Afreximbank eyes manufacturing and trade finance expansion with Jamaica

Jamaica could see expanded support for manufacturing and trade financing as the African Export-Import Bank moves to strengthen economic links between Africa and the Caribbean.

At a recent Afreximbank roadshow focused on Jamaica, the bank's group managing director set out major elements of its strategy for the country. He said industrial development would be essential if Jamaica and other countries are to grow their participation in international commerce, because nations must be able to make goods before they can trade them meaningfully.

The bank's plan includes support for industrial parks and special economic zones in Jamaica. The aim, he said, is to help the country produce more of what it uses locally, add value to goods for export and create employment through manufacturing.

He also linked that approach to Afreximbank's wider push to increase trade among African and Caribbean partners. Without stronger local production, he said, countries would have little to exchange. He noted that intra-African trade averages about 17 per cent, far below intra-European trade at roughly 60 per cent and intra-Asian trade at about 70 per cent, and tied the gap to limited domestic production.

The update follows Jamaica's signing of Afreximbank's partnership agreement, which opened the way for a US$5-billion financing facility for Caribbean countries.

During the roadshow, the bank also presented a range of trade facilitation and investment options to the Jamaican market, as it continues to pursue closer financial and commercial ties with the region.