UBA UK, British International Investment Partner to Bridge Africa’s $80 Billion Trade Finance Gap
A strategic push to unlock Africa’s trade potential is gaining momentum as United Bank for Africa (UBA) UK Limited and British International Investment plc move to deepen collaboration on trade finance across the continent.
PulseNets learned that both institutions have signed a letter of intent to explore joint trade finance opportunities aimed at improving access to working capital and cross-border trade facilities for African businesses. The initiative is positioned to strengthen liquidity for enterprises operating within and beyond the continent, particularly those struggling to access competitive financing.
Access to trade finance continues to present a structural bottleneck for African economies. PulseNets reported that many businesses, especially small and medium-sized enterprises, face persistent barriers in securing letters of credit, guarantees, and supply chain finance under viable commercial terms. This limitation continues to weaken their participation in global trade. According to the African Development Bank, the continent’s trade finance gap exceeds $80 billion annually.
Under the proposed framework, UBA UK, the London-based arm of United Bank for Africa Plc, is expected to deploy its extensive footprint across 20 African countries to originate and structure trade transactions. PulseNets learnt that BII, leveraging its development finance mandate, will provide support for deals that may fall outside traditional commercial risk appetites, particularly in underserved and frontier markets.
Reacting to the development, Lok Mishra, Chief Executive Officer of UBA UK, emphasised the strategic importance of the partnership:
“The signing of this letter with BII represents a landmark moment for UBA UK and for the UBA Group’s global ambitions. As the Group’s hub for Trade Operations, UBA UK is uniquely positioned to connect African businesses with the international financial system. Working alongside BII, we can extend that capability further — mobilising capital where it matters most and helping to close the trade finance gap that holds back so much African potential.”
Chris Chijiutomi, Managing Director and Head of Africa at BII, also spoke to PulseNets on the broader development impact:
“British International Investment is committed to catalysing private sector growth across Africa, and trade finance is a critical enabler of that growth. We welcome the opportunity to collaborate with UBA Group, whose pan-African network and deep institutional relationships can help advance our ambition to expand access to trade and working capital finance, particularly in frontier markets.”
The collaboration aligns with growing momentum around the African Continental Free Trade Area, which came into force in 2021. PulseNets obtained that both institutions see AfCFTA as a critical enabler for scaling intra-African trade, with UBA UK’s presence in key member economies offering a strategic advantage for businesses navigating the evolving continental market.
The move also reinforces the United Kingdom’s expanding economic engagement with Africa, building on commitments from the UK-Africa Investment Summit. Market observers told PulseNets that the initiative further strengthens the City of London as a central hub for mobilising capital into Africa-focused investments.
However, PulseNets gathered that the partnership remains subject to further due diligence processes and internal approvals by both institutions before full implementation.
About UBA UK
UBA UK is the London-based subsidiary of United Bank for Africa Plc, a leading African financial institution with operations across 20 African countries as well as the United Kingdom, United States, France, and the United Arab Emirates. The institution serves as the Group’s central hub for trade operations, offering trade finance, treasury services, and correspondent banking solutions to global clients.
About United Bank for Africa Group
United Bank for Africa is one of Africa’s largest financial services employers, with over 25,000 staff and more than 45 million customers worldwide. The bank operates across Africa and key international markets, delivering retail, commercial, and institutional banking services while advancing financial inclusion and digital banking innovation.
About British International Investment
British International Investment is the UK’s development finance institution and impact investor, focused on driving sustainable economic growth in developing markets. The organisation invests in businesses that address poverty and climate challenges while promoting long-term economic independence.
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PulseNets reported that between 2022 and 2026, at least 30 percent of BII’s new investments will target climate finance. The institution is also a founding member of the 2X Challenge, a global initiative that has mobilised over $33.6 billion to advance women’s economic empowerment. BII currently holds investments in more than 1,600 businesses across 66 countries, with total net assets valued at £9.87 billion.
