The Federal Republic of Germany, through its development bank, KfW, has become the latest shareholder in the African Trade & Investment Development Insurance (ATIDI), underscoring Germany’s commitment to strengthening its economic partnership with Africa and to supporting African institutions that facilitate trade and investment across the continent. The subscription agreement was recently signed in Nairobi by ATIDI’s CEO Manuel Moses and the German Federal Minister for Economic Cooperation and Development, Reem Alabali Radovan.
Effectively, KfW becomes the 13th institutional shareholder in Africa’s premier development insurer, further strengthening the organization’s capital base and its capacity to support trade and investment across the continent.
Speaking at the signing ceremony, ATIDI CEO Manuel Moses said, “This milestone is iconic in many ways. First, it elevates our already dynamic bond with KfW and creates more opportunities for German investors looking to engage in Africa. It is also a recognition of ATIDI’s earned status as Africa’s top development insurer and the acknowledgement of the soundness of our business. Last, it underscores the power of partnerships in a global context increasingly marked by volatility and uncertainty. ATIDI will spare no effort to make this partnership a successful one.”
D2-class shareholder
KfW invested US$32 million to become a D2-class shareholder of ATIDI, a status dedicated to Export Credit Agencies and Non-African Public Entities. Of this amount, US$18.4 million are funded from BMZ budget resources, with the remaining US$13.6 million coming from KfW’s own resources. As such, it will assume the obligations and benefits related to its new shareholding status, including representation in ATIDI Governance and decision-making structures and equally participating towards improving German trade and investments in Africa in alignment with the G20 Compact with Africa (CwA 2.0).
“Today we reconfirm our long-standing strategic partnership with ATIDI. Together, we intend to further enhance business opportunities for European and German investors in Africa to create prosperity and development for mutual benefit. Our membership is executed on behalf of the Federal Republic of Germany. It is only the latest culmination of a successful cooperation that has enabled the ATIDI membership of several African states and has created innovative insurance solutions to attract foreign investment on the continent,” said Christiane Laibach, Member of KfW’s executive board,.
Established in 1948, KfW is Germany’s state-owned promotional and development bank and a key implementing partner of BMZ in international financial cooperation. It provides financing for projects in critical sectors including sustainability, infrastructure, renewable energy and small business growth in developing countries. Its shareholding in ATIDI is expected to stimulate up to $500 million in trade and investment between German companies and African markets.
Over the past 25 years, ATIDI has grown to become Africa’s premier provider of development insurance and one of its highest rated financial organizations. It leverages its partnerships with leading multilaterals and regional bodies – including the African Union, the World Bank Group, COMESA, the European Investment Bank (EIB), the Norwegian Agency for Development Cooperation (NORAD), to offer innovative credit and investment insurance products that foster sustainable and transformational growth across the continent.