Aiming to build institution-level capability for factoring in Uganda and African markets, the African Export-Import Bank (Afreximbank) has hosted a three-day capacity building workshop on factoring for financial institutions in Uganda.
Organised from 13 to 15 October at the Sheraton Kampala Hotel, Uganda, the workshop served as a practical follow-up to an earlier Africa Regional Conference on Factoring, Receivables Finance and Credit Insurance held in Kampala, Uganda, from 15 to 16 April and sought to convert the high-level dialogue and market interest of that conference into institution-level capability, product concepts and concrete next steps for Uganda and African markets.
The event focused on practical implementation of factoring, identifying attractive value chains, structuring products, building operating models, managing risk, using credit insurance and preparing pilots.
In opening remarks to the participants, Mrs. Farida Kasujja, Senior Specialist, Client Relations, East Africa, who spoke on behalf of the Afreximbank Regional Director for East Africa, Mr Humphrey Nwugo reiterated Afreximbank’s commitment to helping African financial institutions to translate interest in factoring into capability to finance African businesses, strengthen supply chains and support intra-African trade.
“Building sustainable factoring markets requires more than awareness,” Mrs. Kasujja said. “It calls for capable institutions, practical implementation plans and solutions that respond to the working-capital needs of African businesses.”
She expressed the hope that the workshop would lead to the creation of a stronger network of African financial institutions equipped to offer commercially viable factoring services, enabling more African enterprises to participate in domestic, regional and international trade.
Ms. Lina Iyok, Senior Manager, Trade Finance and Correspondent Banking, Afreximbank, who also addressed the participants highlighted Afreximbank’s factoring initiatives which include financing, capacity building, legal and regulatory development and strategic partnerships. Afreximbank’s factoring strategy encompasses financing, legal and regulatory support through the Afreximbank Model Law, awareness and capacity building, strategic partnerships and services.
The event was organized in conjunction with FCI, with Mr. Marius Savin, Consultant and Advisor (FCI) acting as a co-facilitator alongside Tinashe Tamba, Africa Regional Manager, FCI seconded to Afreximbank.
The workshop aimed to contribute to the development of the factoring market in Uganda and the wider region by strengthening the capacity of financial institutions to design and deliver receivables-finance solutions for African businesses, particularly SMEs.