By Bamidele Famoofo
WorldStage– African Export-Import Bank (Afreximbank) and the Industrial Development Corporation of South Africa (IDC), South Africa’s industrial and development funding institution that provides funding support to businesses and entrepreneurs, have signed a strategic Memorandum of Understanding (MoU) to strengthen cooperation in trade finance, industrial development and investment across Africa.
The partnership will combine Afreximbank’s continental trade finance and development capabilities with the IDC’s local expertise in supporting South African businesses operating in priority productive sectors. Among other objectives, the MOU seeks to accelerate the delivery of scalable and high-impact industrial and trade projects in South Africa and across the continent.
This collaboration will support the implementation of an US$8-billion financing envelope targeting industrial development, stronger regional value chains and increased intra-African trade and investment flows. This MOU comes on the back of the recently announced US$14-billion Country Programme agreed between Afreximbank and the Government of the Republic of South Africa whose objective is to support the country’s industrial, trade and development priorities.
Under the three-year renewable framework, Afreximbank and the IDC will jointly identify, originate, develop and monitor a pipeline of eligible trade and investment transactions. The institutions will also mobilise co-financing and advisory solutions to unlock commercially viable projects and maximise their development impact.
The MoU establishes a preferred financial partnership arrangement under which both institutions will prioritise each other in eligible transactions and collaborate across trade and project financing, co-financing, advisory services, research, capacity building, staff exchanges and knowledge sharing. Afreximbank will deploy digital trade platforms, including the Pan-African Payment and Settlement System, MANSA and the Africa Trade Gateway, to help improve cross-border payment processes and trade efficiency.
The partnership will support projects across more than 13 priority sectors, including manufacturing, agriculture and agro-processing, mining, renewable energy and infrastructure, aligned to South Africa’s industrial development and regional trade objectives.
Speaking during the signing, Dr George Elombi, President and Chairman of the Board of Directors of Afreximbank, said: “This strategic partnership with IDC reinforces Afreximbank’s commitment to advancing Africa’s industrialisation and trade agenda. By combining our expertise, resources, and networks, Afreximbank and the IDC will unlock new opportunities for financing, investment, and capacity building across the continent. Through this collaboration, we aim to support critical sectors and drive sustainable economic growth. Ultimately, this partnership represents a major step toward achieving the objectives of the AfCFTA. Together, we are building a more resilient and competitive African economy.”
Commenting on the signing, Ms Mmakgoshi Lekhethe, Chief Executive Officer of the IDC, said: “This MoU creates a practical framework through which the IDC and Afreximbank can combine their respective strengths to identify and finance high-impact projects. The IDC brings extensive local market knowledge and experience in supporting South African businesses, while Afreximbank provides significant trade finance capabilities, continental reach and access to innovative trade-enabling platforms.
The partnership builds on South Africa’s accession to the Establishment Agreement of Afreximbank in February 2026 and the Country Programme signed by Afreximbank and the Government of South Africa this year.Through this collaboration, Afreximbank and the IDC will support South Africa’s industrial competitiveness while strengthening the country’s trade and investment connections with the rest of Africa under the AfCFTA.
