By David Musyoka NAIROBI (Xinhua) --
The African Export-Import Bank (Afreximbank) said on Monday it will announce a
new date for the signing of a deal with the government of Kenya on setting its
regional headquarters in Nairobi, one of Africa’s fastest growing financial
response, the bank’s President Benedict Okey Oramah said through the bank’s
communications department that the agreement with Kenya was not signed earlier
this year as expected but a formal announcement would be made soon.
agreement (with Kenya) was not signed by the expected time frame. The Bank will
make a decision on how to proceed,” noted a response from the bank’s Head of
Communications Obi Emekekwue.
briefing by Kenya’s investment company Cytonn Investments noted that the signing
of this deal will see Kenya further establish itself as the regional
headquarters hub, thus boosting foreign investor confidence and spurring
location in Nairobi will create more job opportunities for the youth and
generate business opportunities for entrepreneurs to venture into. Afreximbank
has already become a significant player in Kenya’s economy, having financed
deals close to 300 million U.S. dollars,” noted the brief.
is an initiative started by African governments, African private and
institutional investors as well as non-African financial institutions and
private investors for the purpose of financing, promoting and expanding
intra-African and extra-African trade.
growing its status as a financial hub for Africa, with Nairobi hosting African
offices of major global financial companies.
Upper Hill estate is also being upgraded to host the financial district with
major local and international companies already having offices in the area.
President Uhuru Kenyatta signed a law, Nairobi International Financial Centre
Act, set to cement efforts to make Nairobi a global financial hub.
The Act also
establishes the Nairobi Financial Centre Authority (NFCA), which will license
firms that will operate within the center and also formulate the legal and
regulatory structures to support the centre.
is expected to review and recommend in collaboration with the relevant
regulatory authorities, developments to the legal and regulatory framework in
order to develop Kenya as an international competitive financial center.
In 2014, the
government of Qatar agreed to help Kenya set up an international financial
center and the two countries have since been collaborating on the same.
Some of the
pending issues to be agreed on between the Afreximbank and Kenyan officials
include whether to grant diplomatic immunity for its top executives and whether
to exempt the bank’s employees from paying local taxes.
other regional headquarters are in Abuja (Nigeria), Harare (Zimbabwe), Abidjan
(Cote d’Ivoire), Tunis (Tunisia) and Egypt (Cairo).
month, Afreximbank announced in Nairobi that it will for the first time open up
to retail investors as it hunts for 300 million dollars equity to shore its
capacity to lend for light industry manufacturing.
The idea is
to shore up the bank’s capital to meet what the officials said is increasing
demand for financing from the private sector and its own goal of shifting Africa
from dependence on commodities.
projects that light manufacturing will also help to increase intra-Africa trade
as countries will import less what is made locally.