African Export-Import Bank (Afreximbank) announced the establishment of a Pan-African trade and distribution company with an initial capital of 1 billion US dollars, aimed at boosting intra-African commerce and strengthening regional supply chains. The launch was unveiled by the bank’s president during the fourth Intra-African Trade Fair in Algiers.

The company, fully owned by Afreximbank, is designed to provide financial support and logistics solutions to enhance Africa’s capacity to process raw materials, manufacture goods, and facilitate cross-border trade. Officials said the initiative will help African businesses scale operations beyond national borders and secure a stronger presence in regional and global markets.

The launch forms part of Afreximbank’s broader strategy to support the African Continental Free Trade Area (AfCFTA), which aims to increase intra-African trade by up to 52 percent by 2035. Through previous initiatives such as the Pan-African Payment and Settlement System (PAPSS) and the Fund for Export Development in Africa (FEDA), Afreximbank has provided financial backing to reduce reliance on foreign currencies and bridge the continent’s intra-trade financing gap, which is estimated at 110 billion US dollars.

The trade and distribution company is also expected to collaborate with industrial platforms and regional bodies to provide SMEs with access to warehousing, logistics, and regulatory services. Afreximbank officials emphasised that the initiative aims to ensure more of Africa’s raw materials are processed locally, adding value before reaching regional and global markets.