A news report has indicated that business deals totalling over $370 million were signed during the recently held African Export-Import Bank’s (Afreximbank’s) Intra-African Engineering, Procurement and Construction (EPC) workshop in Lagos, representing a significant step towards empowering African contractors for stronger infrastructure assets in the continent
The deals included a US$300-million Global facility agreement to Hassan Allam of Egypt, a $45-million term sheet to Pavifort Construction of Sierra Leone and a $25-million term sheet to Afric Cement of Burkina Faso.
The African Press Organisation (APO) Group in its news on the deals circulated on behalf of the Afreximbank, disclosed that the event was organized to help address the significant gap in Africa’s infrastructure spending, currently standing at over $100 billion annually, which is traditionally awarded to non-African contractors.
Addressing the key stakeholders, who converged to explore transformative solutions to empower African contractors to compete for and secure large-scale projects within the continent, Director, Trade and Corporate Finance Unit in Afreximbank’s Intra-African Trade Bank, Ayman El-Zoghby, said that the bank was actively working to address the infrastructure gap by empowering local contractors to take more prominent roles in large-scale projects.
He hinted that the bank had launched the Afreximbank-EPC Tenders Platform to connect contractors with project opportunities while offering them critical financial support throughout project lifecycles.
According to the development finance expert, Afreximbank is dedicated to enhancing local content through skills development, technology transfer and fostering of partnerships between African and international firms as an essential step for strengthening Africa’s contractor base and achieving long-term, self-sustained infrastructure growth.
In addition, El-Zogby pointed out that recognizing the role of sub-sovereign governments in enabling trade and investment, Afreximbank was engaging with government entities to better understand their specific needs, educate them on providing stable environments and supporting debt strategies in order to provide African contractors with stronger negotiation power and credibility on the global stage,
He clarified: “This workshop underscores our commitment to transforming Africa’s infrastructure landscape by empowering local contractors to lead in major projects. By equipping African firms with the financial, technical and risk management tools necessary to compete effectively, we are not only closing the infrastructure gap but also fostering sustainable economic growth, job creation and regional integration which will strengthen Africa’s position in the global EPC market.”
In his remarks, Chairman, COGEB Group International, Mr. Moctar Mando, said: “I am grateful to Afreximbank for their trust and support. This signing marks a significant milestone for COGEB Group International in its diversification strategy, centred on complementary activities. This financing is dedicated entirely to the construction of the AFRIC CEMENTS cement plant which will help strengthen my Group’s leadership within its ecosystem.”
Also, Chief Executive Officer Pavifort Al Associates, Mr. Alimu Sanu Barrie, also commented: “The EPC Workshop empowered us to appreciate the challenges indigenous African companies face and Afreximbank’s interventions in solving these challenges through financing, capacity building and networking. We are extremely grateful to the Bank for the signed Term-Sheet of $45 million. The funds will boost the infrastructural and economic development of Sierra Leone and greatly enhance the capacity of our company.”
Speaking at the event, Managing Director of Hassan Allam Construction (Egypt), Engr. Mahmoud El Essawy, enthused: “I would like to express my sincere gratitude to Afreximbank for its unwavering support in addressing the infrastructure financing needs of Africa. The $200 million facility extended to Hassan Allam Holding, recently increased by an additional $100 million, has been instrumental in supporting our efforts to undertake key projects that promote economic growth and resilience.
“As we navigate the challenges in the Engineering, Procurement, and Construction (EPC) sector across the continent—such as regulatory complexities financing gaps, and the need for sustainable practices, Afreximbank’s commitment to facilitating essential funding stands as a testament to their vision for a prosperous Africa. Their support not only empowers us as a group but also strengthens the entire ecosystem needed to meet Africa’s infrastructure demands”, El Essawy added.
Panelists who spoke at the forum, which featured over 180 participants, representing EPC companies, financial institutions, law firms and government agencies from West Africa as well as Egypt, Angola and Uganda, explored financing solutions, strategies for enhancing local content and opportunities to reshape Africa’s infrastructure landscape among other key themes.
