The African Development Bank is set to roll out a $230 million trade finance package for Access Bank Plc, aimed at enhancing trade finance activities and improving foreign exchange liquidity for small and medium-sized enterprises in Nigeria.
According to a Project Summary Note, the financing package comprises two key components: a $170 million Trade Finance Line of Credit with a 3.5-year tenure to provide much-needed FX liquidity for SMEs and corporate clients engaged in trade.
A $60 million Transaction Guarantee with a three-year tenure, allowing Access Bank to act as an Issuing Bank while AfDB offers up to 100% risk coverage to Confirming Banks for trade transactions.