AfDB injects $15m in African trade and investment
The African Development Bank (AfDB) Board of Directors has approved a $15 million equity investment in the African Trade Insurance Agency (ATI) to increase its capital base.
The equity investment is to enhance the ATI’s resources to increase its provision of trade, credit and political risk insurance products that encourage foreign direct investment and trade in Africa, the Bank said in a statement July 17, 2012.
“The AfDB’s equity investment in ATI will increase its capital base and allow the underwriting of more business in trade, political and credit insurance to meet strong demand as well as to enhance overall profitability,” it said.
According to the director of the AfDB’s private sector department, Tim Turner, the total value of trade and investment projects in Africa supported by ATI is forecast to be as high as $8.6 billion by 2014.
He added that “By 2014, 37 infrastructure projects should be supported by ATI per year with a total value of $4.6 billion.”
By Ekow Quandzie