The 32nd Annual Meeting of African Export-Import Bank (Afreximbank), also known as AAM2025, witnessed a flurry of deal signings with four project preparation transactions signed between the Bank and various entities that are expected to unlock investments valued at about US$ 1.0 billion.
In an agreement signed by Executive Vice President, Intra-African Trade and Export Development, for Afreximbank, Mrs. Kanayo Awani, and CEO, for NBS Bank Plc, Malawi, Mrs. Temwani Simwaka, the two institutions executed a Joint Project Preparation Facility Framework Agreement under which they will pool resources to provide early project preparatory financing to progress projects in Malawi from pre-feasibility stage to bankability in a timely manner.
As set out in the agreement, Afreximbank and NBS will support public and private sector investors by availing financing and technical support services to de-risk projects in priority sectors, including energy, transport and logistics, logistical platforms (such as special economic zones and industrial parks), manufacturing, agro-processing, hospitality and tourism, extractives, solid minerals, and services (such as ICT, healthcare, and creative economy). Embedded in the framework agreement is a capacity building programme that will empower NBS staff to undertake project preparation activities in the medium term.
Afreximbank and NBS expect to bring onstream investments of about US$ 300 million in Malawi in the near term.
Afreximbank, in addition, signed a Project Preparation Facility Heads of Terms Agreement of US$ 4.0 million in favour of Proton Energy Limited, a Nigerian independent power producer. The facility will be deployed towards financing the preparation of feasibility studies and procurement of transaction advisory services for the development of a grid-connected gas-fired power plant with a nameplate capacity of 500 MW in Sapele, Nigeria. The project will commence with an initial generation capacity of 150 MW.
The project will evacuate the electricity generated primarily to Eko Electricity Distribution Company under a 20-year power purchase agreement with a cost-reflective tariff.
The facility is expected to bring on stream assets estimated at US$ 300 million.
Signing the agreement were Executive Vice President, Intra-African Trade and Export Development, Mrs. Kanayo Awani, on behalf of Afreximbank, and Executive Vice Chairman and CEO, for Proton Energy Limited, Mr. Oti Ikomi.
In another transaction, Afreximbank signed a US$ 4.4-million Project Preparation Facility Agreement in favour of Med Aditus Pharmaceutical Kenya Limited. Executive Vice President, Intra-African Trade and Export Development, Mrs. Kanayo Awani, signed the agreement on behalf of Afreximbank while Founder and CEO of Med Aditus Pharma, Dr. Dhiren Thakker, signed for his company.
Afreximbank also signed a Heads of Terms agreement for a US$4.4-million project preparation facility in favour of Green Hybrid Power Private Limited. The facility will be deployed towards the preparation of bankability and feasibility studies and procurement of transaction advisors for a 1-Gigawatt (GW) hybrid floating solar photovoltaic power system on Lake Kariba, Zimbabwe.
The project, to be implemented in two phases, includes a pilot phase targeting a generation capacity of 500 MW to be sold wholly to the Intensive Energy Users Group, a consortium of blue-chip industrial and mining energy users in Zimbabwe, under a “take-or-pay” 20-year power purchase agreement with a cost-reflective tariff. The project is expected to supply affordable and reliable power that will support value-addition and beneficiation of Zimbabwe’s minerals, thereby boosting the country’s foreign exchange earnings. The project preparation facility will unlock an investment estimated at US$ 350 million.
Signing the agreement were Executive Vice President, Intra-African Trade and Export Development, Mrs. Kanayo Awani, on behalf of Afreximbank, and Chairman, for Green Hybrid Power Private Limited Mr. Eddie Cross.
AAM2025 took place from June 25 to 28 and attracted an estimated 8,000 participants, including presidents, prime ministers, ministers and business leaders, from across Africa, the Caribbean and beyond. It ended with the Annual General Meeting of Shareholders where Dr. George Elombi was appointed the next President of the Bank who succeeds Prof. Benedict Oramah whose tenure is ending after two five-year terms in the position.
