Afreximbank raises $300mln via its first Chinese panda bond
China has pledged to open up its domestic markets for African issuers to borrow money through the so-called panda bonds - debt issued on its domestic bond market, denominated in yuan.
However, those looking to do so face several hurdles, including issuing in a currency that is not globally freely traded.
Afreximbank, which is the main trade financier for the continent with assets of $40 billion, said it will press ahead with a secondary listing of depositary shares, which are currently listed on the Stock Exchange of Mauritius.
"The market has not been very good for us to make the foray. But I can assure you that it is still on our radar," Benedict Oramah, the lender's president and chairman, told an investor briefing.
The board of the Cairo-based bank, which is mainly owned by African states, is working to identify a replacement for his job as president, he said, to be unveiled to shareholders in June.
Asked about the impact of turmoil sparked by sweeping trade tariffs by U.S. President Donald Trump last week, Oramah said it is an opportunity to boost intra-Africa trade.
"It will open the opportunity we all want for us to trade more amongst ourselves, trade more in value-added products," he said, adding it would encourage the bank to lend more to develop industrial power, including through economic zones.
"We do not want commodities to be the driver of our business."
Afreximbank's new panda bond has a 2.99% interest rate, it said. Bank of China Limited was the lead underwriter and bookrunner, and Exim Bank of China and ICBC the joint lead underwriters.
The panda issue is the first by an African financial institution, but the second by any African entity, after Egypt issued a panda bond in 2022.
Panda bonds were first launched in 2005, pioneered by the Asian Development Bank and the International Finance Corporation, the World Bank's private investment arm. Issuance hit a record 195 billion yuan in 2024, according to Deutsche Bank calculations.
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The National
a minute ago
- The National
Trump says Nvidia's H20 is 'obsolete', yet there are worries about selling the GPU to China
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Late in July, in response to The National's inquires about concerns about the H20 being sold in China, Nvidia did not exactly describe the GPU as obsolete either. 'The H20 helps America win the support of developers worldwide, promoting America's economic and national security,' the statement read, emphasising the chip's deliberately modest attributes. 'It does not enhance anyone's military capabilities, and the US government has full visibility and authority over every H20 transactions.' Some Republicans have also described Nvidia's H20 as still relevant. Representative John Moolenaar, who chairs the House Select Committee on the Chinese Communist Party, recently opposed resuming exports of the H20 to China. 'The H20 is a stark improvement over what the Chinese can indigenously produce at scale,' he said during a speech at Purdue University's Krach Institute for Tech Diplomacy. 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Arabian Post
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- Arabian Post
Narendra Modi Govt Works Out Emergency Action Plan To Assist Most-Hit Exporters
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Telecom instruments and petroleum products provide moderate value but variable exposure; telecom isn't in the immediate line of fire, while petroleum products could face indirect or classification-based vulnerability. Electronics (e.g., smartphones) are a rising export — notably exempt under the new tariff rules — while auto components are partially at risk: passenger-vehicle parts at 25%, commercial-vehicle parts at 50%. (IPA Service)
Khaleej Times
2 hours ago
- Khaleej Times
Trump's gold tariffs accelerate Bitcoin's rise to record highs
Bitcoin is fast approaching uncharted territory, with prices surging as US President Donald Trump's steep tariffs on imported gold bars jolt traditional safe-haven markets and redirect capital into the world's largest cryptocurrency. A potent mix of macroeconomic shifts, institutional inflows, and policy reforms is propelling Bitcoin to the forefront of global finance, redefining its role as 'digital gold.' Early Monday, Bitcoin jumped more than 3.3 per cent to $122,150, according to TradingView, inching closer to its all-time high of $123,000 set earlier this summer. The rally followed Trump's decision to impose a 39 per cent tariff on imported gold — a move that disrupted bullion markets and sparked a flight of capital into digital assets immune to border taxes, storage limitations, and sudden regulatory changes. The gold tariff shock came alongside Trump's announcement of a 90-day extension on the pause for tariffs against Chinese goods, delaying a previous August 12 deadline. The reprieve briefly boosted risk sentiment in broader markets, but for Bitcoin, the more decisive factor was the blow to gold's appeal as a crisis hedge. Analysts say the shift is clear. 'For years, gold has held the mantle of crisis hedge,' said Nigel Green, CEO of global financial advisory group deVere. 'But when tariffs raise the cost of a physical asset, Bitcoin's frictionless nature — immune to taxes, borders, and policy whims—becomes exponentially more compelling. Trump's gold tariffs didn't just shift investor behaviour, they turbocharged Bitcoin's evolution into digital gold.' Institutional flows tell the story. In July alone, $14.9 billion poured into Bitcoin exchange-traded funds (ETFs) globally, with a record $12.8 billion heading into US spot funds. The scale of this investment underscores a growing conviction that Bitcoin is not just a speculative trade, but a strategic portfolio allocation in an era of political and economic volatility. 'Institutional capital doesn't move lightly,' Green noted. 'When a macro shock changes the economics of traditional havens like gold, digital alternatives suddenly look like necessities. Bitcoin is benefitting from both clarity in US policy and a growing recognition among institutions that value can—and should—exist outside the constraints of legacy systems.' Trump's policies are also actively supporting this shift. A recent executive order now allows cryptocurrencies in 401(k) retirement plans — a potential gateway to as much as $9 trillion in retirement assets. While this development was not the sole catalyst for Monday's surge, market participants say it strengthens the narrative of Bitcoin as a legitimate, long-term store of value. Henrik Andersson, chief investment officer at Apollo Crypto, said the breakout was 'overdue' after a month-long consolidation between $115,000 and $120,000. 'We have seen positive ETF flows, more treasury companies buying Bitcoin, and a number of positive developments coming out of the White House,' he said. 'In our view, it was just a matter of time before it would break up.' Beyond executive action, recent bipartisan legislation — the Genius Act and the Clarity Act — has further reassured investors by cementing the regulated status of cryptocurrencies in the US. This policy stability, coupled with geopolitical tensions and gold market disruptions, is fuelling a broad-based rally across digital assets. According to CoinMarketCap, total cryptocurrency market capitalisation rose nearly 2 per cent in the past 24 hours to $4.02 trillion, with trading volumes climbing almost 6 per cent to $176.88 billion. Ethereum, Solana, Tron, Dogecoin, and Hyperliquid gained up to 6 per cent, while smaller tokens like Pump(dot)fun, Lido DAO, and Ethena rallied between 10 and 16 per cent. The price momentum is also attracting longer-term investors, with some rebalancing portfolios away from physical assets vulnerable to political interference. 'If gold—once untouchable—is now vulnerable to regulatory shifts, digital alternatives are not just attractive, they're increasingly inevitable,' said Green. 'Trump's tariffs have helped rewrite the hierarchy of store-of-value assets.' Market strategists warn that the coming weeks could be pivotal. Bitcoin's ability to decisively clear the $123,000 threshold may set the tone for its next growth phase. Crypto analyst Altcoin Sherpa outlined two likely short-term scenarios: a gradual pullback to form a stronger base, or a sharp liquidity test near $120,000 influenced by Treasury movements and broader economic indicators. All eyes are now on mid-August US inflation data, with consumer and producer price reports expected to shape the Federal Reserve's September rate decision. A rate cut—currently seen as increasingly likely—could further weaken the dollar and provide another tailwind for Bitcoin. For now, Bitcoin's rally is being framed as more than a speculative spike. It is, in the eyes of many market participants, a structural reallocation of capital in response to the changing economics of safety and trust in the financial system.
