Turk Eximbank becomes shareholder in Africa Finance Corporation

By Tuba Ongun

Türkiye's export credit bank Turk Eximbank announced Friday that it had become a shareholder in the Africa Finance Corporation (AFC), the continent’s leading infrastructure solutions provider.

This long-term strategic partnership aims to contribute to the presence and business capacity of Turkish exporters and contractors in Africa, especially in the 42 member countries of the AFC, according to a statement.

Turk Eximbank's first investment in an African entity makes it the first non-African sovereign shareholder in the AFC, it said.

Türkiye is one of the leading development and commercial partners for Africa, with trade jumping from $5.4 billion in 2003 to $40.7 billion in 2022, it said.

A separate statement sent to Türkiye's Public Disclosure Platform (KAP) on Thursday said Turk Eximbank now holds a share of 3.29% by purchasing the issued shares of AFC.

Ali Guney, the CEO of Turk Eximbank, said: "This noteworthy investment exemplifies our dedication to facilitating substantial collaborations that will provide crucial support to Turkish exporters and construction companies, thus catalyzing sustainable economic growth and development within both regions, a collaboration that signifies a profound commitment to fostering synergies between Türkiye and Africa."

Samaila Zubairu, head of the AFC, said: "This investment not only validates our efforts in addressing Africa’s infrastructure challenges but also underscores Türkiye's commitment to fostering south-south cooperation."

Through this partnership, the parties aim to continue building infrastructure that will foster industrialization, value capture and retention in Africa as well as create quality jobs for Africa’s growing population, Zubairu said, adding: "We eagerly anticipate further collaborations with Türkiye, a nation that demonstrates a profound dedication to supporting Africa's growth and prosperity in multiple critical sectors."