Dashen Bank will receive a $40 million trade finance facility approved by the African Development Bank
Dashen Bank in Ethiopia has been granted a $40 million transaction guarantee facility by the African Development Bank (ADB) Group.
The facility’s goal is to assist the nation’s trade finance initiatives.
As per the agreement, Dashen Bank’s trade finance instruments, such as letters of credit, will not pose a risk of non-payment to banks, thanks to the guarantees offered by ADB. Small and medium-sized enterprises (SMEs) will have easier access to trade finance, and local businesses’ import-export operations will receive support.
The project is in line with the African Continental Free commerce Area’s (AfCFTA) goals of increasing intra-African commerce.
It is anticipated to assist important economic sectors including manufacturing and agriculture in Ethiopia
