China Development Bank, a policy financial institution, signed a special loan agreement worth $400 million with African Export-Import Bank for supporting small and midsized enterprises in the continent on Monday.

The agreement will help ease financing difficulties facing African SMEs and grant access to more adequate financial services with cheaper costs and longer loan maturities, as part of broader efforts to promote China-Africa economic, trade and financial cooperation, CDB said.

Since 2009, CDB has cooperated with African Export-Import Bank seven times in credit issuance, resulting in loans totaling $800 million.