The agreement makes it easier for both institutions to collaborate on private sector investments in the Middle East and North Africa and in emerging markets worldwide.
IFC mobilizes funding from other financiers to meet the needs of private sector clients in emerging markets.
The agreement standardizes steps that lenders take when joining IFC to co-finance projects, increasing efficiencies and cutting costs to borrowers and lenders throughout the life of a loan. Lenders who adopt the agreement benefit from IFC’s existing syndication platform, deal-structuring expertise, due diligence and global presence.
“IFC and ICD share a mission of supporting the private sector in emerging markets, and we look forward to enhancing our cooperation on projects in the Middle East and North Africa, and in other parts of the world,” said Jingdong Hua, IFC vice president and treasurer.
“ICD looks forward to cooperating with IFC especially in providing Shariah-compliant facilities to companies or projects in our common member countries,” said Ahmed Khizer Khan, ICD’s chief operating officer.
ICD is the 12th development finance institution to adopt the agreement. Other signatories are the Belgian Investment Company for Developing Countries, France’s Societe de Promotion et de Participation pour la Cooperation Economique; Germany’s Deutsche Investitions-und Entwicklungsgesellschaft; the Development Bank of Japan, the Netherlands’ Nederlandse Financierings-Maatschappij Voor Ontwikkelingslanden N.V.; the OPEC Fund for International Development; the Black Sea Trade and Development Bank; the Development Bank of Austria, Oesterreichische Entwicklungsbank; the Arab Petroleum Investments Corp; the Eurasian Development Bank; and the United States’ Overseas Private Investment Corporation.
