Standard Chartered and the International Finance Corporation (IFC) have announced a new risk sharing facility aimed at strengthening supply chains across Africa
The partnership will introduce supply chain finance solutions in eight markets – Ivory Coast, Egypt, Ghana, Kenya, Nigeria, South Africa, Tanzania and Zambia – supporting companies in key sectors such as agriculture, healthcare and manufacturing.
The facility aims to help ensure suppliers get faster payments, freeing up working capital to improve production, pay wages and hire.
The risk-sharing facility will cover up to US$300mn in supply chain and trade finance assets originated by Standard Chartered in Africa.
It comprises a range of underlying supply chain financing instruments – such as payables finance, receivables discounting and pre-shipment finance programmes – to help smaller firms get paid earlier, reduce the cost of working capital, and invest in growth.
“This US$300mn facility with IFC underscores our shared commitment to strengthening Africa's supply chains and enabling sustainable business growth,” said Dalu Ajene, chief executive and head of coverage, Standard Chartered Africa.
“As a super-connector bank with deep expertise across key trade corridors linking Africa to Europe, Asia, the Middle East and the Americas, we are uniquely positioned to channel capital and innovation into the real economy. By expanding access to supply chain finance, we are helping African companies unlock liquidity, manage risk, and invest with confidence.”
Ajene said the collaboration unites Standard Chartered’s cross-border expertise with IFC’s development mandate to empower businesses – from major corporations to smaller local suppliers – “to engage more actively in regional and global trade, fostering job creation and promoting inclusive growth.”
IFC will provide guarantees for up to US$150mn from its own account, with US$100mn committed as the first tranche under the scheme, to support transactions in both US dollars and selected local currencies.
Over the next three years, the partnership is projected to enable about US$1.9bn in supply chain finance transactions, providing access to finance for firms across Africa.
It aims to support more than 500 suppliers, including small and medium enterprises (SMEs), in both domestic and global value chains, with the potential to indirectly benefit over 1 million farmers.
“Supply chain finance is among the fastest ways to narrow the growing finance gap that businesses, particularly small and medium enterprises, are facing in emerging economies,” said Mohamed Gouled, IFC’s vice president, products & clients.
“By partnering with Standard Chartered to support companies at the center of strategic value chains, we can unlock much-needed working capital at scale for businesses across Africa, including smaller firms and farmers, making supply chains more competitive and boosting job creation.”
According to IFC, global demand for supply chain finance has surged – in 2025, the estimated volume reached about US$2.7trn, showing an 8% increase year-on-year.
Yet supply chain finance has not scaled at the same pace in emerging markets, it says, especially in lower income and fragile contexts, largely because commercial banks tend to focus on developed markets.
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Finance boost for Africa’s supply chain sector (Image source: Adobe Stock)
