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Ecobank seals $20m facility with Brazilian Development Bank

By Businessnews Staff on September 8, 2014

Ecobank Nigeria has sealed a deal for a $20 million credit line from the Brazilian Development Bank (BNDES).

A statement from Ecobank Nigeria explained that the facility is expected to address special funding needs of customers and non-customers of Ecobank that import goods from Brazil.

BNDES, also known as National Bank for Economic and Social Development, is one of the largest development banks in the world, with financial net worth of $27.40 billion and total assets of $353.37 billion as at 2013.

Commenting on the deal, Executive Director, Corporate Banking at Ecobank Nigeria, Ms Foluke Aboderin said the partnership was driven by demands from customers and importers requiring competitive financing to purchase products from the international markets, particularly from Brazil.

According to Aboderin, the partnership underscores Ecobank’s pedigree in trade financing in Nigeria.
“This partnership offers a seamless solution to companies that import goods from Brazil,” she said.

She added: “We encourage all goods importers to avail themselves of the opportunity that this funding arrangement provides by approaching Ecobank. We expect it to generate a sizeable boost in trade flows between both countries.”

Under the arrangement, the executive director explained, importers and exporters negotiate export terms and conditions, and once commercial negotiation is finalised, the exporter or agent bank in Brazil submits the transaction to BNDES for approval. The areas of interest for the import facility include agricultural products, engineering and construction equipment, oil and gas, industrial goods, electronics, and confectionary among others.

“Ecobank has succeeded in providing solutions to corporate customers with subsidiaries across the region through Ecobank OMNI, an integrated e-banking platform that enables corporate clients to transact business from the comfort of their offices.

“Ecobank is also part of the NEXPORTRADE, a private-public partnership institution formed to drive the volume of trade within the region,” the statement added.

Ecobank said it has also developed a regional business team, whose focus is to provide easy market access to its customers across Africa as well as offer a fast, convenient and reliable cross-border payment solution based on scale.

This, it noted, has helped a lot of investors, exporters and importers, not only to gain access to international markets, but also assisted them in making payment for goods, and receive funds within the shortest period.

[This Day]

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