The African Export-Import Bank (Afreximbank) and African Risk Capacity (ARC) Group have signed a Memorandum of Understanding (MoU) to jointly enhance resilience and disaster risk financing initiatives that also impacts the trade and supply chain across the continent.
The purpose of this MOU is to enable joint member states to enhance disaster response and resiliency initiatives using available banking and insurance products suited for localized challenges.
The pact’s primary intervention is to provide Food Emergency Contingent Financing Facility (FECONTRAF) to joint member countries that participate in African Risk Capacity’s sovereign/macro disaster risk transfer programme, national capacity building and food security policy development.
In his remarks, Afreximbank President, Prof. Benedict Oramah, assured: “This new partnership with the African Risk Capacity Group will ensure we support member countries to be disaster aware, prepared and solutions oriented.
“ In collaboration with the ARC, we aim to improve their capacities to better plan and respond to natural and man-made disasters that may hamper trade facilitation across the continent and make available the needed support to combat disasters when they strike”, the seasoned banker stressed
Commenting on the pact, United Nations Assistant Secretary General (ASG) and Group Director General of the African Risk Capacity (ARC) Group, Mr Ibrahima Cheikh Diong, said: “The alignment of purpose between our two institutions for a food-secure and climate-resilient Africa is fundamental to this partnership.
“Through providing holistic solutions we will lessen the negative impacts of natural disasters on lives and livelihoods.
“Therefore, our collaboration willhelp strengthen countries’ response systems by promoting the availability, accessibility, and affordabilityof criticalresources for anticipatory climate action”, Diong added.
