Afreximbank Disburses US$100 M Facility to Boost Road Infrastructure Across The Bahamas

In a significant boost to the Caribbean's transport infrastructure, African Export-Import Bank (Afreximbank) has announced the disbursement of a US$100 million Receivables Discounting Facility to Bahamas Striping Group of Companies Ltd (BSGC).

The funding will support the rehabilitation and construction of more than 200 miles of critical road infrastructure across The Bahamas, enhancing connectivity, trade and tourism throughout the archipelago.

Funding Backed by Government Framework Agreement

The disbursement was made under a Framework Agreement signed between Afreximbank and the Government of The Bahamas on the sidelines of the 48th Conference of Heads of Governments of CARICOM, held in Bridgetown, Barbados, in 2025.

The facility is expected to accelerate an extensive national infrastructure overhaul aimed at creating safer, more durable road networks that facilitate commerce, tourism and logistics across multiple islands.

Afreximbank acted as lender in the transaction, providing financing linked to government contracts. The receivables discounting structure enables BSGC to receive advance funding for completed and certified works, thereby accelerating project execution.

The works covered under the facility include:

• Asphalt paving

• Road striping

• Safety enhancements

• Maintenance and rehabilitation across multiple islands

Innovative Structured Finance for Cross-Regional Development

Commenting on the transaction, Okechukwu Ihejirika, Acting Chief Operating Officer of Afreximbank for CARICOM, described the facility as a reflection of the Bank's commitment to supporting infrastructure development across the Global Africa partnership network.

"This facility represents an innovative approach to structured finance in cross-regional partnerships and aligns with our mandate to foster a connected Global Africa that encompasses CARICOM," he said.

He added that by enabling extensive road rehabilitation works, the Bank is contributing to sustainable development and enhanced economic opportunities in The Bahamas.

Mr Ihejirika also reaffirmed Afreximbank's intention to build on partnerships forged at the Bank's 2024 Annual Meetings and the AfriCaribbean Trade and Investment Forum held in Nassau, noting that the current transaction followed the signing of the Framework Agreement with the Bahamian government.

Strengthening Local Capacity and Economic Impact

Dominic Sturrup, Executive Chairman of BSGC, expressed appreciation for Afreximbank's support throughout the financing process.

"We are grateful to Afreximbank for standing with us through every stage of the process, and we are proud that this transaction strengthens our ability to execute major projects, support our subcontractors and vendors, and scale opportunities," he said.

Atario Mitchell, President of BSGC, explained that the US$100 million receivables factoring facility will enable the company to meet its financial obligations efficiently, including:

• Paying employees

• Procuring materials

• Expanding operations across islands

"This facility gives BSGC the ability to move faster, plan better, and execute with even greater reliability across multiple islands," he said.

Boost to Tourism, Trade and Community Development

The facility, tied directly to government-approved contracts, will contribute to improving road infrastructure essential for:

• Tourism development

• Trade and logistics

• Community access and mobility

The project is also expected to generate employment opportunities and promote local community empowerment.

Improved transport infrastructure is likely to enhance The Bahamas' competitiveness as a regional trade and tourism hub, supporting broader economic growth objectives.

Supporting Indigenous Enterprise

BSGC, founded in 2010, is an indigenous Bahamian-owned company that has completed more than 200 projects across Nassau, Exuma and Eleuthera. The company employs over 300 people, including subcontractors.

Through this partnership, Afreximbank continues to expand its footprint in the Caribbean, reinforcing economic cooperation between Africa and CARICOM nations while promoting sustainable infrastructure development.