DPFZA Chairman and Red Sea Bunkering CEO sign $35 million agreement with Afreximbank

On the sidelines of the Intra-African Trade Fair Conference (IATF2023) held in Cairo, Mr Aboubaker Omar Hadi, Chairman of Djibouti Ports and Free Zones Authority (DPFZA), and Mr Abdi Ismail Kahin, CEO of Red Sea Bunkering, signed a $25 million trade finance agreement and a $10 million working capital agreement with Afreximbank, all without a sovereign guarantee.

The purpose of this financing is to simplify the import of refined petroleum products from foreign suppliers into Djibouti. This import is intended to meet the demand from ship owners and suppliers requiring bunkering services off the coast and in Djibouti’s ports. The funding will enable Red Sea Bunkering to meet its trade finance needs, while facilitating the expansion of its bunkering services for ships and large vessels transiting one of the main maritime trade corridors in the Horn of Africa, along the coast of Djibouti.

Red Sea Bunkering’s mission is to supply fuel to international vessels in the Red Sea and Indian Ocean.