JEDDAH, 20 February 2007 — The International Islamic Trade Finance Corporation (ITFC) will hold a general assembly meeting here on Saturday (February 24), Islamic Development Bank (IDB) President Dr. Ahmed Mohammed Ali said on Sunday.
The economy and finance ministers of IDB’s 56-member countries, as well as heads of financial institutions, will attend the occasion, in which ITFC will be also officially launched.
To be headquartered in Jeddah, ITFC has an initial capital of $300 million, as previously announced by IDB’s Board of Governors at its 31st annual meeting held in Kuwait last May.
An independent organization, ITFC will monitor market trends and work to attain IDB’s objectives through the launching of specialized funds. Its primary objective will be to increase the intra-trade volume among member countries of the Organization of Islamic Conference (OIC) and to develop and finance trading in accordance with the principle and provisions of Islamic law in efforts to complement IDB activities. ITFC will also be tasked to develop and finance inter-regional trade, streamline the development effect of trade financing operations and improve the export capabilities of member countries.
“The inception of the International Islamic Trade Finance Corporation complements an initiative announced by Custodian of the Two Holy Mosques King Abdullah Bin Abdul Aziz at the Islamic Summit held in Malaysia in October of 2003,” said Ali.
“It is also in line with the suggestion of the UAE during the 29th annual meeting of the Board of Governors of Islamic Development Bank held in Tehran in September of 2004. The initiative will work to alleviate economic burdens and combat poverty in the least developed member countries. ITFC will provide more resources to the Islamic Development Bank to finance export and investments securing necessary guarantees that will facilitate greater trade exchange regionally,” he added.
