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
-
Military personnel seen at Weija ITS polling station despite security assurances
24 minutes -
Bawumia votes in Walewale, optimistic about securing victory
33 minutes -
Greater Accra: Voting yet to start at many polling stations
45 minutes -
Election 2024: Overnight queues largely missing
1 hour -
Election 2024: Polls open nationwide
1 hour -
New president awaits Ghana as election day arrives
3 hours -
Third of Northern Ireland adults visit porn sites, Ofcom finds
3 hours -
Akufo-Addo urges Ghana to sustain democratic progress
3 hours -
50 people get infected with HIV each day in Ghana – AIDS Commission
3 hours -
Ghana’s stability won’t be sacrificed on false religious narratives – Akufo-Addo
3 hours -
Ghana decides: Elections are not war – Goodluck Jonathan to politicians
3 hours -
‘No room for hooliganism’ – Kasoa police bare teeth at election thugs
3 hours -
EC won’t take any decision to compromise integrity, credibility of Dec. 7 polls – Regional Director
3 hours -
Ghanaians head to the polls: Key contenders, issues, and areas to watch
4 hours -
Mahama and Bawumia square off in crucial election showdown today
4 hours