Objective
To facilitate the operations of import of capital goods and commodities by the West African private sector.

On 19 May 2003 Belgolaise and the International Finance Corporation (IFC) signed a framework agreement involving a maximum of 32 million dollars, for a period of two years, which is renewable. This agreement is known as the West African Trade Enhancement Facility and is being put into effect gradually.

The agreement reached between Belgolaise and the IFC on the initiative of the Correspondent Banking team at Belgolaise Paris is intended to facilitate funding for imports of capital goods and raw materials by the West African private sector.

Under the terms of this agreement, eight commercial banks in West Africa, approved by the IFC and Belgolaise, are able under certain conditions to obtain confirmation from Belgolaise of the letters of credit they issue. Fifty per cent of the amounts confirmed with regard to the operations is guaranteed by the IFC.

The purpose of this facility is to enable the local banks concerned to move onto the documentary credit market at a better cost and hence be more competitive for their customers. It is expected to offer African SMEs involved in imports better access to financing, while at the same time promoting the local banking sector and strengthening the reputation of the African banks selected on the international market.

Through this operation, Belgolaise shows its ability to develop a real marketing development with international institutions such as the IFC to the African banks with which it has privileged Correspondent banking relations.