June 7, 2025
Bank eyes deeper role in Ethiopian finance as part of footprint expansion drive
The African Export-Import Bank (Afreximbank) reports it has facilitated international trade payments valued at USD 32 billion for Ethiopian businesses in 2024 through its Trade Payment Services (AfPAY) programme.
The bank’s executives, led by president and board chair Benedict Oramah, say the figure reflects the growing reliance on the pan-African financial institution by businesses in Ethiopia seeking to navigate the complexities of global commerce.
– Advertisement –
This reliance was at the heart of Afreximbank Ethiopia Roadshow 2025, a two-day event that took place earlier this week at the Hyatt Regency in Addis Ababa under the theme ‘Empowering Ethiopia’s Growth: Catalyzing Trade, Investment, and Industrialization Through Tailored Afreximbank Solutions.’
The bank, established in 1993 to promote intra- and extra-African trade, has scaled up its engagements with Ethiopia significantly, according to its executives.
Data obtained from Afreximbank reveals that over the past five years, it has facilitated trade transactions valued at USD 4.7 billion through local financial institutions using its Trade Facilitation (AFTRAF) programme.
Now, with USD 32 billion in trade settlements recorded just last year through AfPAY, the Bank is looking to cement its role as a key financial partner for Ethiopian enterprises operating on the international stage.
The two-day roadshow was hosted by Afreximbank’s East African regional office based in Kampala, Uganda, and featured presentations on financial solutions designed to support key sectors in Ethiopia such as manufacturing, agribusiness, infrastructure, and energy.
Fikadu Digafe, vice governor of the National Bank of Ethiopia, and Eric Monchu, acting group managing director for client relations at Afreximbank, were among the keynote speakers at the event, which saw the attendance of policymakers, private sector leaders, and development partners.
The event also introduced the Afreximbank Trade Gateway (ATG), a new platform aimed at streamlining cross-border B2B trade and enabling payment settlements in local currencies through the Pan-African Payment and Settlement System (PAPSS).
In March 2024, Million Habte, coordinator of implementation under the Africa Continental Free Trade Agreement (AfCFTA) secretariat, stated that PAPSS is a crucial part of their effort to
weave 54 nations into a single, unified market for goods and services, unlocking the potential of 1.5 billion people and a staggering USD 3.4 trillion in combined GDP.
PAPSS is designed to eliminate one of the continent’s longest standing trade barriers—currency convertibility.
Ethiopia is one of the founding members of Afreximbank. However, it does not host any of the bank’s seven regional offices located in key markets across Africa and the Caribbean,
covering operations in respective sub-regions, namely Egypt, Uganda, Zimbabwe, Cameroon, Nigeria, Cote d’Ivoire and Barbados.
Still, the bank maintains that Ethiopia remains one of the continent’s most strategic economies, with a projected GDP growth of 6.5 percent in 2025.
Afreximbank stated that several factors have driven what it calls “impressive performance” in Ethiopia, including substantial public investments in infrastructure and agriculture, foreign domestic investment (FDI) inflows, and expansion of the service and manufacturing sectors, particularly light manufacturing.
The bank’s executives expect the growth to continue supported by a liberalized economy, a more vibrant telecoms sector, increased FDI flows and industrialization.
”Afreximbank is, therefore, seeking to expand its intervention in Ethiopia beyond the banking sector by engaging with the business communities (both private and public) in order to unpack the Bank’s tried and tested programmes and solutions that can, potentially, foster development and drive economic growth in key sectors, notably manufacturing, agribusiness, infrastructure development, energy and tourism, among others,” reads a statement from the bank.