Our investment
Description of the investment.
Description of the investment.
This MRPA facility of up to $150 million to Deutsche Bank will channel much-needed trade finance to local banks in Africa. It will enable banks to meet the financing needs of trading businesses in BII's Alpha (59% of total, 90% risk share) and Beta (41% of total, 80% risk share) markets. Most banks have limited capacity or appetite to provide trade support in these countries.
This facility is expected to fund businesses across several sectors including industrials, raw materials, commodities and automotives.
Impact information
Applies to investments made from 2019 onwards. The tabs in this section define what we expect to achieve through the investment, assessing the potential impact of the investment against six dimensions of impact. You can find more details on our methodology of assessing impact here.
Applies to investments made from 2019 onwards. The tabs in this section define what we expect to achieve through the investment, assessing the potential impact of the investment against six dimensions of impact. You can find more details on our methodology of assessing impact here.
What?
| Impact |
|---|
Increased trade flows to import a variety of machinery, raw materials and products that support the growth of local industry and, ultimately, contribute to economic growth (SDG 8.5, 8.10) Increased access to commodities for businesses and consumer goods and services (SDG 1.4, 2.1) |
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How?
| Primary | Secondary |
|---|---|
|
Economic enabler: This trade facility will allow the Bank to take on new risk with financial institutions in target African markets, where internal limits would otherwise constrain activity. Africa’s trade performance is vulnerable to macroeconomic pressures such as rising inflation, currency volatility, and geopolitical tensions. This affects the ability of local businesses to operate effectively. Increased credit will support businesses to import the commodities/capital equipment they need to sustain and grow operations. This supports productivity and economic activity. This facility will finance transactions across sectors. Deutsche Bank's current trade portfolio focuses on industrial supplies (35%), raw materials (23%), commodities (18%), automotive (5%), and chemicals (2%). Oil and Gas (O&G) trades are excluded. |
Owners and Employees (companies receiving trade finance) |
Who?
| Stakeholder | Geography | Characteristics |
|---|---|---|
|
Tanzania, Ethiopia, Rwanda, Malawi, Liberia, Sierra Leone, Madagascar, Zambia, Angola, Cameroon, Senegal, Nigeria, Cote d'Ivoire, Uganda |
No visibility on end stakeholder but can assume mass market characteristics across the target countries. |
How much?
| Scale | Depth/Duration |
|---|---|
|
There is no visibility on number of people reached, hence we use the scale of the facility and enabled trades as a proxy. We expect the $150 million facility to enable approximately $273 million of trade. |
Duration: The maximum tenor of underlying transactions is 12 months. The duration of the impact on consumers and firms will depend on the goods traded but are likely to be short- to medium-term. Depth: Difficult to assess but impact is expected to be deeper in the least developed markets, and where trade conditions have worsened. This includes contexts with lower GDP growth, limited access to foreign exchange, reduced availability of goods, and higher unemployment. |
Contribution/additionality
| Contribution/additionality |
|---|
|
BII’s capital is additional as it enables Deutsche Bank to expand trade finance in markets with significant unmet demand. While Deutsche Bank has strong access to global capital markets, its ability to grow its trade book in these geographies is constrained by internal risk limits. This creates a capital gap of around $400 million. BII’s risk-sharing support helps address this constraint, allowing the Bank to increase exposure to local banks and extend more trade finance where it is most needed. |
Risk
Execution RiskRisk that the Master Risk Participation Agreement may not be used efficiently to create scale of impact given the bank has limited exposure to some of the target markets. Evidence RiskLimited visibility on the ultimate impact and the counterfactual due to the length of the impact chain. |
Impact score
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Impact score (at point of investment)
The Impact Score is a tool to help us manage our performance against our strategic impact objectives. It is designed to incentivise investments that support our productive, sustainable, and inclusive objectives. The Impact Score shown is based on the 2022-2026 Impact Score methodology. You can find out more here. The Impact Score is published for investments made from 2022 onwards. The Impact Scores are calculated at the point of investment. We publish the Impact Scores of new investments annually, once the information has been externally assured by an independent third party. |
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6 |
Environmental and social information
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Environmental and social summary
A high-level description of the environmental and social aspects of the investment. This may include a summary of key environmental and social risks identified during environmental and social due diligence (ESDD); key elements of an environmental and social action plan (ESAP); or ways in which we plan to support the investee improve environmental and social standards, such as through their environmental and social management system (ESMS); as well as any other priority areas agreed with the investee.
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Environmental and social risk
A risk category rating, which indicates the level of environmental and social risk associated with an investment. For an explanation of the categorisations used, see here. We consistently provide an environmental and social risk category for all investments screened from 2023 onwards.
Environmental and social summary
Our ESDD found that the bank's E&S procedures for trade and human resources policies aligned with BII's requirements, and our exclusion list will be applied to the facility.
Environmental and social risk
Medium-Low
Reporting and Complaints Mechanism
The Reporting and Complaints Mechanism allows anyone outside BII to report alleged breaches of the business integrity or environmental and social provisions of BII’s Policy on Responsible Investing. This includes breaches made by BII, a BII investee, or a portfolio company of a fund in which BII has invested. The Reporting and Complaints Mechanism Rules are available here. Reports and complaints can be submitted by email to [email protected] or by mail. See more details on our Reporting and Complaints Mechanism here.
For any other general enquiries contact us at [email protected]
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Key facts
- Last updated
:
When the last quarterly update of the website database occurred.
- June 2026
- Project number
:
An identifier number shared by investments in the same project.
- D7578
- Status
:
The current status of the investment (green flag for active and red flag for exited).
- Active
- Region
:
The geographical region where the country is located. We currently invest in Africa, South Asia, South East Asia and the Caribbean. In 2023, BII’s investment mandate was extended allowing it to invest in regional funds linked to Ukraine, with the majority of activity expected to begin post-war. Investments outside these regions were made prior to 2012 under previous investment mandates.
- Central Africa, East Africa, Southern Africa, West Africa
- Country
:
The countries where the investment delivers impact. Where impact is delivered in multiple countries, this is indicated.
- Angola, Cameroon, Cote d'Ivoire, Ethiopia, Liberia, Madagascar, Malawi, Nigeria, Rwanda, Senegal, Sierra Leone, Tanzania, Uganda, Zambia
- Sector
:
We prioritise those sectors that facilitate development and need our capital the most. Our priority sectors contribute towards many of the Sustainable Development Goals. They range from investing in the power infrastructure that will provide people with better access to electricity, to investing in financial institutions that direct capital to the individuals and businesses that need it the most.
- Financial services
- Sub sector
:
The sub-sector that the investment is made into; this provides a more granular level of detail than the ‘sector’ information
- Banks
- Investment policy :
- Growth
- Investment type :
- Guarantee
- Start date :
- December 2025
- Amount :
- $150m
- Currency of investment :
- USD
- Domicile
:
The company or investment fund’s place of incorporation.
- Germany
We provide capital in the following ways: directly – through direct equity, direct debt, guarantees and other non-intermediated financial instruments; and indirectly – principally through investment funds.
Type of investment portfolio that each investment is made under. Since 2014, we have run two investment portfolios: Catalyst and Growth. In addition, our Kinetic Portfolio enables us to manage concessional investment strategies.
For direct investments and fund investments, this is the date BII committed capital to the investments. This is typically the date on which legal agreements are signed by all parties.
For the portfolio companies of our fund investments, this is the date (either the month or the quarter) on which the fund committed capital to the portfolio company.
For direct equity investments, this is the date at which British International Investment exited the investment.
For debt investments, this is the date at which the final debt repayment was made.
For funds, this is the date at which the fund was terminated.
For underlying fund investments, this is the date at which the fund manager exited the investment.
The total amount committed, per financial instrument, per investment, on the date BII becomes subject to a binding legal obligation to provide funding or assume a contingent liability. This information is provided in US dollars.
For direct investments, this is the amount that BII has committed to the business or project. For fund investments, this is the amount BII has committed to the fund.
The currency in which the investment was made.
- Last updated
