JEDDAH, 2 May 2008 — The high-level World Bank delegation and Islamic Development Bank (IDB) reviewed yesterday bilateral cooperation between the two institutions and discussed recent developments, including the food security crises, aid to Africa, water and climate change.
President of the IDB Dr. Ahmed Mohamed Ali and World Bank President Robert Zoellick, who is visiting the Kingdom, also discussed the Arab World Initiative, a new strategy for World Bank engagement in the Arab region.
Mohamed Ali commended this new initiative, saying it “would provide further partnership opportunities and create greater synergies between our two institutions.”
He also thanked Zoellick for the World Bank’s support for the establishment of the Arab Water Academy, which will be hosted by the IDB’s Dubai-based International Center for Biosaline Agriculture (ICBA), in partnership with the Abu Dhabi Environment Agency and under the umbrella of the Arab Water Council.
Zoellick saluted the IDB for its growing interest and contribution to the development process of its 56 member countries. He also praised the IDB’s leadership role in Islamic finance, and its various programs and initiatives, particularly its Africa program which aims to provide $12 billion of aid over five years.
Zoellick and Mohamed Ali agreed to further enhance their cooperation in agricultural development, water, Islamic finance, microfinance, education and knowledge sharing.
Zoellick, who met Custodian of the Two Holy Mosques King Abdullah in Riyadh on Wednesday, said King Abdullah emphasized the need to work together on humanitarian projects and to expand global food production. Zoellick added that the Islamic Development Bank has been innovative in coming up with Shariah-compliant financing methods.
“From the presentation, we learnt its interest in dealing with everything from microfinance to equity investment. This innovation is very timely because many countries in the Gulf are expanding their financial sectors quite quickly,” said Zoellick.
Mohamed Ali said, “Zoellick’s visit aims to give a new impetus to the on-going bilateral cooperation and forge a new strategic partnership between the two institutions.”
When asked about the World Bank report predicting a major water crisis in the Gulf region, Zoellick said this is an issue raised by more or less every government in this region. “One of the items I have discussed with the Saudi government and the IDB is how to work together to tackle this crisis,” Zoellick said.
The World Bank’s high level delegation, led by Zoellick, was — along with a number of senior officials — accompanied by World Bank Executive Director for Saudi Arabia Dr. Abdulrahman M. Almofadhi, Senior Vice President for External Affairs Marwan Muasher, and Vice President for the Middle East and North Africa Daniela Gressani.
Together, the IDB and the World Bank have already co-financed over 60 projects in 26 countries in Africa, Asia and the Middle East for a total value of $3.2 billion. Recent joint activities included a power project in Yemen, an education project in Iraq and, more recently, Jordan’s Queen Alia Airport expansion project.