Woodhall Capital, an innovative trade finance solution, advocated for pan-African collaboration to tackle the continent’s $81 billion trade finance gap.
The company organised a pivotal Regional Conference on Factoring, Receivables Finance, and Credit Insurance in Africa. This gathering brought together policymakers, financial institutions, and industry leaders to engage in meaningful discussions aimed at overcoming the systemic barriers that hinder SME growth and intra-African trade.
In light of Africa’s significant trade finance deficit, the conference emphasized the strategic role of factoring as a means to unlock vital working capital, promote legal reforms, and leverage digital innovations across the continent.
The discussions highlighted the immense potential of factoring in Africa, where SMEs account for up to 40 per cent of GDP but frequently encounter liquidity challenges stemming from payment delays and inconsistent regulations.
Key topics of conversation included the acceleration of Nigeria’s Draft Factoring Bill, the harmonisation of legal frameworks under the African Continental Free Trade Area (AfCFTA), and the expansion of digital solutions such as blockchain validation and real-time payment systems.
The conference set an ambitious goal: to increase Africa’s share of the global €2.7 trillion factoring market from a mere two percent to €100 billion by 2030.
Woodhall Capital showcased its innovative 24–48-hour invoice liquidity model, which significantly enhances SME access to working capital.
“Factoring is more than just a financial tool; it serves as a catalyst for inclusive growth. By aligning policy, technology, and cross-border collaboration, we aim to transform Africa’s trade finance ecosystem into a globally competitive force,” the company stated.
The firm said, “it focused on building strategic partnerships with organisations like Afreximbank, NEXIM Bank, and Elevate Africa to advance vital initiatives, including the PAPSS payment platform and the Afreximbank Model Law on Factoring.
“These collaborations are designed to reduce transaction costs, strengthen legal frameworks, and establish Africa as an epicenter for trade-driven innovation.
“The outcomes of the conference included actionable commitments, such as advocating for Nigeria’s Draft Factoring Bill, which has the potential to set a precedent for regional harmonization, and integrating platforms like MANSA for due diligence and PAPSS for cross-border settlements, which will help de-risk factoring as an asset class and attract global capital to African trade.”
Looking ahead, Woodhall Capital said it intends to maintain its momentum through the establishment of a regional task force and targeted initiatives like the Creative Bank—a $1 billion fund aimed at leveraging receivables finance for Africa’s creative industries by 2026.
The company viewed “the conference not as the final destination, but as a launchpad. By addressing legal gaps, enhancing digital infrastructure, and fostering pan-African collaboration, Woodhall Capital is empowering SMEs, investors, and nations to forge a self-sufficient, trade-led future.”
As a premier financial solutions provider, Woodhall Capital is dedicated to bridging Africa’s financing gaps through innovative trade finance and receivables monetisation models. With over $6 billion in structured deals and a commitment to legal and digital transformation, Woodhall is playing a pivotal role in reshaping Africa’s economic landscape.
