Islamic bank gives OIC over USD 27 billion

(with photos) GENEVA, Nov 24 (KUNA) -- Chief Executive Officer (CEO) of the International Islamic Trade Finance Corporation (ITFC) Dr. Waleed Al-Wohaib said the Islamic Development Bank (IDB) extended to members of the Organization of the Islamic Conference (OIC) over USD 27 billion for direct funding for trade finance since the establishment of the OIC 30 years ago.
In an exclusive with the Kuwait News Agency (KUNA), Dr. Al-Wohaib said that the IDB had extended appropriate financing to economic operators in member countries and also provided institutional support for capacity building, trade matching and other related activities. He added that the total IDB trade financing for 2006-2007 amounted to USD 2.
8 billion representing a growth of 56 percent, over 1.8 billion recorded in the previous year. Dr. Al-Wohaib announced that a coordinating meeting would be held in 2008 to discuss with other financial institutions and member states ways and means of how to boost the two-way trade from and to the members of the OIC.
He explained that the OIC states represent 20 percent of the world population; however they are engaged in 8 percent of world trade only.
Dr. Al-Wohaib said that the agreement to establish the ITFC was signed in Kuwait in May 2006 and the operations of the ITFC started 6 months back. He added that as of January the ITFC would fundtion as an independent entity with a USD 3 billion capital, USD 500 million shares were bought at the initial launching followed by another USD 250 million fulfilling the wishes of Muslim countries to enable the newly born financial institution to achieve its goals in developing cross-border trade. The OIC member states had agreed in the Mecca Declaration in 2005 that cross-border trade between member states would increase from 13 percent at that time to 20 percent in 2015. He praised the World Trade Organization (WTO) meeting on Aid for Trade and noted that he also represented the IDB president at the meeting. Dr. Al-Wohaib stressed that the IDB was a pioneering bank in financing trade, pointing to its expertise and its extensive role in the Islamic world. The ITFC CEO met with the WTO Director-General Pascal Lamy, and spent a whole day with officials at the International Trade Center (ITC) established by the WTO and the United Nations Conference for Trade and Development (UNCTAD) to assist developing countries and the least developed countries in boosting their trade options with the world. Dr. Al-Wohaib announced that the ITFC would sign a memorandum of understanding with the ITC next year to support the work of the ITFC and mobilize international expertise to assists OIC member states to develop their trade with the world. The ITFC CEO participated in the two-day WTO meeting on November 20-21. Dr. Al-Wohaib took his new responsibilities after being nominated by the State of Kuwait. (end) hn.mt KUNA 241552 Nov 07NNNN