Afreximbank’s balance sheet grows sixfold in decade amid global financing shifts – Elombi

The African Export-Import Bank’s (Afreximbank) balance sheet has expanded approximately sixfold over the past decade, with shareholders’ funds approaching $9 billion, as the lender strengthens its capacity to finance African trade and respond to economic crises amid shifting global financing conditions. George Elombi, president and chairman of the board of directors of Afreximbank, disclosed this at the opening ceremony of the Alamein Africa Forum 2026 in New Alamein, Egypt, on Saturday. He said the bank’s net income rose by 30 percent in the first half of 2026, reflecting its financial strength as globalisation retreats, supply chains become increasingly fragmented and international development assistance comes under pressure. According to Elombi, the bank’s financial position has been built through successive capital increases by African shareholders, including governments that continued to inject funds despite pressure on their domestic budgets. In 2025, nearly $300 million in fresh equity was paid into the bank, while shareholders had contributed $226 million in cash in 2026, with a further $300 million expected. Elombi said the capital commitments demonstrated the willingness of African governments to support an institution they own, particularly at a time when traditional sources of development financing are becoming less predictable. Read also: Like medical, tech fields, Nigerian churches now ‘export’ missionaries to Western world “That strength came from you, through capital increase after capital increase, paid in cash, paid when your own budgets were under pressure,” he said. The bank’s expansion comes amid growing concerns about the reliability of external financing, with Elombi arguing that Africa needs stronger homegrown financial institutions capable of mobilising capital, financing trade and supporting businesses when international lenders retreat. He cited Afreximbank’s interventions during the COVID-19 pandemic, the Russia-Ukraine war and the recent Gulf crisis as evidence of its countercyclical lending role. Following disruptions to shipping lanes, fuel markets and fertiliser supplies caused by the Gulf conflict on February 28, 2026, the bank’s board approved a $10 billion Gulf Crisis facility within weeks. Similarly, following the outbreak of the Russia-Ukraine war, Afreximbank deployed a $4 billion programme within months to respond to rising food and energy prices. During the COVID-19 pandemic, the bank provided liquidity to sustain trade and financed vaccine procurement for African countries, extending support to Caribbean countries. “When Africa needs its bank, its bank must be there. Nobody had to beg us,” Elombi said. He added that the bank had consistently intervened without requiring African governments to rewrite their economic policies before receiving support. However, despite its growing financial capacity, Afreximbank is facing challenges with international credit-rating methodologies, which Elombi said undervalue the actual capital contributions of African shareholders. He criticised rating frameworks that give greater recognition to development banks backed by highly rated, non-borrowing sovereign shareholders, arguing that such criteria disadvantage African-owned institutions. According to him, the system places greater weight on callable capital, which represents commitments to provide funds when needed, than on cash contributions already made by African governments. He questioned the reliability of such commitments, noting that callable capital had never been activated at major development banks in more than 80 years. “This is the absurdity at the heart of the system. A promise from those who are retreating and who may never be called upon is being given greater weight than the money of those who have already shown up,” he said. Elombi also linked the bank’s rating challenges to its intervention in Ghana during the country’s economic crisis, when other lenders reduced their exposure. He said Afreximbank maintained financing support for Ghana despite the subsequent downgrade, arguing that the intervention helped the country manage its crisis and created room for other multilateral institutions to resume support. “For that support, which saved lives and, paradoxically, made it possible for other large multilaterals to intervene, our rating was downgraded. We lost no money. Rating is now a political weapon. It is sadly no longer about credit,” he said. He disclosed that S&P returned to rate Afreximbank for the first time in more than a decade and assigned it an investment-grade rating, recognising its countercyclical lending model and the continued capital support of its shareholders. The Afreximbank president urged African governments to sustain capital contributions, defend the bank’s preferred creditor status under the treaty establishing it and strengthen collective support for African multilateral financial institutions. He said the bank’s shareholders must ensure that the legal protections they approved are respected during sovereign debt restructuring processes. Elombi also called for a stronger African financial architecture capable of mobilising domestic savings, financing intra-African trade, supporting businesses and investing in infrastructure at the scale required by the continent. Afreximbank was established in 1993 by African governments seeking to strengthen the continent’s capacity to finance trade and reduce dependence on external financial institutions. Read also: AFRICA FINANCE IN BRIEF: Africa’s financial power map is changing Elombi said its growth over the past decade demonstrated that African countries could build and sustain financial institutions capable of responding to their economic needs. “We are not seeking to replace the global system. Rather, we are insisting on a place within it that reflects our weight, our capital, our markets and our ambitions,” he said. Related News WAEC appoints Kum as new head of Nigeria national office FIFA to decide 2030 World Cup final venue in 2028 Shettima flags off community investment fund for Katsina women Hope Moses-Ashike Hope Moses-Ashike is an Associate Editor, Banking and Finance, with more than a decade of experience reporting on Nigeria’s financial system and broader economy. She closely tracks market movements, monetary policy decisions, company disclosures, regulatory actions, economic indicators, and global developments, and interprets what they mean for businesses, investors, policymakers, and households. Her reporting helps readers understand complex issues such as inflation trends, foreign exchange market dynamics, interest rate decisions, bank performance, and investment risks. She also covers major international events and periodically travels to Washington, D.C., to report on the World Bank/IMF Spring and Annual Meetings. Her dedication to financial journalism has earned her multiple recognitions and invitations to high-level professional development programmes. She is an alumna of the International Visitors Leadership Programme (IVLP) in the United States and holds an Advanced Financial Journalism Certificate from the Press Association Training in London, UK. Her other notable achievements include completing the Lagos Business School CMC Programme, the Bloomberg Media Africa Initiative Programme, and a Master Class in Journalism at Rhodes University in South Africa.