ABIDJAN: The Islamic Corporation for the Development of the Private Sector (ICD), the private sector arm of the Islamic Development Bank Group (IDB) and the Regional Council for Public Savings and Financial Markets (CREPMF), Regional Financial Market Regulatory Body of the West African Economic and Monetary Union (WAEMU) zone, sign a partnership and cooperation agreement to promote Islamic finance in the WAEMU sub-region.

The goal is to help mobilize long-term resources of the Union Member states and private sector companies, especially Small and Medium Enterprises (SMEs).

The agreement covers the cooperation, the exchange of information, the development of the regulatory framework in order to create an enabling environment for Islamic finance, and the sharing of experiences and expertise of both institutions in the agreed areas.

Upon signing the agreement, Khaled Al Aboodi, CEO of the ICD, explained that it will strengthen and deepen the relationship of ICD with the regional economies of the WAEMU and help increase the exchange of expertise, knowledge and resources between the financial markets of the emerging countries.

Mory Soumahoro, secretary general of CREPMF, said: “The development of the current regulatory framework for WAEMU’s financial market is significant.”

The secretary general said: “This is to ensure the mobilization of resources from the economic actors working in the sub-region through the usage of Islamic finance instruments.”

He saidL “The 2014-2021 Strategic Plan for the WAEMU regional financial market has identified the development of Islamic finance as a complementary tool to enhance the financial center of WAEMU.”

The official added: “After signing this agreement, extensive funding opportunities will be opened to the operators of WAEMU’s financial market. In addition, Islamic finance instruments are effective and permit the diversification of the risk in the financial markets and the investors’ databases.”