing to connect producers and manufacturers with buyers across the continent while developing recurring trade flows along key regional corridors.
The arrangement comes as African businesses continue to face challenges in moving products between markets, including limited working capital, logistics costs and fragmented distribution networks.
Afreximbank Executive Vice-President for Intra-African Trade and Export Development Kanayo Awani said the financing would support the distribution of African-made products and broaden market access for producers.
For ATDC, access to working capital will allow the company to aggregate goods from multiple producers and move larger volumes through established value chains.
ATDC Chief Executive Stewart Makura said the facility would strengthen the company’s ability to support the movement of goods across African markets.
The financing also highlights the importance of distribution infrastructure in expanding intra-African commerce. While the African Continental Free Trade Area provides a framework for increasing trade between countries, businesses still require reliable logistics, warehousing, transport networks and financing to take advantage of wider market opportunities.
By supporting the movement of locally produced goods, the facility could help connect manufacturers and producers with new customers across regional markets and encourage more consistent trade flows.
ATDC’s presence in Egypt, Nigeria, Malawi and Zimbabwe also gives the company a platform from which to develop additional connections between producers, distributors and buyers as its operations expand.
The $500 million facility represents a significant commitment to strengthening the commercial infrastructure needed to move African goods across borders and deepen trade within the continent.