Stanbic Bank has completed a four-year deal with Keda (Ghana) Ceramics Company Limited to support the production of ceramics for the Ghanaian and West African market.
The EUR 10.71 million Sinosure Covered Export Credit Facility is to finance the expansion of Keda Ghana’s production capacity to serve the local and regional markets. The project is in line with Ghana’s import substitution strategy and long-term vision to become an industrial hub in the sub-region.
Speaking on the significance of the deal, Tim Mugodi, Head of Wholesale Banking at Stanbic Bank said the deal is in keeping with the banks’ commitment to drive the growth of the African continent. “Our presence in Ghana over the past two decades has been a journey of growth and operations that create jobs and socio-economic opportunities for businesses and individuals. The bank’s operations have contributed to interventions that support businesses, create sustainable employment and income, and promote community development through improved access to crucial services such as health care, housing and education. This Sinosure-backed deal is in consonance with both our commitment to drive Africa’s growth and our Africa China Agent Proposition designed to ease business connections between Africa and China,” Tim Mugodi said.
“The Keda Ghana deal is innovative and unique in many respects. The deal is the first ever Sinosure-backed corporate (non-sovereign) deal on the Ghanaian market and in addition to other Sinosure buyers’ credit insurance facilities signed by Standard Bank, further cementing the bank’s credentials as a key partner for China-Africa trade relations,” he added.
Commenting on the deal, the Managing Director of Keda Ghana, Li Wei, noted that “We have made plans to expand into various parts of Africa and this deal will be critical in that expansion agenda. We are grateful to the Stanbic Bank team for the professional manner with which they approached this project. It gives us confidence knowing we have a strong and committed partner as we confront the opportunities of the future.”
The deal further cements Stanbic Bank’s Africa-China Banking Proposition (ACAP) designed to assist clients who engage in international trade with China. The ACAP brings together ICBC’s financial and global reach and Standard Bank’s deep expertise in Africa to facilitate trade transactions.
Keda Ghana is the leading manufacturer of ceramic tiles in Ghana and produces to serve both the local and West African markets. Keda Ghana is a joint venture between Guangzhou Sunda International Trading Company Limited and Keda Industrial Group Company Limited, a Shanghai listed entity and the leading global ceramic machine supplier. The deal will enable Keda Ghana meet the growing demand for ceramics in West Africa and support the company’s “Made in China to Made in Africa” strategy.