African Development Bank approves $8 million trade finance guarantee in Djibouti

The African Development Bank Group approved an $8 million guarantee facility for Exim Bank Djibouti on October 7, 2026. This facility is designed to finance trade for large enterprises and small and medium-sized enterprises in Djibouti. The guarantee allows the African Development Bank to provide up to 100 per cent guarantees to confirming banks for letters of credit and similar trade finance instruments.

The initiative aims to accelerate industrialization in Djibouti by supporting the import of production machinery, inputs, and telecommunications equipment. It specifically targets the green energy and manufacturing sectors, while also facilitating imports of essential goods to support food and nutritional security.