Dr. Patricia Laverley, Country Manager for Tanzania at the African Development Bank Group, has spearheaded the approval of a USD 10 million trade finance transaction guarantee facility for Exim Bank Tanzania Limited, a groundbreaking initiative designed to break down barriers hindering Tanzanian SMEs and corporates from accessing regional and international markets.

This facility is a game-changer for Tanzania’s private sector, particularly for SMEs that make up over 90 percent of local businesses and contribute one-third of the nation’s GDP. By offering up to 100 percent guarantees to international confirming banks against non-payment risks, the facility unlocks vital trade finance lines, allowing Exim Bank to increase access to critical imports such as fertilizers, pharmaceuticals, and farming equipment; all essential inputs to drive industrialization and sustainable growth.

Dr. Laverley highlights that this intervention will reduce reliance on scarce foreign exchange collateral, freeing up much-needed capital for productive lending to local enterprises engaged in expanding intra-African and global trade. Over the next three years, the facility is expected to support up to USD 60 million in trade transactions, directly benefiting strategic sectors such as agriculture, health, energy, and manufacturing.

 “This initiative will not only enhance Tanzania’s ability to import key goods and export commodities like coffee, cashew, and cotton, but also empower more locally owned businesses to compete on the global stage and create meaningful employment opportunities,” said Dr. Laverley.

The partnership with Exim Bank Tanzania Limited affirms the African Development Bank Group’s commitment to narrowing Tanzania’s trade finance gap in line with Tanzania’s Vision 2025 and the Bank’s medium- and long-term development strategies. Under Dr. Laverley’s leadership, this facility marks a pivotal step toward establishing a resilient and competitive private sector that fuels inclusive economic growth nationwide.