The State Bank of India and India Exim Bank are collaborating to assist businesses in African countries with their trade finance needs, as shared by the South African heads of the two organizations at the India Entrepreneurs Forum (IEF). The event, organized by Consul General of India Mahesh Kumar, marked the beginning of a series of engagements with the IEF.
“We aim to support all companies engaged in trade or business with India by enhancing their capacity building. Larger businesses can generally manage their trade financing requirements, but smaller businesses often struggle with the complexities of the trade world,” Kumar explained.
State Bank of India CEO Ashutosh Kumar and India Exim Bank’s Resident Representative in Johannesburg, Shyamashish Acharya, highlighted the advantages of using their services for import and export trade between India and Africa.
“SBI is actively contributing to African trade by providing funding to South African banks through syndications,” Kumar stated. He added that SBI has been investing in South Africa for the past 27 years and offers various credit lines and trade loans to major banks in African countries.
Acharya introduced the Trade Assistance Programme (TAP), an initiative aimed at reducing the trade finance gap and strengthening India’s economic engagement with partner countries post-Covid. India Exim Bank operates in 31 African nations and supports various projects, including those in Ethiopia and Burundi.
SBI COO Kirti Kumar emphasized that SBI and India Exim Bank complement each other’s activities and are not competitors. He also mentioned that the recent initiatives within BRICS for settling debts in local currencies would not significantly impact their operations.
Overall, both banks are working towards facilitating trade and investment between India and African countries, contributing to economic growth and development in the region.
