Bahamas nearing formal Trade Relations with African continent

By Sherrica Thompson

Staff Writer

The government of the Bahamas has recently signed a Memorandum of Understanding (MOU) with the Africa Export-Import Bank (Afreximbank), which has expressed interest in trading between African countries and the Caribbean.

In speaking at the MOU signing on Wednesday, November 16, Prime Minister of the Bahamas, Philip Davis, said the African Exim Bank will help private sector businesses in the region seek international funding, which is not readily available through the Caribbean Development Bank (CDB).

“In keeping with its mission, the African Exim Bank seeks to expand its operation to Caribbean member states through the establishment of the Caribbean Exim Bank, which will provide services to the region such as trade and project financing, export development, guarantees and trade information, and advisory services,” Davis said.

Prime Minister Davis also noted that the partnership is promising as it facilitates the promotion and financing of the trade of goods and services between the Caribbean and African countries.

“This partnership holds much promise. It provides for the promotion and financing of ‘South-South trade between African countries and Caribbean member states. Provision is also made for financing exports and imports of non-traditional African goods and services, the provision of insurance, and guaranteed service coverage for commercial and non-commercial risks associated with African exports and imports,” Davis said.

The Head of Trade and Corporate Finance at the Afrexim Bank, Ayman El Zoghby, said the bank has already identified and discussed strategic opportunities for the Bahamas.  These include transportation space, poultry farming, supporting local banks with correspondent lines of credit for strategic importation from across the world and renewable energy.