The African Export-Import Bank (Afreximbank) has approved and activated a $28 million dual-tranche financing facility for Uganda-based engineering contractor DOTT Services Limited, with disbursements under way to support projects valued at more than $550 million across East and Central Africa.
The facility, provided under the bank’s EPC Contract Promotion Initiative, will help DOTT execute existing contracts and pursue near-term infrastructure opportunities in Uganda, Tanzania, Kenya and the Democratic Republic of Congo.
The financing is intended to address funding constraints that have limited the ability of African engineering, procurement and construction (EPC) contractors to compete for and deliver large infrastructure projects, according to Afreximbank.
“This facility reflects Afreximbank’s commitment to building strong African EPC champions capable of delivering the infrastructure that underpins Africa’s industrialisation, trade and economic integration. By supporting DOTT Services Ltd, a well-established regional contractor with operations across five African countries, we are addressing a critical financing gap that has historically constrained the ability of African firms to participate meaningfully in large-scale, cross-border infrastructure projects.
The financing will enhance DOTT’s capacity to execute strategic projects across the continent, facilitate intra-African trade in goods and services and strengthen regional value chains. It also advances Afreximbank’s EPC Contract Promotion Initiative, which seeks to increase African participation in the development and delivery of Africa’s infrastructure.
Through partnerships such as this, we are ensuring that greater value, expertise, employment opportunities and economic benefits are retained within Africa while fostering the emergence of globally competitive African contractors,” said Humphrey Nwugo, Afreximbank’s Director of Regional Operations for Eastern Africa.
Nwugo said local commercial banks often lacked the capacity to finance regional infrastructure projects because of the cross-border risks involved, while international lenders tended to favour non-African contractors. That has left African construction firms with limited access to financing for large contracts.
“Afreximbank’s EPC Initiative was therefore designed to address this challenge by supporting African EPC contractors in securing and executing a greater share of infrastructure contracts across the continent. Through the initiative, the Bank provides support, including financing, twinning and matchmaking, as well as issuing letters of support, among others”, he explained.
DOTT Services has operated in Africa for 28 years, with a presence in Uganda, Tanzania, South Sudan, Zambia and the Democratic Republic of Congo. The company also maintains offices in Italy and the United Kingdom and employs more than 6,000 people.
Its procurement and distribution activities include bitumen, asphalt, steel, spare parts and heavy equipment, linking its operations to regional trade in construction materials and services.
The transaction forms part of Afreximbank’s broader effort to increase the share of infrastructure contracts executed by African companies, allowing more project spending, employment and technical expertise to remain within the continent.
