NBS Bank Plc will get a USD 7 million Trade Finance Transaction Guarantee facility from the African Development Bank (AfDB) Group to support small businesses in Malawi.<\/p>\n
This follows the AfDB Board of Directors\u2019 approval on December 4, 2023.<\/p>\n
Trade Guarantee is one of the trade finance instruments offered AfDB \u00a0to support local banks in Africa, and covers an array of trade finance instruments, including confirmed letters of credit, trade loans, irrevocable reimbursement undertakings, avalized bills and promissory notes, among others<\/p>\n
According to a statement AfDB announcing the development through their website,\u00a0the\u00a0facility will provide 100% guarantee to international confirming banks (CBs) for the non-payment risk taken on NBS\u2019\u00a0trade finance transactions conducted on behalf SMEs, local corporates, and women-led businesses in Malawi.<\/p>\n
\u201cIt will enable NBS Bank to support the importation of fertilizer, medical supplies, and other strategic commodities. The facility is expected to support about USD 40 million of trade over the next three years and promote intra-Africa trade in line with the aspirations of the Africa Continental Free Trade Area (AfCFTA),\u201d reads the statement.<\/p>\n
AfDB\u2019s Malawi country manager Macmillan Anyanwu is quoted stressing the importance of unlocking trade financing to support and scale up trade flows for a land-linked low-income economy like Malawi.<\/p>\n
\u201cThe facility is expected to promote the integration of Malawi\u2019s economy into regional and global trade networks which are critical for the country\u2019s growth,\u201d he said.<\/p>\n
NBS Bank Chief Executive Officer (CEO) Kwanele Ngwenya said: \u201cNBS Bank has always been passionate about Malawi\u2019s economic development, and I am pleased with this milestone because the transaction underscores the commitment of NBS Bank and AfDB to the advancement of trade in Africa. Additionally, on our part, we are committed to an ongoing cordial relationship with AfDB for the benefit of our clients and Malawi at large.\u201d<\/p>\n
Source: https:\/\/malawiexclusive.media\/nbs-bank-gets-7-million-afdb-guarantee-for-smes\/<\/em><\/p>\n","protected":false},"excerpt":{"rendered":" NBS Bank Plc will get a USD 7 million Trade Finance Transaction Guarantee facility from the African Development Bank (AfDB) Group to support small businesses in Malawi. This follows the AfDB Board of Directors\u2019 approval on December 4, 2023. Trade Guarantee is one of the trade finance instruments offered AfDB \u00a0to support local banks in<\/p>\n","protected":false},"author":1,"featured_media":3680,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[122],"tags":[],"class_list":["post-5353","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-news"],"aioseo_notices":[],"publishpress_future_action":{"enabled":false,"date":"2026-05-21 18:42:23","action":"change-status","newStatus":"draft","terms":[],"taxonomy":"category"},"_links":{"self":[{"href":"https:\/\/nbs.mw\/test\/wp-json\/wp\/v2\/posts\/5353","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/nbs.mw\/test\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/nbs.mw\/test\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/nbs.mw\/test\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/nbs.mw\/test\/wp-json\/wp\/v2\/comments?post=5353"}],"version-history":[{"count":3,"href":"https:\/\/nbs.mw\/test\/wp-json\/wp\/v2\/posts\/5353\/revisions"}],"predecessor-version":[{"id":5356,"href":"https:\/\/nbs.mw\/test\/wp-json\/wp\/v2\/posts\/5353\/revisions\/5356"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/nbs.mw\/test\/wp-json\/wp\/v2\/media\/3680"}],"wp:attachment":[{"href":"https:\/\/nbs.mw\/test\/wp-json\/wp\/v2\/media?parent=5353"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/nbs.mw\/test\/wp-json\/wp\/v2\/categories?post=5353"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/nbs.mw\/test\/wp-json\/wp\/v2\/tags?post=5353"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}