By: Goodluck E.Adubazi, Abuja.

The African Export-Import Bank (Afreximbank) has reported a strong financial performance for the first quarter of 2026, posting a 25 per cent increase in net income as the Bank expanded lending activities and strengthened support for African and Caribbean economies amid global economic uncertainty.

According to the Group’s unaudited financial results for the three months ended March 31, 2026, net income rose to US$268.9 million, compared with US$215.4 million recorded during the same period in 2025. Gross income also climbed to US$874.1 million, up from US$784.9 million a year earlier.

The Cairo-based development finance institution said the improved performance was driven by growth in lending activities, disciplined balance sheet management and strong execution of strategic trade financing deals across Africa and the Caribbean.

Afreximbank’s total credit exposure increased by 2 per cent during the quarter to reach US$42 billion, reinforcing its role in financing trade and infrastructure projects aimed at boosting economic resilience across member states.

The Group’s average loans and advances rose by 8 per cent year-on-year to US$32 billion, contributing to a 14 per cent increase in interest income to US$813.6 million. Net interest income surged by 24 per cent to US$510 million, despite declining global benchmark interest rates.

The Bank maintained strong financial buffers during the period, reporting US$5.6 billion in cash and cash equivalents, representing 14 per cent of total assets. Its non-performing loan ratio remained stable at 2.40 per cent, below industry averages.

Shareholders’ funds increased to US$8.6 billion, up from US$8.4 billion at the end of 2025, supported by internally generated capital and fresh equity investments received during the quarter.

Afreximbank also retained a solid capital position, with a capital adequacy ratio of 23 per cent, in line with its long-term targets under Basel II standards.

In a major strategic move during the quarter, the Bank launched a US$10 billion Gulf Crisis Response Programme in March 2026 to help member countries manage the economic fallout from the Gulf crisis.

The programme is expected to support trade, liquidity and critical imports, particularly in sectors such as energy, aviation, tourism, food and fertilisers.

Regional integration efforts also received a boost following South Africa’s ratification of the Bank’s Establishment Agreement in February, granting Afreximbank full continental membership coverage.

Commenting on the results, Denys Denya said the Group’s performance reflected resilience in the face of geopolitical tensions and tight global financial conditions.

“The growth in net interest income and profitability demonstrates the strength of our operating model and the continued relevance of our mandate,” Denya said. “Our swift launch of the US$10 billion Gulf Crisis Response Programme further underscores Afreximbank’s counter-cyclical role in supporting member countries during periods of disruption.”

He added that the Bank remains focused on stabilising trade flows, easing liquidity pressures and accelerating the industrial and economic transformation of Africa and the Caribbean.