Afreximbank Targets Railway Development In MoU With Russian Railways And Russian Export Centre

Afreximbank Targets Railway Development In MoU With Russian Railways And Russian Export Centre
Afreximbank President Prof. Benedict Oramah (right) exchanges documents with Oleg Belozyorov, Director General Russian Railways (centre), and Andrey Slepnev, Director General of the Russian Export Center, following the signing of the MoU in Moscow.

The Russian Railways, the Russian Export Center (REC) and the African Export-Import Bank (Afreximbank) have signed a memorandum of understanding at the recently held annual Investment Forum - RUSSIA CALLING in Moscow.

Prof. Benedict Oramah, President of Afreximbank, signed the document on behalf of the Bank while Oleg Belozyorov, Director General of Russian Railways, and Andrey Slepnev, Director General of REC, signed for their respective organisations.

Speaking after the signing, Prof. Oramah cited the huge demand for infrastructure in Africa and said that the continent needed investments of $20 billion per annum in the rail sector in order to bring it up to the required level.

He said that Afreximbank’s role is to find partners that would help it to deliver the necessary investment in Africa. The signing of the MoU would enable Russia to participate in the opportunities that existed in Africa, he added.

Mr. Slepnev described the signing of the MoU a demonstration of practical collaboration among the institutions and expressed confidence that it would bear fruit.

The parties have agreed to develop cooperation on the implementation of export and investment projects in the rail sector and to jointly develop project financing schemes. The memorandum will be in force for three years from the date of signing and includes the option to extend.

At the BRICS Summit, which was held from 26 to 28 July 2018 in South Africa, agreements were reached on the development of cooperation with Transnet, South Africa’s largest rail, pipeline and port infrastructure operator. A joint statement was signed which specified a list of promising projects in areas such as infrastructure development, consulting, R&D and training.

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