Ecobank Reiterates Its Commitment As "The Partner Of Choice For Export Trade"

Saturday,March 13, 2021 / 08:00AM / Ecobank Nigeria / Header Image Credit: Ecobank Nigeria

Ecobankhas reiterated that it remains the partner of choice in Africa for export tradebecause of its unique positioning, wide network, pan African payment switch,settlement capabilities, award winning digital products and strategic focus.Kola Adeleke, Executive Director, Corporate Banking, Ecobank Nigeria made thisassertion while speaking on African Continental Free Trade Area (AfCFTA) strategy, opportunities,challenges in export and trade at Ecobank/Nigerian Export Import Bank (NEXIM)webinar for exporters on Thursday. He maintained that the pan African bank hasstructures in place to enable exporters exploit the opportunities in TheAfrican Continental Free Trade Area (AfCFTA).

According to him, "Our uniquepositioning in 33 African countries enables us leverage our extensive networkto reduce the number of financial partners and relationships in executingtrade. We own the switch connecting countries where we operate across Africa.This centralized switch enables easy integration. We possess knowledge of thelocal markets in which we operate resulting in unparallel financialadvisory. We offer real-time settlement across Africa and our customersenjoy instant transfers across 33 African countries. Ecobank has a reputationfor developing innovative products as the bank has won us severalinternational, regional and local awards and we aspire to be the gateway topan-African payments and trade."

Mr Adeleke reaffirmed thatNigeria is poised to gain from the investment and trade opportunities that theAfCFTA will inevitably bring because of its market size, supply chaininfrastructure and an abundant supply of professionals/skilled players invarious industries. He emphasized that businesses must strategically positionthemselves, endeavour to understand the dynamics of the ratification to be ableto maximize the benefit and opportunities. Adeleke, who regretted that exportpotentials in Nigeria is largely untapped due to focus on oil revenues, reiteratedthat real sector credit opportunities to utilizing the AfCFTA includes Exportdevelopment financing, trade finance, Export development financing and SMEfinancing.

In his presentation on ExportTrade Insurance, Bashar Garba Illo, Acting Head, Export Credit Insurance,NEXIM, said the Export Credit Insurance (ECI) is designed to protect exportersin Nigeria against the risk of Non-Payment for goods and services exported oncredit terms with a cover against Political Risk, stressing that the objectiveof ECI is to indemnify both Internal and External exporting customers fromlosses incurred from any payment default that could arise from political eventsin the export destination country by providing cover up to 80% of the value ofreceivables, subject to the Risk Asset Acceptance Criteria (RAAC) outlined forPolitical Risk. He explained that the Bank?óÔé¼Ôäósmandate is to support non-oil export sector of Manufacturing, Agro-processing,Solid Mineral and Services.

Also at the session wasChijioke Uzoukwu, Head of Trade, Ecobank Nigeria, who listed the Ecobankproducts and services on offer to support Export Trade as comprising letters ofcredit, bonds, guarantees as well as bills for collections avalization. He said "the Bank also provides loans for business such as import loans, exportloans and supply chain finance. In the trade service, we support customers frominitiation to execution in the areas of documentation and compliance, workingwith regulatory bodies and other stakeholders. We also offer trade advisorysolution like market information across Africa, trade specialist support andafter sales services. We have an electronic e-trade platform which provides anelectronic frontend where the customers can initiate transactions andinstruction from the comfort of their home and it will be delivered to theBank. We also have various collection channels to optimize collections forbusiness like in-branch products, Mobile App, POS, Web/ Online collectionplatforms, Ecobank Pay, Omniplus and Omni lite. The Omni plus has thecapability to allow you to make bulk payments and also view your accounts withother banks in a single platform."

The webinar was a one day eventorganised by Ecobank in partnership with the Nigerian Export Import Bank(NEXIM) with the focus on sharing opportunities AfCFTA offers to Exporters. Theevent was an expose of the whole gamut of exports as it relates to creditinsurance and how small and medium enterprises could benefit from exportbusiness taking advantage of the AfCFTA.