Expansion of Afreximbank's CARICOM Office Leads to Groundbreaking Achievements in Trade and Investment

Once this system is in place, Guyana can, for example, buy an item from Africa and pay in Guyanese currency and vice versa, he explained.

Professor Oramah thanked the CARICOM Development Fund for blazing the trail in the region by becoming a shareholder in the African Export/Import Bank.

Referring to the many years of disconnect between the people of the Caribbean and Africa through the uprooting and sale of Black people during the Transatlantic Slave Trade, he declared that “the umbilical cord which was severed is now sown back”.

He continued: “Afreximbank expects to begin the process of developing the Afreximbank African Trade Centre in Barbados before the end of next year. This facility (is) to be modelled in line with similar projects ongoing in some cities in Africa. We will host the permanent Caribbean office and also incorporate a hotel, a technology occupation centre, a trade information centre, conference and distribution facilities.”

Professor Oramah noted that in February this year, his bank addressed the CARICOM Heads of Government Conference where he promised to expeditiously establish a presence in the region and to assist the Caribbean in setting up CARICOM’s own export-import bank.

He revealed that his institution will be a shareholder if invited to join the regional bank and is willing to buy 49 per cent equity. He hoped the planned CARICOMeximbank could be up and running soon.

Professor Oramah said a feasibility study on a CARICOM export-import bank is to be conducted.

In his outlook, the CEO contended that despite the “lightning” speed with which many achievements have been realised since the regional headquarters of the Afreximbank was opened in Barbados, the road ahead was rough and difficult, identifying such contributing factors as the climate crisis, high global interest rates, and political tensions across the globe.

Professor Oramah warned that small developing countries such as Barbados will suffer if they do not band together. He made it clear that the Cairo-based lender would not relent, promising additional investments in renewable energy and tourism.

He said: “Afreximbank has proposed to the Eastern Caribbean states that it will top up their efforts for a renewable energy facility with US$200 million (BDS$400 million). We are also interested in working with national and regional agencies to create a special tourism revamp facility that promotes local content. We will allocate up to US$300 million (BDS$600 million) to this effort.”

Acknowledging the challenges regional governments and others face with accessing funding in the Caribbean due to high interest rates, the Afreximbank chief said it is willing to help and “see some like at the end of the tunnel”.

He recalled that in June this year, the bank’s board and shareholders approved the establishment of a constitutional finance window, intending to initially set it up with US$1 billion ($2 billion), but believes the fund will grow quickly.

Professor Oramah hoped things would get going by early next year as states outside of CARICOM express an interest in joining this partnership.

“I hope we can have a constructive discussion around so that we can expand the benefits of this umbrella,” he added.

(EJ)