Russian President, Vladimir Putin, has stated that his country will provide favorable loans to African enterprises. This loan will be used to purchase industrial equipment from. He stated that his government was developing an African-specific leasing mechanism, and that the Russian Agency for Export Credit and Investment Insurance would offer insurance for the planned preferential loans.
The Russian president made the announcement while attending the Russia-Africa Summit and Russia-Africa Economic and Humanitarian Forum in St. Petersburg, Russia. The Russian government is also planning to establish a special investment fund to co-finance infrastructure projects in Africa.
Putin told African leaders during the meeting that Russia is “developing new tools for offering preferential loans to enable Africans to participate in the global economy.” Russia aspires to foster closer cooperation with African countries in information security, artificial intelligence, and the digital economy as a leader in the information and communications technology arena.
“We have positive experience in developing and deploying information technology solutions for administering taxes, registering property rights, and providing e-government services to individuals and entities, including the corporate sector,” Putin noted.
These loans are insured by the Russian Agency for Export Credit and Investment Insurance. We are developing an African-specific leasing mechanism and are preparing to launch a dedicated investment fund for co-financing infrastructure projects.”
Over 20 heads of state attended the summit which was it’s second edition, including Nigeria’s Vice President, Kashim Shettima, who is representing President Bola Tinubu, and South Africa’s President Cyril Ramaphosa.
Russia aspires to foster closer cooperation with African countries in information security, artificial intelligence, and the digital economy as a leader in the information and communications technology arena.
Putin is of the opinion that African countries should use national currencies, including the ruble, in business transactions to broaden the scope of their trade and economic links.
He stressed the willingness of Russia to assist African countries in developing financial infrastructure and connect their banking institutions to the Russian financial messaging system. This process could be used to conduct cross-border payments in the absence of constraints imposed by various Western systems.