UBA Group and BII Sign Letter of Intent to Explore Trade Finance Collaboration
Ad Feature by SWNS Media Group | Published 20th Mar 2026, 09:37 GMT
The United Bank for Africa (UBA) Group and British International Investment (BII), the UK's development finance institution and impact investor, have announced the signing of a letter of intent to develop trade finance collaboration opportunities. This initiative aims to expand access to trade and working capital facilities for businesses operating across Africa, addressing a critical structural constraint on African trade.
Addressing the Trade Finance Gap in Africa
Access to trade finance remains one of the most significant barriers to African trade, with businesses, particularly small and medium-sized enterprises (SMEs), often unable to secure letters of credit, guarantees, and supply chain finance on commercially viable terms. This limitation hampers their capacity to export and import competitively. According to the African Development Bank, the trade finance gap in Africa is estimated to exceed USD 80 billion annually, highlighting the urgent need for innovative solutions.
Leveraging Strengths for Collaborative Impact
UBA UK, the London subsidiary of UBA Group, will leverage its deep relationships across the group's 20-country African network to originate and structure trade finance transactions. Meanwhile, BII, with its mandate to support productive, sustainable, and inclusive growth across Africa, can back transactions that might otherwise fall outside conventional commercial appetite. This partnership combines UBA's extensive pan-African reach with BII's impact investment expertise to mobilise capital effectively.
Statements from Key Leaders
Lok Mishra, CEO of UBA UK, emphasised the significance of this collaboration, stating, "The signing of this letter with BII represents a landmark moment for UBA UK and for the UBA Group's global ambitions. As the Group's hub for Trade Operations, UBA UK is uniquely positioned to connect African businesses with the international financial system. Working alongside BII, we can extend that capability further, mobilising capital where it matters most and helping to close the trade finance gap that holds back so much African potential."
Chris Chijiuitomi, managing director and head of Africa at BII, added, "British International Investment is committed to catalysing private sector growth across Africa, and trade finance is a critical enabler of that growth. We welcome the opportunity to collaborate with UBA Group, whose pan-African network and deep institutional relationships can help advance our ambition to expand access to trade and working‑capital finance, particularly in frontier markets."
Supporting Intra-African Trade and UK Engagement
This announcement builds on the growing momentum around intra-African trade facilitated by the African Continental Free Trade Area (AfCFTA), which entered into force in 2021 and represents one of the world's most significant trade integration initiatives. Both institutions have identified the operationalisation of AfCFTA as a priority catalyst for a trade finance facility, with UBA UK's network across major AfCFTA economies offering a solid foundation for supporting businesses navigating the emerging continental market.
Additionally, this collaboration complements the UK Government's broader engagement with African economic development, including commitments made at the UK-Africa Investment Summit. It reinforces the City of London's role as a leading international finance centre for Africa-focused capital mobilisation, strengthening ties between the UK and African markets.
Future Steps and Considerations
Future cooperation between UBA Group and BII remains subject to further assessment, due diligence, and the completion of internal approvals by both parties. This careful approach ensures that any initiatives undertaken will be robust, sustainable, and aligned with the strategic goals of both organisations to foster economic growth and development across Africa.
