JEDDAH: The Islamic Development Bank (IDB) has adopted $11.5-billion “Medium Term Program” for new projects. This was announced here on Saturday by Ahmad Mohamed Ali, president of the IDB Group.
The program to run through 2010-12 was endorsed by the bank’s board of executive directors at its meeting held at IDB headquarters in Jeddah recently.
“Under this three-year program the bank will extend some $11.5 billion from its ordinary capital resources to finance development projects,” Mohamed Ali said.
The approval of this program is part of a 9-year transformation road map toward realizing Vision 1440H (2020), which was developed by a high commission composed of a number of dignitaries in the Islamic world. The commission, chaired by Mahathir Mohamed, the former prime minister of Malaysia, is aimed at transforming IDB into an international-scale development institution, he added.
The program will focus on human capital development programs, develop agriculture and education sectors and enhance infrastructure through a new strategy based on partnerships with member countries.
“IDB will continue to strengthen its role to further promote the development of Islamic financial sector through the development of Islamic capital markets and establishing institutions for supporting the poor,” Mohamed Ali said.
The board also approved the administrative budgets of the Islamic Research and Training Institute (IRTI) and trust funds for the year 1431H (2010).
Moreover, it approved $371 million for Turkmenistan to participate in establishing a railway project of 257 km. The project is part of a 936-km railway network connecting three member countries — Kazakhstan, Turkmenistan and Iran. The aim of the project is to enhance economic and trade cooperation between the three countries and the Central Asia region in general.