As Africa continues to expand its trade finance landscape, it faces unique opportunities and challenges shaped by dynamic economic conditions and a burgeoning digital economy. The trade finance space in Africa is evolving rapidly, driven by the continent's strategic focus on boosting intra-African trade, enhancing liquidity, and reducing trade-related risks. In this exclusive interview, Denys Denya, Senior Executive Vice President – Finance, Administration and Banking Services, at Afreximbank, and Sriranga Sampathkumar, Vice President and General Manager – Middle East and Africa, Infosys Ltd. delve into the transformative journey of the African Export-Import Bank. They discuss emerging trends and opportunities in Africa's trade finance landscape, the bank's strategic next gen technology led initiatives, the crucial role of cloud, lessons learned from cloud-led transformation, and how AI developments align with the bank’s broader strategic goals.

Sriranga: Afreximbank is recognized as one of the foremost trade finance banks in Africa. Could you share more about your organization and how it has emerged as a leader in this space? Additionally, could you provide a brief overview of your role within the bank?

Denys: You are right, African Export-Import Bank (Afreximbank, “the Bank”) is a Pan-African multilateral financial institution mandated to financing and promoting intra- and extra-African trade. For over three decades, the Bank has been deploying innovative solutions to transform Africa's trade landscape. We have also transformed the structure and composition of African trade by accelerating industrialization and promoting intra-regional trade while driving economic growth.

Afreximbank’s leadership in Africa’s trade finance is rooted in its innovative approach, strategic partnerships, and deep understanding of the market. We continuously implement financial solutions to meet the continent's evolving trade finance needs, with a strong focus on enabling the African Continental Free Trade Area (AfCFTA).

AfCFTA is set to transform Africa’s economic landscape by creating a unified market. Under our strategic pillar, Leadership in Global Trade Banking in Africa, we are building an extensive network – reaching over 500 regulated banks across the continent. With this network, we provide correspondent banking lines, trade facilitation lines, and work with these banks as our trade finance intermediaries.

We also have various initiatives to support Africa's economic transformation, increasing the Bank’s systemic relevance to the African continent. From counter-cyclical interventions during economic shocks to our Africa Trade Gateway (ATG) - a digital ecosystem offering a Trade Information Portal, Digital Payment System, and Customer Due Diligence Platform - we ensure that our Member States have access to essential, cutting-edge tools and services required to transform Africa’s trade.

In my role as Senior Executive Vice President, I oversee the Bank’s day-to-day operations covering Finance and Treasury, Credit Risk Management, Banking operations and Trade services, including payments, client relations and research and international cooperation, ensuring that our strategic objectives are implemented efficiently and in an effective manner. I also oversee our technology division, which is instrumental in our digital transformation journey and in enhancing customer experience. By implementing various technological solutions, we are optimizing our processes, enhancing information security, and delivering innovative digital services to support our clients while contributing to Africa’s economic development.

Sriranga: Corporate banks are accelerating their digital transformation to meet the growing demands of their business customers. Could you share key trends, opportunities, and challenges shaping the trade finance business in Africa and where does Afreximbank stand in their digital transformation journey?

Denys: Intra-regional trade in Africa is relatively low at 15% compared to 59% in Europe, 51% in Asia, and 37% in North America. Despite various initiatives to facilitate a seamless flow of goods and services across Africa, the continent still faces several obstacles that hinder the growth of intra-African trade. These challenges include inadequate financing, lack of appropriate cross-border payment systems, poor market access for African producers, tariff and non-tariff barriers to trade, export supply constraints, limited economic diversification, high product concentration, poor infrastructure, unfair historical trading patterns, and conflicting regulatory issues.

Encouragingly, trade finance in Africa is evolving rapidly as financial institutions, and other intermediaries accelerate their digital transformation to meet the demands of businesses for efficiency, speed, and transparency.

At Afreximbank, we are committed to improving service delivery for our corporate, sovereign and sub-sovereign clients by deploying appropriate technologies  and leading Africa’s digital transformation in trade finance. Our Africa Trade Gateway (ATG) ecosystem is a testament to this commitment. We aim to build a fully integrated digital environment that not only meets the immediate needs of businesses but also anticipates future demands as African trade continues to grow and evolve.

Digital trade finance solutions hold a tremendous potential to unlock new market access for businesses of all sizes. The African Continental Free Trade Area (AfCFTA) is a powerful enabler and we are developing digital tools within the ATG to support its objectives, fostering a stronger intra-African trade environment and amplifying opportunities for local businesses to reach new markets.

However, this transformation comes with its own set of challenges, particularly around interoperability and regulatory harmonization. The diverse regulatory frameworks across African countries make establishing a seamless digital trade ecosystem complex. Afreximbank is working closely with African central banks, regulators, and organizations under the AfCFTA framework to address these challenges and establish more standardized digital systems across the continent.

Sriranga: Afreximbank is committed to the consistent expansion and diversification of African trade. Could you elaborate on the bank's digital strategy in achieving this vision? Additionally, what next-gen technologies is the Bank adopting to stay ahead in this ever-evolving landscape.

Denys: At Afreximbank, we recognize the transformative power of digital technologies in reshaping trade and the way we deliver on our mandate, driving us closer to our strategic objectives.

Our digital strategy is guided by clear objectives aimed at fostering a digitally-enabled trade environment across Africa. These objectives include promoting digital enablement of Africa’s trade and economic integration, developing innovative products, embracing digital business models, and enhancing revenue and profitability. We are also focusing on incubating and accelerating digital innovation and entrepreneurship, forming impactful partnerships and alliances to build a robust digital value network, and facilitating customer-centricity by delivering digitally-enabled customer experiences.

We are also leveraging next-gen technologies to address the unique needs of African trade. Here are a few examples:

• Africa Trade Gateway (ATG): One of our flagship initiatives, a digital ecosystem designed to simplify and enhance trade across the continent. ATG brings together solutions such as the Pan-African Payment and Settlement System (PAPSS) for streamlined cross-border payments, ATEX for B2B e-commerce, the MANSA platform for due diligence and compliance, and Trader Club (Trade Information and Regulatory platform). These platforms collectively improve market access, trust, and payment efficiency, supporting businesses in navigating the complexities of intra-African trade.
• Adoption of AI for Supply Chain Prediction and Analysis: We’ve integrated artificial intelligence within ATG to enhance supply chain predictions and analytics. AI helps us anticipate trade flows and identify trends that support proactive decision-making. This enables African businesses to better respond to market demands, adjust their strategies, and optimise operations across borders, strengthening their competitive advantage.
• AI-Driven Process Improvement: Beyond ATG, AI plays a critical role in our overall digital strategy by driving process improvement across banking operations. By implementing AI-driven solutions, we’re optimizing decision-making, automating routine tasks, and enhancing customer experiences. These efficiencies allow us to reduce costs, minimise transaction times, and improve service quality.
• Innovation Lab: It is a dedicated hub for exploring and implementing cutting-edge technologies tailored to address Africa’s unique challenges. Here, we incubate ideas, run accelerator programs, and launch initiatives that bring practical solutions to market. For example, our work includes developing and piloting new fintech solutions and fostering partnerships with local tech startups and Universities to co-create scalable solutions.
• CANEX (Creatives Nexus) Platform: In line with our vision to diversify African trade, we’re also prioritizing the cultural and creative sectors through the CANEX platform. The platform provides a marketplace for creatives (music, film, fashion, culinary etc), offering investor matchmaking and growth opportunities.
• Next-Gen Technologies: We are continuously exploring advanced technologies to enhance our digital capabilities. For instance, we’re assessing blockchain’s potential for trade finance (documentary trade process) and exploring machine learning models to strengthen risk management and predictive analytics. By adopting technologies that improve transparency, efficiency, and scalability, we ensure that our digital strategy remains agile and future focused.

Sriranga: How critical has a cloud-native, next-generation core been to your overall strategy? Why did you choose to adopt cloud for this journey? 

Denys: The cloud has been vital to our strategy to enhance resilience, especially after the Arab Spring 2011. The adoption of cloud-based infrastructure was driven by our determination to enhance operational agility, scalability, and resilience. With a cloud-first approach, we can respond to the demands of our stakeholders more rapidly, innovate faster, and deliver enhanced services with a strong emphasis on information security and efficiency.  

Our decision to move to the cloud was rooted in the desire to modernize and future-proof our operations. Cloud infrastructure provides unparalleled flexibility, allowing us to scale up or down depending on business needs and client demands. More importantly, it enabled us to implement real-time payments, embrace emerging technologies, and implement a disaster recovery framework that ensures uninterrupted service availability which is essential in today’s fast-paced financial ecosystem.  

Sriranga: What were your learnings after migrating to cloud? Could you highlight some measurable benefits the bank has experienced since transitioning to the cloud? Additionally, how has this move given you a competitive edge in the market? 

Denys: Our journey to the cloud was filled with significant learnings, each contributing to our growth as a modern multilateral development financial institution. A key takeaway has been the necessity of planning and change management. Migrating core banking services and other systems to the cloud required us to reassess legacy processes, embrace a culture of continuous improvement, and ensure that every stage of the transition aligned with our security and compliance needs. Engaging all relevant stakeholders, from IT specialists to business units, proved essential in ensuring a seamless migration with minimal disruption.  

In terms of measurable benefits, we have observed several impactful outcomes since our move to the cloud. First, our operational efficiency has significantly improved, with reduced downtime, shorter lead times for infrastructure provisioning, and faster transaction processing times. For example, we have achieved a notable reduction in transaction processing times, translating to better service for our clients. Second, our ability to innovate has accelerated; leveraging cloud-based platforms has allowed us to integrate new features and scale services quickly to meet evolving market demands. This agility has been critical in responding to the dynamic needs of trade finance.  

From a security perspective, we are witnessing improved resilience and leveraging robust disaster recovery capabilities, enhancing our ability to protect client data and ensure business continuity during disruptive events.  

With cloud, we have also gained a competitive edge, enabling us to offer real-time services and more customized client experiences. For example, in 2020 when COVID-19 struck the speed to market of new intervention was reduced to 3 months (from problem identification, solution design to obtaining all relevant approvals and disbursement) and even shorter during the Russia-Ukraine crisis. We can now scale up to accommodate peak demand and integrate next-generation technologies like AI and machine learning to optimize service delivery. This move has positioned us to lead in African trade finance by embracing cutting-edge solutions that enhance speed, reliability, and client satisfaction. 

Sriranga: Banks are increasingly exploring the potential of Gen-AI, while investments in predictive AI are accelerating. How is Afreximbank approaching these advancements, and how do AI technologies align with your broader strategic goals? 

Denys: The Bank is actively exploring and embracing advancements in Generative AI (Gen-AI) and predictive AI as part of its broader strategy to enhance operational efficiency, deliver superior client experiences, and drive innovation in trade finance. We see these technologies as powerful tools to create new opportunities and optimize existing processes across the bank.  

Our approach focuses on deploying AI-driven solutions in areas that directly impact our business goals. For example, we are leveraging AI models to assess trade finance risks more accurately and provide more precise and customized financial solutions to our clients. Also,  we are facilitating business matchmaking on platforms such as ATEX, Intra Africa Trade Fair, and TRADAR Club.

Generative AI offers new ways to improve client engagement and streamline documentation and compliance processes. We are currently exploring it to create more personalized communications, automate routine documentation, and enhance client interactions. 

AI technologies align perfectly with our mission to drive economic development and trade facilitation across Africa. They enable us to scale our offerings, understand client needs better, and make data-driven decisions. As we continue our digital transformation journey, AI will remain at the forefront of our innovation strategy, helping us stay agile and competitive and allowing us to meet the evolving demands of trade finance landscape.  

Rapid Fire with Denys Denya

Sriranga: What were the top two apprehensions your team had about moving to the cloud? 

Denys: The first key issue was security and data sovereignty. Another significant concern was the complexity of migrating our core banking and other critical systems to the cloud without disrupting day-to-day operations. 

Sriranga: What do you expect to be the most game-changing benefit of adopting cloud technology? 

Denys: The most game-changing benefit of adopting cloud is the ability to rapidly innovate and scale services to meet client needs in real-time.  Additionally, cloud technology brings unprecedented data insights through advanced analytics and machine learning, which empower us to better understand client behaviours, assess risks, and deliver more tailored, proactive solutions. 

Sriranga: What’s the biggest myth you’ve encountered about cloud technology? 

Denys: One of the biggest myths we have debunked about cloud is the perception that it compromises data security. Cloud providers invest heavily in security innovations, including advanced encryption, threat detection, and compliance certifications, that many organizations would find challenging to implement and maintain independently.  

Sriranga: Thank you, Denys for taking the time to share your invaluable insights, perspectives, and learnings in this interview. Your expertise on Africa’s evolving trade finance landscape, along with Afreximbank’s innovative journey leveraging cloud and AI, provides a compelling look into the opportunities and challenges shaping the future of trade finance across the continent.