Businesses across sub-Saharan Africa struggling with working capital challenges now have access to new opportunities through a partnership between DP World Trade Finance and Nedbank Corporate and Investment Bank (Nedbank CIB).
This collaboration focuses on supply chain finance for DP World’s suppliers in sub-Saharan Africa (SSA) and includes a risk-sharing agreement to boost trade finance availability for businesses across the region. By improving access to trade finance, businesses will be able to move goods more efficiently, enhance working capital, and promote the flow of trade.
“Our partnership with Nedbank represents a significant step forward in addressing the trade finance challenges that have impacted the growth potential of businesses across sub-Saharan Africa. By combining DP World’s logistics capabilities with innovative financial solutions, we are not only enabling our suppliers to thrive but also fostering a more transparent and efficient trade ecosystem. This collaboration underscores our commitment to transforming trade and unlocking opportunities for sustainable economic growth in the region,” stated Mohammed Akoojee, CEO & Managing Director for sub-Saharan Africa at DP World.
A large portion of trade in the region originates from businesses facing difficulties in securing the necessary trade finance to tap into global markets. These challenges are often due to limited data on creditworthiness and a lack of transparency and control over the underlying trade, increasing perceived supply chain risks.
To address these issues, DP World launched DP World Trade Finance, a platform designed to bridge the trade finance gap by connecting businesses with financial institutions and offering direct financing solutions from its own resources.
“Our partnership with DP World Trade Finance highlights Nedbank’s commitment to driving sustainable growth and supporting economic recovery across sub-Saharan Africa. By combining our expertise in structured finance with DP World’s logistics network, we are well-placed to tackle the region’s trade finance challenges. This collaboration improves trade flow, empowers businesses to navigate a challenging economic environment, and unlocks new growth opportunities. This partnership demonstrates how we leverage our unique ecosystem expertise to see unexpected connections and create sustainable growth,” commented Anél Bosman, Group Managing Executive at Nedbank CIB.
As part of the agreement, DP World Trade Finance has introduced a supply chain finance program on its platform, with Nedbank CIB acting as the financier. This initiative allows DP World’s suppliers in SSA to receive early payments on approved receivables, helping them overcome working capital limitations. The program offers a more cost-effective financing alternative compared to traditional solutions available in the market.
Additionally, Nedbank CIB and DP World Trade Finance have entered into a risk-sharing agreement, enabling both organizations to jointly manage risk in mutually beneficial transactions and expand credit availability for clients. One key example of this collaboration is the Virtual Farmer program, created by Specialized Agri Solutions (SAS). Through this initiative, DP World Trade Finance and Nedbank CIB are working together to provide farmers with enhanced credit, ensuring they have sufficient working capital to secure inputs such as seeds, fertilizer, and diesel for crop production. The program, which has been successfully running for 12 seasons, demonstrates the positive impact of structured trade finance solutions.
Together, DP World Trade Finance and Nedbank CIB are driving forward DP World’s vision to facilitate trade and unlock new possibilities for businesses throughout the region.
