African Export-Import Bank (Afreximbank), a Pan-African multilateral financial institution, has approved its largest financing package for Chad, providing €110 million ($127 million) to support trade, infrastructure and the government’s broader economic development plans.

The facility, signed Aug. 5 at Afreximbank’s headquarters in Cairo, will fund trade-enabling infrastructure projects approved under Chad’s 2026 Finance Law. The financing comes as the landlocked Central African nation seeks to reduce its dependence on oil and build a broader economic base.

Focus on trade and infrastructure

The financing follows a memorandum of understanding signed by Chad and Afreximbank in June 2025 that outlined cooperation across agriculture, livestock, gold trading, petroleum refining and Lake Chad development.

Projects targeted under the wider financing program include industrial zones for textile manufacturing and meat processing, transport links connecting Chad with Egypt and Libya, power generation and crude oil refining.

The program also includes efforts to expand economic activity around Lake Chad, potentially opening new opportunities for trade and transport. George Elombi, Afreximbank’s president and chairman, said the facility reflects the bank’s support for Chad’s plans to reshape its economy.

Chad’s government said the financing would help fund critical projects included in its national budget, particularly infrastructure and trade development.

Chad seeks a broader economy

Chad remains heavily reliant on oil, but the government is pursuing agricultural development, industrial investment and infrastructure projects to diversify economic activity. The World Bank has raised its forecast for Chad’s economic growth in 2026 to 5.2%, according to the information provided by the government.

For Afreximbank, the Chad deal expands its role in financing trade and infrastructure across Africa as governments seek capital for projects linked to regional commerce and industrial development. The bank, which supports intra-African and international trade, is also a major backer of the African Continental Free Trade Area.

Its Pan-African Payment and Settlement System, or PAPSS, is designed to support cross-border payments in African currencies. At the end of 2025, Afreximbank reported more than $48.5 billion in total assets and contingencies, with shareholder funds of $8.4 billion.