Partnership with African Development Bank

Habib Bank AG Zurich (HBZ) has entered into a Confirming Bank Agreement with the African Development Bank (AfDB) under its Trade Finance Transaction Guarantee (TG) Instrument. The partnership expands the network of international banks supporting trade finance transactions involving African financial institutions.

Under the agreement, the AfDB will provide transaction-by-transaction guarantees covering up to 100% of the non-payment risk assumed by HBZ on eligible trade finance transactions originated by African issuing banks and approved by the Bank.

 

The arrangement will help facilitate the flow of trade finance across African markets, supporting trade within the continent as well as between Africa and international markets. It will also strengthen the capacity of African financial institutions to support import and export activities and enable greater participation by African businesses in regional and global trade.

The partnership comes against the backdrop of a significant trade finance gap across Africa. According to the AfDB’s 2025 Trade Finance Report, unmet demand for trade finance was estimated at USD74 billion to USD92 billion in 2024, with small and medium-sized enterprises among those most affected.

Through this partnership, HBZ will help AfDB address this gap and strengthen access to trade finance for African businesses and financial institutions.

[wpdreams_ajaxsearchlite]