Dr Vera Songwe appointed Chairwoman of the Board of the Liquidity & Sustainability Facility (“LSF”)

Dr Vera Songwe is appointed Chairwoman of the Board of Directors of the Liquidity & Sustainability Facility (LSF). Her Excellency Ellen Johnson Sirleaf has also accepted to lead the Board in an honorary capacity. The Board of Directors includes Dr. Benedict Okey Oramah, President and Chairman of the Board of Directors of African Export–Import Bank, and David Escoffier, who also serves as CEO of the LSF Secretariat. These nominations reflect the LSF’s commitment to operate under high standards of governance and the supervision of a high-quality Board.

“It aims to offer the same financial infrastructure the rest of the world has access to and to level the playing field for African sovereign borrowers. It creates a more sustainable investment environment for Africa.”

The LSF was established in November 2021 at the COP26 in Glasgow with the dual objective of supporting the liquidity of African Sovereigns Eurobonds and incentivizing SDG-related investments such as SDG and green bonds on the African continent. Its aim is to improve African Sovereign debt sustainability and, through its participation with African governments and private investors, contribute to the enhancement of liquidity in the market on par with international standards. An improvement in the terms of new issuances of SDG- or climate-linked bonds for African nations could see a dramatic increase in the volume of green and blue bond financing, and at affordable and sustainable rates.

Also Read: Goose Digital Reaches Gold Tier Status As A HubSpot Solutions Partner

The Board of Directors is responsible for the adherence of the LSF to its public good mission and to standards of transparency and accountability. The Board of Directors will appoint further Board members who will represent the interests of the LSF stakeholders and a Head of Credit Risk.

The Board of Directors seeks LSF engagement with key relationships, partners and stakeholders, as well as relevant policy and decision-makers from the major economies and international development finance institutions.

The Board of Directors is supported by a Secretariat that assists the LSF with strategic planning, corporate governance and communications among other responsibilities.

“The LSF marks the recognition of the maturity of the African Sovereign bond market,” said Vera Songwe. “It aims to offer the same financial infrastructure the rest of the world has access to and to level the playing field for African sovereign borrowers. It creates a more sustainable investment environment for Africa.”

“Afreximbank is proud to support the LSF” said Dr. Benedict Okey Oramah. “It seeks to address the perceived riskiness of African sovereign debt by targeting the liquidity of existing African sovereign Eurobonds and making new ones more attractive for investors.”