Afreximbank and Zep-Re have launched the Trans-Africa Bond Alliance (TABA) to empower African contractors and enhance cross-border trade. TABA aims to bridge the insurance capacity gap, helping African businesses secure more projects. It also promises efficient movement of goods and investment across the continent.
The alliance will provide transit guarantee mechanisms to reduce trade barriers, lower costs, and improve trade efficiency. Traders can transport goods from Cape Town to Cairo using a single transit bond. This solution cuts delays and reduces trade costs. It also ensures customs authorities receive guaranteed revenue in case of procedural breaches.
H.E Veronica M. Nduva, Secretary General of the East African Community (EAC), said, “The East African Community has long been committed to fostering regional integration and economic development. Indeed, our two pillars of the four of establishment are a customs union and a common market. The establishment of TABA aligns seamlessly with our regional integration program, which aims to enhance cross-border trade, reduce trade costs and promote economic growth across the continent with simplified trade regimes.”
Also Read: Afreximbank Begins Construction of First African Trade Centre in Barbados
New Era for Trade in Africa
TABA will promote cross-border trade under the African Continental Free Trade Agreement (AfCFTA). It introduces Transit Bonds, Performance Bonds, and Standby Letters of Credit (SBLCs) to guarantee goods movement. This initiative boosts investor confidence and reduces trade costs. It also ensures compliance with customs regulations, securing government revenue.
Mr. Denys Denya, Senior Executive Vice President of Afreximbank, said, “Today we forge a new alliance to dismantle the artificial barriers and tighten the bolts and nuts of the wheels of trade and investment flows across national borders. This couldn’t have come at any other time than now, when the pillars of global cooperation and integration are being disintegrated, and fragmentation, isolationism and protectionism have taken hold in our world. Through this collaboration, our goal is not to displace local operators but to boost the capacity and efficiency of interstate transit regimes, paving the way for a continental framework under the AfCFTA.”
Ms. Hope Murera, CEO of Zep-Re, said, “Today, we are not just unveiling a new partnership—we are ushering in a new era. One that reimagines how we facilitate trade, manage risk, and support cross-border movement across our continent. ZEP-RE’s experience and impact through flagship regional programs demonstrates what is possible when vision meets action. TABA represents a shared vision—a vision where Africa is connected by bridges of opportunity, not barriers.”
TABA will host B2B meetings and marketplace interactions to discuss implementation strategies. An awareness campaign will educate businesses on the benefits of TABA. The alliance aims to streamline trade, reduce costs, and promote seamless trade across Africa.