The Standard Bank Group has signed an agreement with the International Finance Corporation (IFC) to expand local currency lending and accelerate development projects across Africa.
Through the agreement, Standard Bank and IFC will collaborate on cross-currency swaps and derivatives, as well as benefit from each other’s market expertise to boost access to local currency financing for businesses in Africa, especially in countries where currency liquidity is challenging.
Kayode Solola, Head of Global Markets Africa Regions at Standard Bank Group said, “Driven by positive market reforms and attractive returns, global investors have shifted their gaze to Africa.
"There is also growing interest in sub-Saharan countries with investors recognising the continent's potential.
"The agreement with IFC further entrenches Standard Bank’s ability to make a real difference in the countries in which we operate, allowing deeper participation of local stakeholders in their own economy.”
Martin Habel, Head of Treasury Client Solutions EMEA at IFC says: “Enhancing access to local currency financing in Africa is essential for business growth, job creation and the development of local capital markets.
"This agreement supports IFC’s strategy to expand funding and hedging solutions, facilitating access to local currency financing and reducing reliance on foreign currency-denominated debt in African countries.”
Standard Bank was selected as the partner for this initiative due to its long-standing relationship with IFC and a strong track record on both local and foreign currency financing solutions.
As the largest bank in Africa, with a presence in over 20 countries, Standard Bank is uniquely positioned to access local currency markets.
Standard Bank is a leader in Forex trading across Africa, making it the go-to choice for investors seeking local currency exposure in emerging markets. Its large footprint enables the bank to effectively mitigate currency risks throughout the continent.
IFC has long been a pioneer in local currency financing, providing a variety of products to address currency mismatch risks, including loans and bonds, structured products, and risk management solutions.
In fiscal year 2024, IFC achieved a record $5.8 billion in local currency financing through 118 commitments in 34 currencies.
This agreement builds on the long-standing partnership between Standard Bank and IFC, which includes notable collaborations such as:
- Anchoring Standard Bank’s first green bond in 2020;
- A partnership to increase climate and affordable housing finance in South Africa through multiple strategic transactions, including:
- A $250 million sustainable term loan to entrench Standard Bank’s sustainability commitments;
- A $300 million sustainable Tier 2 capital loan.
Standard Bank’s ongoing partnership with IFC contributes to sustainable development across Africa, supporting the bank’s sustainability and development goals, the United Nations Sustainable Development Goals (SDGs), the Paris Agreement, and the African Union’s Agenda 2063.
Latest Stories
-
Livestream: NPP, NDC make final push to voters ahead of Saturday’s election
16 mins -
PNP declares non-aligned stance for 2024 election
18 mins -
Otumfuo extends best wishes to Bawumia, Napo ahead of Saturday’s election
25 mins -
Alan Kyerematen pledges to address Ghana’s road and internet infrastructure challenges
28 mins -
We are 99.7% ready to win the election – Joseph Yamin
35 mins -
NPP is a development oriented government – Kamal-Deen
1 hour -
Ashanti gender department engages GPRTU to fight gender-based violence
1 hour -
Didi Strikers dominate inaugural women’s T20 cricket bilateral in Obuasi
1 hour -
Former CPP General Secretary, Nana Yaa Jantuah endorses Mahama
1 hour -
Ghana decides: The road to the Jubilee House
2 hours -
JoyNews Impact Maker Samuel Nana-Bekai Djirackor leads transformative peace, patriotism campaign
2 hours -
Audiomack honours Amerado for reaching 100 million streams milestone
2 hours -
Photos: Huge turnout at Zurak Park as NDC holds final rally ahead of December 7 elections
2 hours -
Embrace results for peace to prevail – Goodluck Jonathan urges Ghana’s presidential candidates
2 hours -
‘Empower women and girls’ – Traditional leaders advocate social transformation
2 hours