New trade finance facility to unlock trade, boost businesses, and support jobs in Angola

Luanda, Angola - March 16, 2026. A new trade finance guarantee facility is set to help Angolan businesses - including small and medium enterprises (SMEs) - secure the inputs they need, deliver to customers on time, and sustain and create jobs across key value chains. By de-risking trade transactions and improving the reliability and speed of cross-border payments, the facility will strengthen supply chains, support more diversified growth, and deepen Angola's integration into regional and global markets. The facility is provided to Banco de Fomento Angola (BFA) under the Global Trade Finance Program (GTFP), a program of the International Finance Corporation (IFC), a member of the World Bank Group.

In Angola, access to foreign exchange and limited correspondent banking relationships have complicated cross-border payments in recent years, making it harder for firms to source inputs and fulfill orders. These constraints are particularly consequential in sectors like food and agriculture, where Angola imports a substantial share of its consumption needs and firms require steady access to inputs; recent assessments indicate Angola imports over half of its food, underscoring the importance of reliable trade finance to keep supply chains flowing.

Trade finance remains a binding constraint for many African firms. The continent faces an estimated trade finance gap of roughly $100-120 billion annually, with SMEs disproportionately affected, despite representing over 90 percent of businesses and accounting for about 80 percent of employment in Africa.

"Trade finance keeps businesses going," said Makhtar Diop, IFC Managing Director. "Working with BFA, we're helping Angolan firms access vital imports, trade more smoothly across borders, and create jobs, strengthening supply chains and the wider economy."

Through the Global Trade Finance Program, IFC's guarantees will back BFA's issuance of trade instruments, such as letters of credit, trade-related promissory notes and bills of exchange, and standby instruments including bid and performance bonds and advance payment guarantees.

By de-risking cross-border transactions, the facility is designed to help BFA grow its trade portfolio, broaden its network of counterparties, and expand access to trade finance for Angolan firms across sectors, including agribusiness, manufacturing, and essential goods. This strengthens Angola's integration into regional and global value chains while relieving pressure points that often hinder SMEs from scaling and creating jobs.

"We are confident this partnership will have a positive impact not only on communities but also on the Angolan economy. Thanks to IFC, BFA will have more instruments at its disposal to finance small and medium-sized enterprises in productive sectors of the economy, boosting food production and distribution, enhancing food security, and creating jobs," said Luís Roberto Gonçalves, BFA CEO. "This partnership reaffirms BFA's commitment to scaling solutions that advance the development of Angola's financial system and reinforce the trust our clients and partners place in us."

This partnership aligns with the World Bank Group's strategy to increase access to finance in Angola's private sector as an important way of unlocking economic growth. As the country continues efforts to enhance its competitiveness and diversify its economy, reliable trade finance plays a key role: it ensures access to fertilizer and seeds for farmers, packaging and raw materials for manufacturers, and spare parts and equipment for service providers - inputs that translate directly into productivity gains, resilient supply chains, and new and sustained jobs.

To support access to trade finance for local businesses, IFC's Global Trade Finance Program connects issuing banks in emerging markets with a broad network of international confirming banks, providing risk mitigation that unlocks trade and economic growth. Since its launch, the program has provided over 188,000 firms with $120 billion in trade finance. In fiscal year 2025, IFC extended $12 billion in guarantees globally, with over $4 billion allocated to Africa.