About ICIEC in General - ICIEC - The Islamic Corporation for the Insurance of Investment and Export Credit

ICIEC is a member of the Islamic Development Bank (IsDB) Group, a AAA rated multilateral development financing institution that is collectively owned by 57 member countries of the Organization of Islamic Cooperation (OIC). The IsDB is listed as 0% risk weighted MDB by the Bank for International Settlement (BIS). Like all other multilateral development banks, the IsDB Group has a preferred creditor status enshrined in its articles of agreement which have been ratified by the parliaments of all its member countries. Chapter 7 of the Articles, which is entitled “Immunities, Exemptions and Privileges” clearly states (see Article 52) that the Corporation will be accorded all the corresponding immunities, exemptions and privileges provided for in Articles 53, 45, 55, 56, 57, 58, and 59 of the Articles of Agreement establishing the Bank.

ICIEC has currently 48 member countries of the 57 OIC member states. Membership in the OIC and the IsDB is necessary but not sufficient for a country to join the Corporation. In other words, a country that is already a member of the IsDB is eligible for membership in ICIEC. However, it needs to go through a separate process consisting of ratification of the Corporation’s Articles of Agreement and subscription to the share capital of the Corporation. The current list is growing and aims at having all the 57 OIC member countries as members of ICIEC. The full list of current Member Countries.

IsDB owns 52% of ICIEC and the remaining 48% is divided among the 48 member countries. As a member of the IsDB (AAA rated) Group, ICIEC benefits from various managerial synergies and support from its parent. ICIEC collaborates with its parent and other sister entities to achieve groupwide strategic framework, the overall development goals and H.E the President’s P5P programs. In addition, ICIEC enjoys a close working relationship with similar multilateral development institutions, particularly the Multilateral Investment Guarantee Agency (MIGA) of the World Bank, the Asian Development Bank’s Guarantees Program, The Arab Corporation for Investment Guarantee and Export Credit (Dhaman) and others. Furthermore, ICIEC works closely with a number of national ECAs, both in its member countries and in the developed countries. For instance, the Corporation has an active reinsurance treaty with Turk Eximbank, COTUNACE of Tunisia, CAGEX of Algeria, Sheikan of Sudan, and ECIE of the UAE and others among national ECAs of member countries. It also has MoUs and close working relationship with NEXI of Japan and Sinosure of China. Finally, ICIEC is a full member of the Berne Union, the International Association of Credit and Investment Insurance, and the Prague Club. It is also the founding member of the Aman Union, which brings together the national export credit agencies (ECAs) of the OIC member countries.

By supporting trade and foreign direct investment, ICIEC contributes to the economic development of its member countries. More specifically, ICIEC does not support any transaction or project where there is no clear developmental impact on the economy of the host country. For a project to qualify for the support of ICIEC, it has to lead to the creation of jobs for the local population, facilitate technology transfer, enhance the skills and technical capacity of local employees, replace imports (thereby improving the balance of payment of the host country) or provide business opportunities to local companies.

ICIEC is credit and political risk insurance arm of the IsDB, one of the top rated MDBs has zero risk weight on its obligation recounted by the Bank for International Settlement (BIS). ICIEC as multilateral/supranational institution follows rigorous and Corporation-wide risk management practices that helps to enable in scaling up its growth trajectory, to deliver development mandate while maintaining financial resiliency and long-term sustainability.

ICIEC is rated ‘Aa3’ with “Stable” outlook from Moody’s which is among the highest ratings assigned to major insurers of Credit and Political Risk Insurance globally. The Corporation has been maintaining this rating since 2008. This Insurance financial strength rating (IFSR)-Aa3 reflects its stand-alone fundamentals as well as the support from its shareholders. The stand-alone credit quality of ICIEC is supported by its role as the leading multilateral export credit and investment insurance corporation in the world that provides Shariah compliant insurance and reinsurance products, as well as its enhanced regional knowledge based on its experience by operating in the OIC member countries.

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