Europe Debt Crisis Loosens Banks’ Grip on Ex-Africa Colonies
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The colonial ties that bound French and Portuguese banks such as BNP Paribas SA and Banco Espirito Santo SA to Africa are being loosened by the European debt crisis.
Lenders from Lisbon and Paris are retreating from funding projects in Africa as they ride out debt woes at home and prepare for more stringent global capital rules. Citigroup Inc., Standard Chartered Plc and Barclays Plc are filling the gap, while Johannesburg-based Standard Bank Group Ltd. and Nedbank Group Ltd. are boosting mining and oil loans to benefit from an investment surge in the world’s poorest continent.