South Africa Joins Afreximbank: Boost for African Economic Integration

President Cyril Ramaphosa has described South Africa’s accession to the African Export–Import Bank (Afreximbank) as a major milestone in advancing Africa’s economic integration, industrial development and intra-continental trade.

He was delivering a keynote address at the Afreximbank Accession Signing Ceremony held at the Westcliff Hotel in Johannesburg, on Wednesday.

“Today, we mark a major milestone in our quest to realise the economic integration of our continent. South Africa’s accession to the Africa Export Import Bank affirms our commitment to African industrial development and to deepening trade, investment and development across the continent,” the President said.

The signing ceremony marked South Africa’s formal transition to Class A Shareholder status in Afreximbank and the activation of a strategic partnership aimed at advancing industrial development, export-led growth and deeper intra-African trade integration. 

Afreximbank is a pan-African multilateral financial institution that facilitates, promotes and expands intra- and extra-African trade and plays a key role in financing Africa’s economic development and industrialisation.

Once finalised, the South Africa Afreximbank Country Programme will be operationalised through a finance package that will initially support a range of strategic projects across the trade and industrial cluster. 

The programme is expected to inject capital into priority industrial projects, export diversification, infrastructure development and transformation initiatives.

“Today’s signing signals a deliberate, ambitious and more impactful phase in South Africa’s economic engagement with Africa and the world. For South Africa, the decision to accede to Afreximbank represents a strategic alignment.

“We seek to contribute to an Africa that prioritises intra‑continental trade, that builds its own industrial base, and that mobilises African financial institutions to support development,” the President said. 

He noted that Afreximbank has, for more than 30 years, demonstrated resilience, innovation and impact through a diversified portfolio across geographies and sectors. 

The partnership will strengthen South Africa’s ability to support exporters, industrial projects and regional value chains, while advancing continental development.

The President said South Africa accedes to Afreximbank at a time of both challenge and opportunity for the continent, with global economic uncertainties, climate risks and shifting trade patterns underscoring the need to build economic resilience.

“As a country, we are implementing far‑reaching reforms to restore growth, improve competitiveness and expand inclusion. We are working to accelerate economic growth by implementing structural reforms, increasing infrastructure investment and through targeted industrial policy,” the President said. 

He emphasised that membership alone is not the objective, saying what matters is how the partnership is translated into practical instruments that expand productive capacity, diversify exports and integrate more South Africans into regional and global value chains.

President Ramaphosa outlined South Africa’s industrialisation path as being anchored by three mutually reinforcing pillars: decarbonisation, diversification and digitisation. 

He said the country was pursuing an energy transition that balances climate imperatives with developmental realities, while building new industrial capabilities and creating jobs.

“That is why we are investing in renewable energy, green hydrogen, sustainable fuels and climate resilient infrastructure,” he said, adding that South Africa is also focused on beneficiating critical minerals for clean energy technologies, sectors where African countries hold a competitive advantage.

The President said diversifying both the export basket and the exporter base remains key to South Africa’s economic growth strategy, with a shift toward higher value and more complex exports in advanced manufacturing, green industries, critical minerals beneficiation, pharmaceuticals and the digital economy.

Through the African Continental Free Trade Area (AfCFTA), he said, South Africa is working to build African value chains that anchor production on the continent and strengthen Africa’s economic sovereignty. 

Afreximbank’s instruments, including trade finance, project preparation, risk mitigation and market access support, were described as indispensable in turning this vision into reality.

President Ramaphosa highlighted the Afreximbank Inclusive Development Support Programme for South Africa, which sets aside a dedicated facility to address structural barriers that have historically excluded many South Africans from participating in trade and industrialisation.

The programme will support small and medium enterprises, black industrialists, and women- and youth-owned firms to access finance, build assets and participate in strategic sectors.

South Africa’s accession brings the country closer to the incubation of a South African Export–Import Bank, which will be developed in collaboration with Afreximbank and build on the experience of the Export Credit Insurance Corporation.

“This is a strategic investment in our ability to compete and to support South African firms across the export lifecycle,” the President said.

In concluding, President Ramaphosa acknowledged the leadership of Afreximbank President and Chairman of the Board of Directors, Dr George Elombi, and former President of the bank, Professor Benedict Oramah, under whose leadership South Africa’s accession process was initiated. He also thanked Minister of Trade, Industry and Competition, Parks Tau, for his role in advancing South Africa’s trade and industrial agenda.

“Today, as we sign this Instrument of Accession, we do so with clarity of purpose and confidence. Let this moment mark not only South Africa’s full membership of Afreximbank, but the activation of a partnership that delivers growth, transformation and opportunity for our country and for our continent,” President Ramaphosa said. – SAnews.gov.za