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Lines of Credit

One of the Bank’s important objectives is to encourage development of small and medium-size enterprises (SMEs) on the continent, as is the development of private financial institutions (PFIs). To this end the Bank offers lines of credit to PFIs for on-lending to SMEs.  The terms of the lines of credit specify the conditions under which Bank funds will be provided to the PFI for on-lending. The credit risks of the sub-loans are borne by the PFIs.