Eco bank is eyeing cross-border investments opportunities to boost returns from its East African Subsidiaries.
The South African based lender today was marketing its capability to arrange credit for regional expansion to traders, an indication it wants to lure and add number of traders to its account holder’s fold.
“We have experience in arranging credit for projects involving cross-border investments, specialising in development finance products and asset management among other financial services,” said Head of Soft Commodities Research at Ecobank, Edward George.
He emphasized on the need for region to focus on value addition for its exports instead of import substitution. In its 2012 financial year, its Kenyan, Uganda and Tanzania unit recorded a pre-tax loss of Sh 298 million, it attributed to ‘expected occurrence’ associated to start ups.
Trade analysts and bankers meeting in Nairobi for a regional conference on trade and commodity finance, have expressed confidence infrastructure and energy projects as well as structured trade finance and institutional collaborations will boost trade in the region.
The energy sector was cited as pivotal to the growth of trade with Kenya expected to start petroleum shipments in 2016, eclipsing neighbouring Uganda which is yet start exportation seven years later after striking crude oil.
It was forecast oil discovery will help the country diversify its export earnings and spur infrastructural spending, especially on the expansion of the transport network. Pundits also anticipate the shilling to be buoyed by inflows of foreign exchange and declined expenditure on fuel importation.