The African Development Bank Group and Banque Internationale Arabe de Tunisie (BIAT) have signed a $50 million Trade Finance Guarantee Facility to strengthen trade finance and support Tunisia’s private sector. The agreement, signed at BIAT’s headquarters in Tunis, aims to bolster the activities of Tunisian businesses, create jobs, and improve access to essential goods by reinforcing supply chains and boosting local production. It also reflects the African Development Bank’s commitment to supporting government efforts to enhance the financial sector.
The facility will primarily facilitate the importation of industrial inputs, production machinery, telecommunications equipment, and renewable energy technologies crucial for Tunisia’s industrialisation. It will also enable international banks to confirm trade finance instruments issued by BIAT, including letters of credit.
With a three-year tenor, the facility will support large corporations as well as small and medium-sized enterprises, including women-led businesses. Eligible transactions will prioritise low-carbon projects in line with Tunisia’s climate objectives, and focus on sectors such as agro-industry, light manufacturing, and the importation of essential goods to meet domestic demand.
Malinne Blomberg, Deputy Director General for North Africa and Country Manager for Tunisia at the African Development Bank Group, highlighted that the facility will contribute to job creation and improved access to essential goods and services. The agreement allows the African Development Bank to provide guarantees of up to 100% to international banks, facilitating the confirmation of letters of credit and other trade finance instruments issued by BIAT for Tunisian companies.
Elyes Jebir, Chief Executive Officer of BIAT, welcomed the cooperation, noting that the guarantee strengthens BIAT’s role as a trusted partner for Tunisian companies engaging internationally by facilitating access to global markets and securing their transactions. With its strong governance, local expertise, and extensive network, BIAT continues to play a central role in supporting Tunisia’s economy and private sector development.
The facility aligns with the African Development Bank’s 2024–2029 Country Strategy Paper for Tunisia, which focuses on economic resilience, job creation, and private sector growth. Launched in 2021, the Bank’s Trade Finance Guarantee covers a range of instruments, including confirmed letters of credit, trade loans, reimbursement undertakings, avalized bills of exchange, and promissory notes, to support commercial banks across Africa.
BIAT, a leading universal bank in Tunisia, operates subsidiaries in insurance, asset management, private equity, brokerage, and advisory services. With a nationwide presence of 206 branches and over 2,400 employees, BIAT serves individuals, SMEs, large corporates, and institutional clients, continuing to play a pivotal role in Tunisia’s financial and economic development.
