Afreximbank Advances Cotton Sector Transformation in Africa.

Wednesday 7th May 2025

By inAfrika Reporter

African Export-Import Bank (Afreximbank) recently hosted a two-day meeting of the Steering Committee of the Partenariat pour le Coton (PPC), a global platform supporting transformation in the cotton-textile-garment (CTG) sector in developing countries. Held in Cairo, the meeting focused on the C4+ countries: Benin, Burkina Faso, Chad, Mali, and Côte d’Ivoire.

Mrs. Kanayo Awani, Executive Vice President at Afreximbank, opened the meeting by emphasizing the potential of the cotton sector to enhance economic growth across Africa. She noted that although the sector contributes significantly to GDP and foreign exchange in some countries, textile and garment manufacturing remains underdeveloped.

She stressed that upgrading the cotton value chain requires addressing issues such as low yields, limited processing capacity, climate change, weak infrastructure, and limited access to modern technology. Afreximbank aims to help African countries move up the value chain, transforming raw cotton into textiles and clothing to meet goals of Agenda 2063 and the UN Sustainable Development Goals.

Deliberations focused on mobilizing capital and investment to transform the cotton sector. Afreximbank highlighted financial tools such as debt and equity financing, advisory services, SME support, digital platforms, and trade facilitation. The meeting reaffirmed Afreximbank’s commitment to industrialization and value addition across the continent.

Jean-Marie Paugam, Deputy Director-General of the WTO and Chairperson of the steering committee, expressed hope that discussions would produce tangible results for industrialization and local processing. The meeting also featured the signing of an amendment to the Trust Fund Agreement between Afreximbank and UNIDO, reinforcing a grant for a baseline study of the cotton-to-textile value chain.

Participants included ministers, international agencies, textile experts, and technical partners like Gherzi Textile Organization and Otto Group Scan-Thor Group. PPC members include WTO, UNIDO, ICAC, ILO, ITC, Better Cotton, FIFA, and the governments of the C4+ countries.