The African Export-Import Bank has approved a $10 billion facility, the Gulf Crisis Response Programme (GCRP), to cushion African and Caribbean economies from the economic impacts of the ongoing war involving Iran, Israel, and the United States.
The programme, disclosed in a statement on Tuesday, April 7, is designed to sustain essential imports such as fuel, liquefied natural gas (LNG), food, fertiliser, and pharmaceuticals by providing short-term foreign exchange and liquidity support to vulnerable member states.
“To counter the severe economic shocks triggered by the escalating conflict in the Middle East, the Board of Directors of Afreximbank has approved a US$10 billion Gulf Crisis Response Programme (GCRP) to insulate African and Caribbean economies, financial institutions, and corporates from the impacts of the ongoing Gulf crisis,” the bank said.
Dr. George Elombi, President and Chairman of the Board of Directors, said the initiative is in line with Afreximbank’s core mandate of supporting member states during periods of economic disruption. “This crisis response programme is in tune with our DNA. We understand how our economies work and the pain points associated with these transitory crises,” he added.
Elombi noted that the GCRP will help member countries navigate the immediate challenges while building stronger, more resilient economies for the future. “The programme will support African countries in adjusting smoothly to the crisis while strengthening their resilience to future shocks through interventions that transform the structure of their economies,” he said.
The approval of the $10 billion programme follows closely on Afreximbank’s recent $2 billion three-year dual-tranche syndicated term loan facility, its largest syndicated borrowing to date. The bank also underwrote $2.5 billion of a $4 billion senior syndicated term loan for the Dangote Petroleum Refinery & Petrochemicals, aimed at refinancing existing debt and optimising the refinery’s capital structure.
The GCRP is expected to provide immediate relief to affected economies while strengthening financial and operational resilience across the continent and the Caribbean amid the ongoing Gulf crisis.
