The African Export and Import Bank (Afreximbank) will make available to African countries a credit facility totaling $ 3 billion to help adapt to the financial, economic and health shocks caused by the COVID-19 pandemic
Known as the Pandemic Trade Impact Mitigation Facility (PATIMFA), this financial support has 3 objectives at the economic level. These include helping central banks in member countries and other financial institutions to meet commercial debt payments.
It will also support and stabilize the foreign currency resources of the central banks of member countries, allowing them to urgently support essential imports.
Finally, PATIMFA will help member countries whose tax revenues are linked to revenues from specific exports such as mining royalties to offset any sudden drop in tax revenues resulting from a decrease in export revenues.
At the health level, this financial aid will make it possible to finance emergency needs for the importation of products necessary for the fight against the pandemic: drugs, medical equipment, refitting of hospitals.Explaining the necessity of setting up this device, Benedict Oramah (photo), president of Afreximbank, said: “A rapid and effective financial response is necessary to avoid a major crisis in Africa”. Stressing that “Africa is exposed on many fronts, including the significant drop in tourism revenues, migrant remittances, commodity prices and the disruption of manufacturing supply chains.”
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