AfDB backs Cameroon businesses with €40 million to expand trade and create more jobs

AFG Bank Cameroon will allocate half of the trade finance credit line to SMEs, giving smaller companies a defined share of the financing.

Cameroonian businesses will gain better access to financing for international trade through a €40 million facility approved by the African Development Bank Group for AFG Bank Cameroon. The support will help companies purchase equipment and production inputs, expand local manufacturing and pursue opportunities to sell their goods abroad.

Small and medium-sized enterprises will receive particular attention, including businesses owned by women and young people. Approved by the Bank Group's Board of Directors on 21 October 2026, the facility will strengthen AFG Bank Cameroon's capacity to finance trade in sectors including agribusiness, agro-industry, manufacturing and import-export.

Two financing tools to support international trade

The package includes a trade finance credit line of up to €30 million over 3.5 years, with a three-year grace period, and a €10 million transaction guarantee facility running for five years.

The credit line will give AFG Bank Cameroon more resources to meet businesses' foreign trade financing needs. The guarantee facility will support transactions by allowing the African Development Bank to provide guarantees of up to 100 per cent to confirming banks for letters of credit and similar instruments issued by AFG Bank Cameroon.

These instruments help businesses arrange and pay for international purchases, including machinery, equipment and inputs needed to keep production running or increase output.

"By facilitating access to trade finance for Cameroonian businesses, the African Development Bank Group is helping to strengthen the private sector, boost local production and create opportunities for growth and employment," said Léandre Bassolé, the Bank Group's Director General for Central Africa and Country Manager for Cameroon.

Half of the credit line reserved for smaller businesses

AFG Bank Cameroon will allocate half of the trade finance credit line to SMEs, giving smaller companies a defined share of the financing. Eric Valery Zoa, the bank's managing director, said 30 per cent of that SME allocation would go to enterprises owned by women or young people. The commitment builds on AFG Bank Cameroon's existing lending portfolio, which already includes businesses owned by these groups.

For smaller firms, access to trade finance can determine whether they can secure the machinery and materials needed to fulfil orders or expand production. The facility will support these international purchases and give businesses more room to develop their operations.

Bassolé said the partnership would help SMEs, particularly those led by women and young people, take advantage of trade opportunities and contribute more to Cameroon's economic development.

Imported equipment to strengthen local production

The financing is intended to help businesses import the tools and inputs needed to produce more goods within Cameroon. Stronger local production could reduce reliance on certain imported finished products and improve companies' ability to compete in domestic and export markets.

The focus on agribusiness, agro-industry and manufacturing connects the facility to businesses that process materials and turn them into marketable products. Better access to finance will support their production capacity, export prospects and ability to create jobs.