The African Export-Import Bank (Afreximbank) has unveiled a groundbreaking US$3 billion Revolving Intra-African Oil Trade Financing Programme aimed at reducing Africa’s reliance on imported refined petroleum products.
Announced to tackle the continent’s persistent energy dependence—accounting for US$30 billion annually in import costs—the initiative seeks to catalyze economic transformation across Africa and the Caribbean.
Professor Benedict Oramah, President and Chairman of Afreximbank, described the programme as a catalyst for transforming Africa’s energy sector.
“This initiative galvanises efforts towards making the Gulf of Guinea a key refining hub.
“We want to see an increased proportion of the 4 million barrels per day (mbpd) of crude oil produced in the Gulf of Guinea refined in Africa.”
Professor Benedict Oramah, President and Chairman of Afreximbank
The programme, designed as a revolving facility, is expected to finance between US$10 billion and US$14 billion in intra-African petroleum imports.
It aligns with the objectives of the African Continental Free Trade Area (AfCFTA) agreement, including facilitating intra-African trade, promoting industrialisation, and creating sustainable jobs.
It also advances Afreximbank’s broader strategic goals of energy security, strengthening regional value chains, and fostering economic resilience.
Notably, the Bank is the largest financier of Nigeria’s Dangote Refinery, which began operations in January 2024.
Afreximbank is also supporting the Lobito Refinery project (200,000 barrels per day capacity), building on its involvement in Angola’s Cabinda Refinery (60,000 bpd) and the refurbishment of the 210,000 bpd Port Harcourt Refinery.
Additional support has been extended to the Bua and Azikel Refineries in Nigeria, as well as the Société Ivoirienne de Raffinage (SIR) in Côte d’Ivoire.
“The programme will have a multiplier effect on Africa’s downstream petroleum sector, catalysing critical investments in marine logistics, shipping, insurance, and storage.”
Professor Benedict Oramah, President and Chairman of Afreximbank
At its core, the programme aims to shift Africa from being a net importer of refined petroleum products to becoming a self-sufficient and even exporting region.
With over 1.3 million barrels per day in new refining capacity already supported through Afreximbank’s initiatives, the continent is inching closer to reducing its vulnerability to external supply shocks and volatile global markets.
“This initiative stands to benefit African countries like Malawi by reducing import dependency, strengthening regional supply chains, and keeping more value within the continent.”
Professor Benedict Oramah, President and Chairman of Afreximbank
Afreximbank Continental Vision
With the energy sector poised for transformation, Afreximbank’s programme is expected to stimulate significant downstream investments, bolster regional supply chains, and enhance energy security.
His Excellency Dr. Lazarus Chakwera, President of Malawi, lauded the initiative for its potential to reduce import dependency and keep economic value within Africa.
“This programme is a clear demonstration of Africa’s resolve to take charge of its own energy future.
“It will deliver real impact to our citizens by ensuring more stable and affordable access to refined petroleum products essential to daily life and productivity.”
His Excellency Dr. Lazarus Chakwera, President of Malawi
The programme is not just a step toward energy independence but also a driver for economic growth. The multiplier effect extends beyond refining, encompassing shipping, marine logistics, and cargo insurance, creating opportunities for new businesses and jobs.
By prioritizing intra-African trade, the initiative aligns with the AfCFTA’s mission to integrate and industrialize the continent.
Additionally, by fostering partnerships with Caribbean nations, it expands the programme’s reach, strengthening trade ties between Africa and the diaspora.
Afreximbank’s proactive role in financing critical infrastructure reflects its vision to unlock Africa’s economic potential.
With decades of expertise in trade finance, the Bank continues to bridge gaps in essential sectors, positioning itself as a key player in driving sustainable development.
The launch of the $3 billion trade programme is a strategic response to Africa’s long-standing energy vulnerabilities.
In an era where energy security is increasingly linked to national development, this programme could represent a pivotal shift in how Africa powers its growth—through collaboration, local capacity, and visionary finance.
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