Moody's Investor Services (Moody’s) affirmed ICIEC’s Aa3 Insurance Financial Strength Rating (IFSR) with a stable outlook for the 15th consecutive year. The affirmation of the rating reflects the strong fundamentals- ICIEC’s financial position, risk governance and continued support from its parent - the Islamic Development Bank (IsDB) and multiple sovereign members of the Organization of the Islamic Cooperation (OIC).
Moody’s highlighted the continuation of strengthening of the standalone credit quality of ICIEC over the recent past years with improved profitability, strong core market positions, diversified operation, very liquid invested portfolio and adequate capital level.
Despite the challenges from the global pandemic, ICIEC’s profitability remained resilient in 2021, with a combined ratio of 43.7% and net income of Islamic Dinar 6.5 million in 2021, benefitting from enhanced business-coverage, reduced risk and business/client concentrations, as well as from efficiency gains.
Moody’s has assigned, for the first time, ICIEC’s ESG Credit Impact Score as neutral-to-low (CIS-2) reflecting a limited impact from environmental and social factors on the rating. The Corporation's strong governance and predominant focus on trade credit insurance with its diversified portfolio help mitigate its exposure to environmental risks.
H.E. Oussama KAISSI, the CEO of ICIEC, congratulated all Member Countries, Honorable ICIEC Board Members and Staff for this consistent success. He reiterated Management’s commitment to upholding strategic priorities to support Member Countries focusing on food security, green financing, ESG involvement, and other measures to aid in the development of Islamic finance in line with IsDB Group initiatives.
While thanking all, the CEO reaffirmed that the Corporation would withstand firmly the increasingly volatile global geopolitical landscape and maintain financial sustainability and solvency.
Moody’s Affirms ICIEC Aa3 Insurance Financial Strength Rating (IFSR) with Stable Outlook for the 15th Consecutive Year
December 18, 2022
Moody’s Investor Services (Moody’s) affirmed ICIEC’s Aa3 Insurance Financial Strength Rating (IFSR) with a stable outlook for the 15th consecutive year. The affirmation of the rating reflects the strong fundamentals- ICIEC’s financial position, risk governance and continued support from its parent – the Islamic Development Bank (IsDB) and multiple sovereign members of the Organization of the Islamic Cooperation (OIC).
Moody’s highlighted the continuation of strengthening of the standalone credit quality of ICIEC over the recent past years with improved profitability, strong core market positions, diversified operation, very liquid invested portfolio and adequate capital level.
Despite the challenges from the global pandemic, ICIEC’s profitability remained resilient in 2021, with a combined ratio of 43.7% and net income of Islamic Dinar 6.5 million in 2021, benefitting from enhanced business-coverage, reduced risk and business/client concentrations, as well as from efficiency gains.
Moody’s has assigned, for the first time, ICIEC’s ESG Credit Impact Score as neutral-to-low (CIS-2) reflecting a limited impact from environmental and social factors on the rating. The Corporation’s strong governance and predominant focus on trade credit insurance with its diversified portfolio help mitigate its exposure to environmental risks.
H.E. Oussama KAISSI, the CEO of ICIEC, congratulated all Member Countries, Honorable ICIEC Board Members and Staff for this consistent success. He reiterated Management’s commitment to upholding strategic priorities to support Member Countries focusing on food security, green financing, ESG involvement, and other measures to aid in the development of Islamic finance in line with IsDB Group initiatives.
While thanking all, the CEO reaffirmed that the Corporation would withstand firmly the increasingly volatile global geopolitical landscape and maintain financial sustainability and solvency.
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The COP27 proceedings on addressing the issues of Climate Action, Mitigation, Adaptation and Finance concluded in Sharm El Sheikh on 18 November 2022. It is too early to gauge the impact of the commitments pledged, such as the Loss and Damage Fund for climate vulnerable states, or the perceived inaction or delays towards achieving the Net Zero targets set in the 2015 Paris Agreement and the broader UN SDG Agenda.
The Islamic Corporation for the Insurance of Investment and Export Credit (ICIEC), notwithstanding, had a successful and engaging COP27 co-organizing three timely side events, three fireside chats, and signed an MoU with the Africa Finance Corporation (AFC) to jointly deliver mark-to-market Climate Action projects using ICIEC’s de-risking solutions in the African Member States common to both.
Mr. Oussama Kaissi, CEO of ICIEC, participated in a Panel Discussion on food security and climate change which focussed on the IsDB Group’s US$10.54bn Food Security Response Program (FSRP). ICIEC, stressed Mr. Kaissi, recognizes that climate risk financing and food security challenges for Member States are enormous. The Corporation’s support for the FSRP is underpinned by its initial contribution of US$500m in PRI and credit insurance coverage, of which US$150m has been disbursed to date, covering several transactions.
ICIEC and the IsDB Group play their respective roles in several food security projects in the Member States. As the multilateral insurer of the Group, ICIEC’s suite of credit and political risk insurance tools complement local value chains and support the importation of capital goods, Agri-inputs and help strengthen local capital and expertise. Partnerships with stakeholders in financing agricultural projects are vital. Mr. Kaissi is confident that the FSRP will gain precedence over the medium-to-long-term.
In the second side event co-organized with InsuResilience on ‘The role of partnerships in accelerating climate finance, de-risking, and climate action,’ Mr. Kaissi called on all stakeholders to redouble their efforts to contribute towards the enormous and growing challenges of Climate Action, Mitigation, Adaptation, Finance, De-risking, Delivery, and Impact. ICIEC’s recent membership accession to InsuResilience as such reinforces its commitment to developing innovative financial solutions towards climate action and capacity building in cooperation with Platform partners in Member States such as The Gambia and through other initiatives, including the Global Shield mechanism.
The panel discussion participants included H.E. Rohey John Manjang, Minister of Environment, Climate Change and Natural Resources of The Gambia, Mr. Jochen Flasbarth, State Secretary in the Federal Ministry for Economic Development and Cooperation, Germany, and H.E. Kenneth Ofori-Atta, Finance Minister of Ghana.
The third side event, co-organized with the Commercial International Bank of Egypt (CIB), focused on the bankability of adaptation food security projects in Africa and the role of political and credit insurance in bridging the financing gap, and how Egypt’s National Water, Food and Energy (NWFE) programme is contributing to this process. Mr. Kaissi noted that developing countries often have problems attracting requisite levels of inward private FDI flows, partly because projects are not bankable. Projects involving Climate Adaptation in food, water, and energy security present significant challenges for private investors because of various risks.
Private sector engagement in climate finance goes in tandem with credit enhancement. ICIEC, in this respect, is uniquely positioned to deliver through its sustainability policies and access to its member state’s national and subnational bodies, which engage with relevant climate action projects and transactions. There is also room for alternative financing and risk mitigation solutions such as Green Sukuk, given the estimated global climate project financing shortfall of US$1.15 trillion. The NWFE, he noted, could be a blueprint for projects in Africa.
The final side event was on Climate Finance in Africa, focusing on the challenges in financing renewable projects and the role of credit and political de-risking. Representatives from MUFG, BADEA, KfW, and AFC Capital discussed various aspects of Africa’s climate adaptation finance challenges.
The three fireside chats and talks featured lively discussions on the crucial role of renewable energy, the challenges in the transition to clean energy, The Middle East Green Initiative, and the role of technology and finance. The fireside chats were with Mr. Paddy Padmanathan, Vice Chairman & CEO of ACWA Power, KSA, Lord Adair Turner, Chair of the Energy Transitions Commission and Chairman of Chubb Europe, UK, and H.H. Noura Turki Al Saud and H.H. Mashal Alshalan, Founding Partners of AEON Strategy in Saudi Arabia.
ICIEC to Follow Up on its Successful COP27 Engagement Comprising Three Timely Side Events, Three Fireside Chats and MoU in Enhancing its Climate Action, and Project Bankability Agenda
December 13, 2022
The COP27 proceedings on addressing the issues of Climate Action, Mitigation, Adaptation and Finance concluded in Sharm El Sheikh on 18 November 2022. It is too early to gauge the impact of the commitments pledged, such as the Loss and Damage Fund for climate vulnerable states, or the perceived inaction or delays towards achieving the Net Zero targets set in the 2015 Paris Agreement and the broader UN SDG Agenda.
The Islamic Corporation for the Insurance of Investment and Export Credit (ICIEC), notwithstanding, had a successful and engaging COP27 co-organizing three timely side events, three fireside chats, and signed an MoU with the Africa Finance Corporation (AFC) to jointly deliver mark-to-market Climate Action projects using ICIEC’s de-risking solutions in the African Member States common to both.
Mr. Oussama Kaissi, CEO of ICIEC, participated in a Panel Discussion on food security and climate change which focussed on the IsDB Group’s US$10.54bn Food Security Response Program (FSRP). ICIEC, stressed Mr. Kaissi, recognizes that climate risk financing and food security challenges for Member States are enormous. The Corporation’s support for the FSRP is underpinned by its initial contribution of US$500m in PRI and credit insurance coverage, of which US$150m has been disbursed to date, covering several transactions.
ICIEC and the IsDB Group play their respective roles in several food security projects in the Member States. As the multilateral insurer of the Group, ICIEC’s suite of credit and political risk insurance tools complement local value chains and support the importation of capital goods, Agri-inputs and help strengthen local capital and expertise. Partnerships with stakeholders in financing agricultural projects are vital. Mr. Kaissi is confident that the FSRP will gain precedence over the medium-to-long-term.
In the second side event co-organized with InsuResilience on ‘The role of partnerships in accelerating climate finance, de-risking, and climate action,’ Mr. Kaissi called on all stakeholders to redouble their efforts to contribute towards the enormous and growing challenges of Climate Action, Mitigation, Adaptation, Finance, De-risking, Delivery, and Impact. ICIEC’s recent membership accession to InsuResilience as such reinforces its commitment to developing innovative financial solutions towards climate action and capacity building in cooperation with Platform partners in Member States such as The Gambia and through other initiatives, including the Global Shield mechanism.
The panel discussion participants included H.E. Rohey John Manjang, Minister of Environment, Climate Change and Natural Resources of The Gambia, Mr. Jochen Flasbarth, State Secretary in the Federal Ministry for Economic Development and Cooperation, Germany, and H.E. Kenneth Ofori-Atta, Finance Minister of Ghana.
The third side event, co-organized with the Commercial International Bank of Egypt (CIB), focused on the bankability of adaptation food security projects in Africa and the role of political and credit insurance in bridging the financing gap, and how Egypt’s National Water, Food and Energy (NWFE) programme is contributing to this process. Mr. Kaissi noted that developing countries often have problems attracting requisite levels of inward private FDI flows, partly because projects are not bankable. Projects involving Climate Adaptation in food, water, and energy security present significant challenges for private investors because of various risks.
Private sector engagement in climate finance goes in tandem with credit enhancement. ICIEC, in this respect, is uniquely positioned to deliver through its sustainability policies and access to its member state’s national and subnational bodies, which engage with relevant climate action projects and transactions. There is also room for alternative financing and risk mitigation solutions such as Green Sukuk, given the estimated global climate project financing shortfall of US$1.15 trillion. The NWFE, he noted, could be a blueprint for projects in Africa.
The final side event was on Climate Finance in Africa, focusing on the challenges in financing renewable projects and the role of credit and political de-risking. Representatives from MUFG, BADEA, KfW, and AFC Capital discussed various aspects of Africa’s climate adaptation finance challenges.
The three fireside chats and talks featured lively discussions on the crucial role of renewable energy, the challenges in the transition to clean energy, The Middle East Green Initiative, and the role of technology and finance. The fireside chats were with Mr. Paddy Padmanathan, Vice Chairman & CEO of ACWA Power, KSA, Lord Adair Turner, Chair of the Energy Transitions Commission and Chairman of Chubb Europe, UK, and H.H. Noura Turki Al Saud and H.H. Mashal Alshalan, Founding Partners of AEON Strategy in Saudi Arabia.
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The Islamic Corporation for the Insurance of Investment and Export Credit (ICIEC), the insurance arm of the Islamic Development Bank (IsDB) Group, today signed an important Memorandum of Understanding (MoU) with the Africa Finance Corporation (AFC) whereby the two parties agree to co-operate “in promoting joint action in the origination, financing and execution of Climate Action projects through ICIEC’s credit and investment insurance support in African Member States common to both.”
The MoU was signed by Mr. Oussama Kaissi, Chief Executive Officer of ICIEC, and Mallam Samaila D. Zubairu, the President and Chief Executive Officer of the AFC, in Sharm El Sheikh during the occasion of the COP27 gathering. ICIEC, of course, is a signatory to the Principles for Responsible Insurance and the only Shariah-compliant multilateral insurer in the world. The AFC is the leading multilateral infrastructure development finance institution in Africa.
Sustainable investment, climate action, adaptation and finance, and Green Finance are firmly embedded in the due diligence process of both institutions through linking all new business and other queries with SDG and climate action indicators. ICIEC and peer multilaterals have an important role in contributing to the international climate finance ecosystem. It is committed to further boosting its green and sustainable finance operations.
Promoting climate action through capacity development, resilient financing, and policy support in climate adaptation infrastructure and through the provision of risk mitigation and credit enhancement covers the mandates of both ICIEC and AFC. Another mandate of ICIEC is to promote trade and FDI flows, in this case to its 23 African Member States, in partnership with peer and specialised institutions.
The MoU recognizes that co-operation between AFC and ICIEC would bring about better co-ordination and more efficient implementation of their respective activities to the benefit of Climate Action projects, including renewable energy production in ICIEC member states, including in Africa region.
In this respect, the two institutions under the 3-year MoU will exchange information on their respective renewable energy project pipelines on a regular basis, with a view to explore origination, financing, insuring and delivery of such projects focusing especially on the renewable energy sector. The AFC has a proactive relationship with the IsDB Group and has even raised infrastructure funding through the issuance of a Sukuk.
Mr Oussama Kaissi, Chief Executive Officer of ICIEC, strongly welcomed the signing of the MoU with AFC: “This MoU further enhances ICIEC’s evolving playbook on Climate action and risk mitigation whether it relates to financing, underwriting, credit enhancement, and risk management. It is also yet another example of South-South Cooperation and the recognition that Africa has to come up with African financing solutions to finance African needs. Islamic project finance and investment, and de-risking solutions, are ideal for long-term infrastructure projects given their connectivity to financing the real economy especially through risk-sharing Private Public Partnerships. We look forward to building on this important relationship with AFC in this key area of Climate Action infrastructure.”
ICIEC Signs Landmark Cooperation MoU with AFC to Promote the Origination, Financing and Execution of Climate Action Projects in African Member States Utilizing ICIEC’s De-risking Solutions
November 9, 2022
The Islamic Corporation for the Insurance of Investment and Export Credit (ICIEC), the insurance arm of the Islamic Development Bank (IsDB) Group, today signed an important Memorandum of Understanding (MoU) with the Africa Finance Corporation (AFC) whereby the two parties agree to co-operate “in promoting joint action in the origination, financing and execution of Climate Action projects through ICIEC’s credit and investment insurance support in African Member States common to both.”
The MoU was signed by Mr. Oussama Kaissi, Chief Executive Officer of ICIEC, and Mallam Samaila D. Zubairu, the President and Chief Executive Officer of the AFC, in Sharm El Sheikh during the occasion of the COP27 gathering. ICIEC, of course, is a signatory to the Principles for Responsible Insurance and the only Shariah-compliant multilateral insurer in the world. The AFC is the leading multilateral infrastructure development finance institution in Africa.
Sustainable investment, climate action, adaptation and finance, and Green Finance are firmly embedded in the due diligence process of both institutions through linking all new business and other queries with SDG and climate action indicators. ICIEC and peer multilaterals have an important role in contributing to the international climate finance ecosystem. It is committed to further boosting its green and sustainable finance operations.
Promoting climate action through capacity development, resilient financing, and policy support in climate adaptation infrastructure and through the provision of risk mitigation and credit enhancement covers the mandates of both ICIEC and AFC. Another mandate of ICIEC is to promote trade and FDI flows, in this case to its 23 African Member States, in partnership with peer and specialised institutions.
The MoU recognizes that co-operation between AFC and ICIEC would bring about better co-ordination and more efficient implementation of their respective activities to the benefit of Climate Action projects, including renewable energy production in ICIEC member states, including in Africa region.
In this respect, the two institutions under the 3-year MoU will exchange information on their respective renewable energy project pipelines on a regular basis, with a view to explore origination, financing, insuring and delivery of such projects focusing especially on the renewable energy sector. The AFC has a proactive relationship with the IsDB Group and has even raised infrastructure funding through the issuance of a Sukuk.
Mr Oussama Kaissi, Chief Executive Officer of ICIEC, strongly welcomed the signing of the MoU with AFC: “This MoU further enhances ICIEC’s evolving playbook on Climate action and risk mitigation whether it relates to financing, underwriting, credit enhancement, and risk management. It is also yet another example of South-South Cooperation and the recognition that Africa has to come up with African financing solutions to finance African needs. Islamic project finance and investment, and de-risking solutions, are ideal for long-term infrastructure projects given their connectivity to financing the real economy especially through risk-sharing Private Public Partnerships. We look forward to building on this important relationship with AFC in this key area of Climate Action infrastructure.”
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Jeddah,
The Islamic Corporation for the Insurance of Investment and Export Credit (ICIEC), the insurance arm of the Islamic Development Bank (IsDB) Group, in cooperation with Commercial International Bank (CIB), Egypt’s largest and leading private sector bank, is organising an important Panel Discussion on 9 November 2022 in Sharm El Sheikh during COP27.
Two important pillars of Climate Action are mitigating the release of greenhouse gases with a focus on the transition to clean energy, for instance, through the generation of renewable energy projects, and adaptation to the detrimental effects of Climate Change, specifically climate-related impacts on water and food security.
The need for out-of-the-box thinking involving partnerships and risk mitigation solutions such as credit and political risk insurance becomes ever more urgent. The supply chain disruptions due to the ongoing Ukraine/Russia conflict have seriously impacted the food security of grain-importing countries in the OIC Member States, especially in Africa, and to structural Energy Poverty globally.
The launch of COP27 Host Country, Egypt’s comprehensive National Water, Food and Energy (NWFE) Programme provides a valuable playbook on the involvement of private sector investment, the bankability of Climate Adaptation projects, and the credit enhancement de-risking tools of multilateral institutions such as ICIEC. NWFE is underpinned by the bold Egypt Vision 2030 agenda, which has Climate Change Adaptation at its heart.
Climate security affects water poverty, the protection of coastal areas, the development of sustainable cities, and waste management. All ICIEC Member States in Africa face similar challenges.
Private sector entities have specific targets for climate financing under their ESG targets, and this High Level Panel Discussion will showcase the banking sector’s perspectives on the bankability of adaptation projects with a focus on Food Security.
The Panel will be addressed inter alia by ICIEC CEO, Oussama Kaissi, Mr. Talha Karim, Chief Risk Officer of CIB, Ms. Lina Osman, Head, Sustainable Finance, Standard Chartered Bank and Mr. Jahan Chowdhury, Cluster Lead for Environment and Climate, IFAD and senior representatives from Afreximbank.
Key topics that will be addressed include Egypt’s NWFE Programme, the case for financing adaptation projects from CIB’s perspective, gaining insight into Climate Financing for adaptation from a multilateral’s perspective such as BADEA, and showcasing Standard Chartered Bank’s experience with Green Financing in African markets.
As a signatory to the Principles for Responsible Insurance and being the only Shariah-compliant multilateral insurer, sustainable investment, climate action and finance, and Green Finance are firmly embedded in ICIEC’s due diligence process through linking all new business and other queries with SDG and climate action indicators. ICIEC and peer multilaterals have an important role in contributing to the international climate finance ecosystem. It is committed to further boosting its green and sustainable finance operations.
Mr. Oussama Kaissi, CEO of ICIEC, commented: “This Side Event is a unique platform to address frameworks and methodologies for appraising Climate Adaptation projects with a focus on Africa. It is important for all partners and stakeholders to share learned experiences, success stories, best practices and explore investment and trade opportunities for adaptation.”
ICIEC and CIB Convene COP27 Panel Discussion on Bankability of Climate Adaptation Projects Focused on Food Security in Africa Showcasing Egypt’s NWFE Program and the Role of Credit and Investment Insurance in Bridging the Financing Gap
November 1, 2022
Jeddah,
The Islamic Corporation for the Insurance of Investment and Export Credit (ICIEC), the insurance arm of the Islamic Development Bank (IsDB) Group, in cooperation with Commercial International Bank (CIB), Egypt’s largest and leading private sector bank, is organising an important Panel Discussion on 9 November 2022 in Sharm El Sheikh during COP27.
Two important pillars of Climate Action are mitigating the release of greenhouse gases with a focus on the transition to clean energy, for instance, through the generation of renewable energy projects, and adaptation to the detrimental effects of Climate Change, specifically climate-related impacts on water and food security.
The need for out-of-the-box thinking involving partnerships and risk mitigation solutions such as credit and political risk insurance becomes ever more urgent. The supply chain disruptions due to the ongoing Ukraine/Russia conflict have seriously impacted the food security of grain-importing countries in the OIC Member States, especially in Africa, and to structural Energy Poverty globally.
The launch of COP27 Host Country, Egypt’s comprehensive National Water, Food and Energy (NWFE) Programme provides a valuable playbook on the involvement of private sector investment, the bankability of Climate Adaptation projects, and the credit enhancement de-risking tools of multilateral institutions such as ICIEC. NWFE is underpinned by the bold Egypt Vision 2030 agenda, which has Climate Change Adaptation at its heart.
Climate security affects water poverty, the protection of coastal areas, the development of sustainable cities, and waste management. All ICIEC Member States in Africa face similar challenges.
Private sector entities have specific targets for climate financing under their ESG targets, and this High Level Panel Discussion will showcase the banking sector’s perspectives on the bankability of adaptation projects with a focus on Food Security.
The Panel will be addressed inter alia by ICIEC CEO, Oussama Kaissi, Mr. Talha Karim, Chief Risk Officer of CIB, Ms. Lina Osman, Head, Sustainable Finance, Standard Chartered Bank and Mr. Jahan Chowdhury, Cluster Lead for Environment and Climate, IFAD and senior representatives from Afreximbank.
Key topics that will be addressed include Egypt’s NWFE Programme, the case for financing adaptation projects from CIB’s perspective, gaining insight into Climate Financing for adaptation from a multilateral’s perspective such as BADEA, and showcasing Standard Chartered Bank’s experience with Green Financing in African markets.
As a signatory to the Principles for Responsible Insurance and being the only Shariah-compliant multilateral insurer, sustainable investment, climate action and finance, and Green Finance are firmly embedded in ICIEC’s due diligence process through linking all new business and other queries with SDG and climate action indicators. ICIEC and peer multilaterals have an important role in contributing to the international climate finance ecosystem. It is committed to further boosting its green and sustainable finance operations.
Mr. Oussama Kaissi, CEO of ICIEC, commented: “This Side Event is a unique platform to address frameworks and methodologies for appraising Climate Adaptation projects with a focus on Africa. It is important for all partners and stakeholders to share learned experiences, success stories, best practices and explore investment and trade opportunities for adaptation.”
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Jeddah,
The Islamic Corporation for the Insurance of Investment and Export Credit (ICIEC), the export credit and investment insurance agency of the Islamic Development Bank (IsDB) Group, and the Bonn-based InsuResilience Global Partnership (IGP) are convening a High Level Forum on 8 November 2022 during COP27 in Sharm El Shaikh to highlight the importance of Partnerships in accelerating climate action, mitigation, adaptation and finance including de-risking credit and political risk solutions.
InsuResilience is the world’s leading platform for inclusive, integrated collaboration, shared learning and delivery for Climate and Disaster Risk Finance and Insurance Solutions. ICIEC in fact acceded to membership of InsuResilience in September 2022, which will be formalised at a signing ceremony in Sharm El Sheikh at the Forum.
The Corporation strongly recognises the key role that the Partnership plays in bringing together many of ICIEC’s member states, 13 of whom are members of the V20 Group of Ministers of Finance of the Climate Vulnerable Forum, and the G20, as well as donors, the private sector, international organisations and civil society groups for the achievement of wider Climate Action goals.
The V20 Group and the G7 Presidency, led by Germany, have a joint ambition in that the urgent needs of vulnerable economies and people in the face of increasing climate risks need to be addressed. The way to do this is through a Global Shield against Climate Risks (GSCR) by providing and facilitating more and better pre-arranged protection against climate and disaster related risks, losses and damages.
When a climate-related disaster strikes, the need to have better systems in place that provide immediate finance in the most efficient, effective and fast way for the most vulnerable is vital. Thus far, financial protection is not systematic, coherent and sustained enough.
The Forum as such will address several issues, including the importance of IGP to address the complex challenges caused by climate change, the role that the GSCR can play in providing effective climate de-risking, and explore how ICIEC and other private sector actors can support the scaling-up of climate and disaster risk finance and insurance (CDRFI) solutions and promote sustainable, green, climate proof development.
The Gambia, a member of both the IGP and ICIEC, is very susceptible to climate threats, especially river flooding, coastal flooding and water scarcity. The Gambia has shown leadership and commitment towards climate action by submitting its second Nationally Determined Contributions report entitled ‘The Gambia’s long-term Climate-Neutral Development Strategy 2050.” As such the Forum will also focus on Gambia as a country study and discuss initiatives that will help it to achieve its 2050 Carbon Neutral Development
Goals under the GSCR objectives.
The Forum will be addressed by Mr. Oussama Kaissi, CEO of ICIEC and Dr. Astrid Zwick, Head of the InsuResilience Secretariat.Panel participants will include H.E. Mrs. Rohey John Manjang, Minister of Environment, Climate Change and Natural Resources of The Gambia, Jochen FLASBARTH, State Secretary in the Federal Ministry for Economic Development and Cooperation, Germany, Lesley NVODLU, CEO of African Risk Capacity Ltd and Mr. Stefan Wintels CEO of KfW.
Oussama Kaissi, CEO of ICIEC, commented: “ICIEC’s development mission is aligned with the UN SDGs and the ambitions of the Paris Agreement, and is informed by the needs of our member states. Our membership of InsuResilience reinforces our commitment to developing innovative financial solutions towards climate action, mitigation, adaptation, and capacity building in cooperation with Platform partners in Member States such as The Gambia and through other initiatives, including the Global Shield mechanism.”
We also see our role in engaging with the private sector as a catalyst for closing the Climate Action financing gap. Many of Our Member States are located in the Sahel region, which is extremely vulnerable to accelerated desertification and/or flooding with detrimental effects on livelihoods and agricultural output. A blend of sovereign insurance, corporate risk transfer, and microinsurance provides a direct response to drought-related food crises.”
ICIEC and InsuResilience Forum at COP27 Stresses Partnerships in Accelerating Climate Protection and De-risking Through G7/V20 Golden Shield Initiative in Member States such as Gambia
November 1, 2022
Jeddah,
The Islamic Corporation for the Insurance of Investment and Export Credit (ICIEC), the export credit and investment insurance agency of the Islamic Development Bank (IsDB) Group, and the Bonn-based InsuResilience Global Partnership (IGP) are convening a High Level Forum on 8 November 2022 during COP27 in Sharm El Shaikh to highlight the importance of Partnerships in accelerating climate action, mitigation, adaptation and finance including de-risking credit and political risk solutions.
InsuResilience is the world’s leading platform for inclusive, integrated collaboration, shared learning and delivery for Climate and Disaster Risk Finance and Insurance Solutions. ICIEC in fact acceded to membership of InsuResilience in September 2022, which will be formalised at a signing ceremony in Sharm El Sheikh at the Forum.
The Corporation strongly recognises the key role that the Partnership plays in bringing together many of ICIEC’s member states, 13 of whom are members of the V20 Group of Ministers of Finance of the Climate Vulnerable Forum, and the G20, as well as donors, the private sector, international organisations and civil society groups for the achievement of wider Climate Action goals.
The V20 Group and the G7 Presidency, led by Germany, have a joint ambition in that the urgent needs of vulnerable economies and people in the face of increasing climate risks need to be addressed. The way to do this is through a Global Shield against Climate Risks (GSCR) by providing and facilitating more and better pre-arranged protection against climate and disaster related risks, losses and damages.
When a climate-related disaster strikes, the need to have better systems in place that provide immediate finance in the most efficient, effective and fast way for the most vulnerable is vital. Thus far, financial protection is not systematic, coherent and sustained enough.
The Forum as such will address several issues, including the importance of IGP to address the complex challenges caused by climate change, the role that the GSCR can play in providing effective climate de-risking, and explore how ICIEC and other private sector actors can support the scaling-up of climate and disaster risk finance and insurance (CDRFI) solutions and promote sustainable, green, climate proof development.
The Gambia, a member of both the IGP and ICIEC, is very susceptible to climate threats, especially river flooding, coastal flooding and water scarcity. The Gambia has shown leadership and commitment towards climate action by submitting its second Nationally Determined Contributions report entitled ‘The Gambia’s long-term Climate-Neutral Development Strategy 2050.” As such the Forum will also focus on Gambia as a country study and discuss initiatives that will help it to achieve its 2050 Carbon Neutral Development
Goals under the GSCR objectives.
The Forum will be addressed by Mr. Oussama Kaissi, CEO of ICIEC and Dr. Astrid Zwick, Head of the InsuResilience Secretariat.Panel participants will include H.E. Mrs. Rohey John Manjang, Minister of Environment, Climate Change and Natural Resources of The Gambia, Jochen FLASBARTH, State Secretary in the Federal Ministry for Economic Development and Cooperation, Germany, Lesley NVODLU, CEO of African Risk Capacity Ltd and Mr. Stefan Wintels CEO of KfW.
Oussama Kaissi, CEO of ICIEC, commented: “ICIEC’s development mission is aligned with the UN SDGs and the ambitions of the Paris Agreement, and is informed by the needs of our member states. Our membership of InsuResilience reinforces our commitment to developing innovative financial solutions towards climate action, mitigation, adaptation, and capacity building in cooperation with Platform partners in Member States such as The Gambia and through other initiatives, including the Global Shield mechanism.”
We also see our role in engaging with the private sector as a catalyst for closing the Climate Action financing gap. Many of Our Member States are located in the Sahel region, which is extremely vulnerable to accelerated desertification and/or flooding with detrimental effects on livelihoods and agricultural output. A blend of sovereign insurance, corporate risk transfer, and microinsurance provides a direct response to drought-related food crises.”
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Jeddah,
As part of its engagement with the COP27 process in Sharm El Sheikh, the Islamic Corporation for the Insurance of Investment and Export Credit (ICIEC), the insurance arm of the Islamic Development Bank (IsDB) Group, is partnering with the Africa Finance Corporation (AFC) to convene a High Level Panel Discussion on 12 November 2022 to highlight the role of renewable energy in Climate Change Mitigation and the experiences of multilateral financial institutions in investing in such projects and credit and political risk insurers in providing de-risking solutions.
ICIEC is the only Sharia’h-compliant multilateral credit and political risk insurer in the world and is also a signatory to the Principles for Responsible Insurance. Sustainable investment, climate action, and finance, and green finance are firmly embedded in ICIEC’s due diligence process through linking all new business and other queries with SDG and climate action indicators.
Africa Finance Corporation is a pan-African Multilateral Development Financial Institution with the mandate to provide pragmatic solutions to Africa's infrastructure deficit and challenging operating environment. It has a large energy footprint in Africa.
Despite the fact that the African continent is blessed with immense renewable energy potential in the wind, solar, tidal, hydro, and geothermal energy, it suffers from structural Energy Poverty that poses a systemic obstacle to socio-economic development and sustainable growth.
Climate Change mitigation is a fundamental pillar of Climate Action and is predicated on replacing or substituting power generation through hydrocarbons with the generation of renewable energy. This transition to clean energy is complex given that several African countries are dependent on fossil fuels for their energy needs, revenues, and their development agendas.
By bringing together the long experience of ICIEC’s risk mitigation and credit enhancement solutions and AFC’s infrastructure financing, the aim of the Panel Discussion is to highlight the structural challenges and the role that de-risking combined with blended finance can play in accelerating Africa’s just transition to clean energy.
Key issues to be addressed in the Panel Discussion include case studies of various renewables projects in Africa, highlighting the business and development case for blended finance coupled with de-risking solutions, ICIEC’s experience with renewables projects, especially in solar and wind energy, and the challenges and lessons learned from renewable power generation in Africa.
The panel participants will include Mr. Sameh Shenouda, Chief Investment Officer, AFC, Ms. Soraya Sebti, Senior Manager, Sustainability and CSR, Bank of Africa, Dr. Salih Suwarelzahab, Chairman of the Climate Action Taskforce, ICIEC and BADEA representative. Mr. Oussama Kaissi, Chief Executive Officer of ICIEC, commented: “With an estimated Climate Action funding gap of US$1.35 trillion, blended finance, which combines concessional funding with commercial financing, is the only solution to addressing Africa’s renewable energy needs. ICIEC offers various tools covering political risk insurance, partial risk guarantees, and export credit guarantees that directly and indirectly mitigate various types of investment risks, including political, policy, regulatory, credit, and technology risks. ICIEC has a growing footprint in underwriting renewable energy projects in Egypt, Senegal, UAE, and Türkiye.”
ICIEC Partners with AFC to Convene Timely Forum at COP27 in Sharm El Sheikh on the Roles of Renewable Energy Projects and Credit and Political Risk Insurance in Climate Change Mitigation
November 1, 2022
Jeddah,
As part of its engagement with the COP27 process in Sharm El Sheikh, the Islamic Corporation for the Insurance of Investment and Export Credit (ICIEC), the insurance arm of the Islamic Development Bank (IsDB) Group, is partnering with the Africa Finance Corporation (AFC) to convene a High Level Panel Discussion on 12 November 2022 to highlight the role of renewable energy in Climate Change Mitigation and the experiences of multilateral financial institutions in investing in such projects and credit and political risk insurers in providing de-risking solutions.
ICIEC is the only Sharia’h-compliant multilateral credit and political risk insurer in the world and is also a signatory to the Principles for Responsible Insurance. Sustainable investment, climate action, and finance, and green finance are firmly embedded in ICIEC’s due diligence process through linking all new business and other queries with SDG and climate action indicators.
Africa Finance Corporation is a pan-African Multilateral Development Financial Institution with the mandate to provide pragmatic solutions to Africa’s infrastructure deficit and challenging operating environment. It has a large energy footprint in Africa.
Despite the fact that the African continent is blessed with immense renewable energy potential in the wind, solar, tidal, hydro, and geothermal energy, it suffers from structural Energy Poverty that poses a systemic obstacle to socio-economic development and sustainable growth.
Climate Change mitigation is a fundamental pillar of Climate Action and is predicated on replacing or substituting power generation through hydrocarbons with the generation of renewable energy. This transition to clean energy is complex given that several African countries are dependent on fossil fuels for their energy needs, revenues, and their development agendas.
By bringing together the long experience of ICIEC’s risk mitigation and credit enhancement solutions and AFC’s infrastructure financing, the aim of the Panel Discussion is to highlight the structural challenges and the role that de-risking combined with blended finance can play in accelerating Africa’s just transition to clean energy.
Key issues to be addressed in the Panel Discussion include case studies of various renewables projects in Africa, highlighting the business and development case for blended finance coupled with de-risking solutions, ICIEC’s experience with renewables projects, especially in solar and wind energy, and the challenges and lessons learned from renewable power generation in Africa.
The panel participants will include Mr. Sameh Shenouda, Chief Investment Officer, AFC, Ms. Soraya Sebti, Senior Manager, Sustainability and CSR, Bank of Africa, Dr. Salih Suwarelzahab, Chairman of the Climate Action Taskforce, ICIEC and BADEA representative. Mr. Oussama Kaissi, Chief Executive Officer of ICIEC, commented: “With an estimated Climate Action funding gap of US$1.35 trillion, blended finance, which combines concessional funding with commercial financing, is the only solution to addressing Africa’s renewable energy needs. ICIEC offers various tools covering political risk insurance, partial risk guarantees, and export credit guarantees that directly and indirectly mitigate various types of investment risks, including political, policy, regulatory, credit, and technology risks. ICIEC has a growing footprint in underwriting renewable energy projects in Egypt, Senegal, UAE, and Türkiye.”
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Jeddah, KSA
The Islamic Corporation for the Insurance of Investment and Export Credit (ICIEC) has been honoured by an insurance industry award in the prestigious Global Brand Awards 2022. ICIEC is the inaugural winner in the category ‘Best Multilateral Insurance Corporation Brand – Global’ for Global Brand Awards 2022. The international insurance brand honours are given by the Global Brands Magazine and have been awarded to participants in the insurance industry sector since 2013.
“Designation of ICIEC as the best Multilateral Insurance Corporation brand is a testament to the development impact we bring to the world,” says Oussama Kaissi , CEO of ICIEC. “It demonstrates that our market engagements are enabling the public and private enterprises through enhancing credit and closing the financial gap on the road to achieving the UN SDGs; with a specific focus on digitisation, food security, and climate action.”
ICIEC, as the insurance arm of the Islamic Development Bank Group (IsDB), aims to help mitigate risks and encourage growth in challenging times for the Middle East, Africa and the broader Islamic world. ICIEC is winning recognition for the stalwart and solid work it does and continues to demonstrate resilience in a year of unprecedented risks, changing global challenges, and the ongoing wake of the pandemic.
ICIEC honoured as a winner of a prestigious Global Brands Awards 2022, named as Best Multilateral Insurance Corporation Brand – Global
October 2, 2022
Jeddah, KSA
The Islamic Corporation for the Insurance of Investment and Export Credit (ICIEC) has been honoured by an insurance industry award in the prestigious Global Brand Awards 2022. ICIEC is the inaugural winner in the category ‘Best Multilateral Insurance Corporation Brand – Global’ for Global Brand Awards 2022. The international insurance brand honours are given by the Global Brands Magazine and have been awarded to participants in the insurance industry sector since 2013.
“Designation of ICIEC as the best Multilateral Insurance Corporation brand is a testament to the development impact we bring to the world,” says Oussama Kaissi , CEO of ICIEC. “It demonstrates that our market engagements are enabling the public and private enterprises through enhancing credit and closing the financial gap on the road to achieving the UN SDGs; with a specific focus on digitisation, food security, and climate action.”
ICIEC, as the insurance arm of the Islamic Development Bank Group (IsDB), aims to help mitigate risks and encourage growth in challenging times for the Middle East, Africa and the broader Islamic world. ICIEC is winning recognition for the stalwart and solid work it does and continues to demonstrate resilience in a year of unprecedented risks, changing global challenges, and the ongoing wake of the pandemic.
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Cairo, Egypt
Amid rising urgency for instruments to de-risk investment across Africa, the Africa Co-Guarantee Platform’s (CGP) six partners have affirmed commitments to better leverage guarantee and insurance products, resulting in more trade and investment across Africa.
The partners pledged to extend direct transaction support for specific projects, including infrastructure development and optimizing balance sheets by sharing risk. They will develop new and hybrid products to address issues such as intra-regional trade, the current food and fertilizer crises, and enhanced coverage for infrastructure investments, public-private partnerships, and fragile/transition states and situations. The CGP will also work with stakeholders to build capacity in the use of risk mitigation instruments that strengthen project preparation and bankability.
In his opening remarks, Afreximbank’s Director of Guarantees and Specialized Finance Kofi Asumadu-Addo, said: “This is a critical moment and the CGP is needed more than ever. The COVID-19 pandemic, the Ukraine crises and the consequent macroeconomic challenges facing the continent, require urgent action on our part as risk mitigation providers. Collectively, we have the capacity among the Platform partners to respond adequately and appropriately to help de-risk and attract investments into and across Africa. We need to bring this to bear in order to reduce the trade and investment financing gap. Afreximbank supports the CGP – but we want to see more concrete results.”
Max Ndiaye, Acting Director of Syndications, Co-Financing and Client Solutions at the African Development Bank, said: “This platform was launched in 2018 by President Adesina and the senior leadership of the other partners to help overcome the clear risk mitigation gap in Africa, which stands in the way of closing more trade and investment deals. The urgency has only become greater since then. We need a transaction-focused platform that really delivers for our stakeholders.”
ATI’s Chief Underwriting Officer, Benjamin Mugisha, said the platform would leverage each member’s strengths to provide proactive solutions to address Africa’s needs. “The Co-Guarantee Platform has a unique opportunity to synergize its members' shared vision and mandate and has committed to proactively do this going forward. The platform will leverage each members strengths to providing proactive solutions to address the needs of the continent.”
Ibrah Wahabou, AUDA-NEPAD’s Head of Infrastructure and Connectivity, said: “The Co-Guarantee Platform is Africa’s bold response by Africa-based DFIs and the African Union Development Agency to deal with the exaggerated, unjustified perception of Africa as a risky place for investors. Together, through the CGP, we are changing the narrative based on concrete deals.”
GuarantCo Associate Director Ben Storrs said: “We look forward to supporting the development of the Co-Guarantee Platform and institutional partnerships to address Africa’s infrastructure challenges at a greater scale. Collectively, we hope to continue building local capacity to enable greater use of innovative credit mitigation solutions to unlock critical infrastructure financing.”
Bessem Soua, ICIEC’s Division Manager for Sub-Saharan Africa and Europe, said: “The Co-Guarantee Platform is a unique opportunity for multilateral partners to work together on scaling up risk mitigation capacity to de-risk investments and trade in Africa. Priorities and concrete steps have been agreed among the partners to take the platform to the next level and ensure a collective and coordinated response to the continent's needs.”
The Partners also launched the CGP’s web presence to provide information about the platform and its partner institutions. The site also contains an email address to submit transactions and queries.
About the Africa Co-Guarantee Platform
The Africa Co-Guarantee Platform is a transaction-based mechanism created to overcome Africa’s risk perception gap and increase financing for trade and investment projects through more effective use of guarantees and insurance. Created in 2018, the platform’s current pipeline includes trade and investment projects in the energy, agriculture, health and infrastructure sectors across Africa. The African Development Bank hosts the CGP secretariat.
Media Contacts:
African Development Bank
Olufemi Terry, Communication and External Relations Department, Email: media@afdb.org
Africa Co-Guarantee Platform partners reaffirm commitment to catalyzing trade and investment
September 27, 2022
Cairo, Egypt
Amid rising urgency for instruments to de-risk investment across Africa, the Africa Co-Guarantee Platform’s (CGP) six partners have affirmed commitments to better leverage guarantee and insurance products, resulting in more trade and investment across Africa.
The partners pledged to extend direct transaction support for specific projects, including infrastructure development and optimizing balance sheets by sharing risk. They will develop new and hybrid products to address issues such as intra-regional trade, the current food and fertilizer crises, and enhanced coverage for infrastructure investments, public-private partnerships, and fragile/transition states and situations. The CGP will also work with stakeholders to build capacity in the use of risk mitigation instruments that strengthen project preparation and bankability.
In his opening remarks, Afreximbank’s Director of Guarantees and Specialized Finance Kofi Asumadu-Addo, said: “This is a critical moment and the CGP is needed more than ever. The COVID-19 pandemic, the Ukraine crises and the consequent macroeconomic challenges facing the continent, require urgent action on our part as risk mitigation providers. Collectively, we have the capacity among the Platform partners to respond adequately and appropriately to help de-risk and attract investments into and across Africa. We need to bring this to bear in order to reduce the trade and investment financing gap. Afreximbank supports the CGP – but we want to see more concrete results.”
Max Ndiaye, Acting Director of Syndications, Co-Financing and Client Solutions at the African Development Bank, said: “This platform was launched in 2018 by President Adesina and the senior leadership of the other partners to help overcome the clear risk mitigation gap in Africa, which stands in the way of closing more trade and investment deals. The urgency has only become greater since then. We need a transaction-focused platform that really delivers for our stakeholders.”
ATI’s Chief Underwriting Officer, Benjamin Mugisha, said the platform would leverage each member’s strengths to provide proactive solutions to address Africa’s needs. “The Co-Guarantee Platform has a unique opportunity to synergize its members’ shared vision and mandate and has committed to proactively do this going forward. The platform will leverage each members strengths to providing proactive solutions to address the needs of the continent.”
Ibrah Wahabou, AUDA-NEPAD’s Head of Infrastructure and Connectivity, said: “The Co-Guarantee Platform is Africa’s bold response by Africa-based DFIs and the African Union Development Agency to deal with the exaggerated, unjustified perception of Africa as a risky place for investors. Together, through the CGP, we are changing the narrative based on concrete deals.”
GuarantCo Associate Director Ben Storrs said: “We look forward to supporting the development of the Co-Guarantee Platform and institutional partnerships to address Africa’s infrastructure challenges at a greater scale. Collectively, we hope to continue building local capacity to enable greater use of innovative credit mitigation solutions to unlock critical infrastructure financing.”
Bessem Soua, ICIEC’s Division Manager for Sub-Saharan Africa and Europe, said: “The Co-Guarantee Platform is a unique opportunity for multilateral partners to work together on scaling up risk mitigation capacity to de-risk investments and trade in Africa. Priorities and concrete steps have been agreed among the partners to take the platform to the next level and ensure a collective and coordinated response to the continent’s needs.”
The Partners also launched the CGP’s web presence to provide information about the platform and its partner institutions. The site also contains an email address to submit transactions and queries.
About the Africa Co-Guarantee Platform
The Africa Co-Guarantee Platform is a transaction-based mechanism created to overcome Africa’s risk perception gap and increase financing for trade and investment projects through more effective use of guarantees and insurance. Created in 2018, the platform’s current pipeline includes trade and investment projects in the energy, agriculture, health and infrastructure sectors across Africa. The African Development Bank hosts the CGP secretariat.
Media Contacts:
African Development Bank
Olufemi Terry, Communication and External Relations Department, Email: media@afdb.org
The Board of Governors of the Islamic Corporation for the Insurance of Investment and Export Credit (ICIEC) approved ID 600 million (about USD 805 million) increase in capital for the foremost Shariah-compliant multilateral insurer during its 29th Annual Meeting held in Sharm El Sheikh, Egypt on 4th June 2022.
The Governors approved a 150 percent increase in the authorized capital of ICIEC to make it ID 1 billion (about USD 1.35 billion), the largest in its history. Based on the approval, the subscribed capital is targeted to be increased by 168% from ID 297 million (about USD 398 million) to ID 797 million (about USD 1.08 billion). In addition, a special share class comprising ID 100 million (about USD 135 million) of the increased capital has been allocated for subscription by financial institutions owned by the member states of ICIEC.
The ICIEC Board of Governors Meeting was held during the 47th Annual Meetings of the IsDB Group between 1-4 June 2022 in Sharm El Sheikh, Egypt, during which the Board also approved the Corporation’s 2021 Annual Report and audited Financial Statements.
The capital increase approval underscores the strong support enjoyed by ICIEC from its member states and an endorsement of its strategic growth plans in delivering the objectives of sustainable development to its member states. Moreover, the approval highlights the diversification of capital resources, with the inclusion of financial institutions, while prioritizing its mandate to member states.
According to ICIEC CEO, Mr. Oussama Kaissi, “Capital is important for a multilateral insurer because it determines our ability to underwrite more business and boost reinsurance capacity to support our member states. The Chairman of the ICIEC Board of Directors, Dr. Muhammad Al Jasser, and the entire Board have been tremendously supportive of ICIEC management. The Board recognized the need to increase the capital of ICIEC in order to continue to carry out its developmental mandate effectively. Furthermore, this capital increase will scale up ICIEC’s financial strength, enhance its loss-bearing equity resources, improve competitive position in the market and internal capital generation capacity-thus strengthening its credit fundamentals.”
Despite a challenging year worsened by the global economic impact of the COVID-19 pandemic, ICIEC reported business insured totaling US$9.8 billion in 2021. ICIEC’s 2021 business environment was marked by unprecedented risks, shifting priorities, and the COVID-19 response initiatives of the IsDB Group.
Despite the impact of the pandemic on insurance operations and the steep decline in market rates of treasury investment, Corporate Net-Results for 2021 stood strong at a US$ 9.3 million surplus equivalent to 182 percent achievement of the Business Plan target for the year.
PS: ID = Islamic Dinar, the unit of accounting of the IsDB Group
One ID = One SDR (Special Drawing Right) of the International Monetary Fund)
One SDR = US$1.34 at 7 June 2022 One ID = US$1.34
ICIEC Shareholders Approve Substantial Capital Increase Demonstrating Adequate Support to its Strategic Growth Plans
June 9, 2022
Cairo, Egypt
The Board of Governors of the Islamic Corporation for the Insurance of Investment and Export Credit (ICIEC) approved ID 600 million (about USD 805 million) increase in capital for the foremost Shariah-compliant multilateral insurer during its 29th Annual Meeting held in Sharm El Sheikh, Egypt on 4th June 2022.
The Governors approved a 150 percent increase in the authorized capital of ICIEC to make it ID 1 billion (about USD 1.35 billion), the largest in its history. Based on the approval, the subscribed capital is targeted to be increased by 168% from ID 297 million (about USD 398 million) to ID 797 million (about USD 1.08 billion). In addition, a special share class comprising ID 100 million (about USD 135 million) of the increased capital has been allocated for subscription by financial institutions owned by the member states of ICIEC.
The ICIEC Board of Governors Meeting was held during the 47th Annual Meetings of the IsDB Group between 1-4 June 2022 in Sharm El Sheikh, Egypt, during which the Board also approved the Corporation’s 2021 Annual Report and audited Financial Statements.
The capital increase approval underscores the strong support enjoyed by ICIEC from its member states and an endorsement of its strategic growth plans in delivering the objectives of sustainable development to its member states. Moreover, the approval highlights the diversification of capital resources, with the inclusion of financial institutions, while prioritizing its mandate to member states.
According to ICIEC CEO, Mr. Oussama Kaissi, “Capital is important for a multilateral insurer because it determines our ability to underwrite more business and boost reinsurance capacity to support our member states. The Chairman of the ICIEC Board of Directors, Dr. Muhammad Al Jasser, and the entire Board have been tremendously supportive of ICIEC management. The Board recognized the need to increase the capital of ICIEC in order to continue to carry out its developmental mandate effectively. Furthermore, this capital increase will scale up ICIEC’s financial strength, enhance its loss-bearing equity resources, improve competitive position in the market and internal capital generation capacity-thus strengthening its credit fundamentals.”
Despite a challenging year worsened by the global economic impact of the COVID-19 pandemic, ICIEC reported business insured totaling US$9.8 billion in 2021. ICIEC’s 2021 business environment was marked by unprecedented risks, shifting priorities, and the COVID-19 response initiatives of the IsDB Group.
Despite the impact of the pandemic on insurance operations and the steep decline in market rates of treasury investment, Corporate Net-Results for 2021 stood strong at a US$ 9.3 million surplus equivalent to 182 percent achievement of the Business Plan target for the year.
PS: ID = Islamic Dinar, the unit of accounting of the IsDB Group
One ID = One SDR (Special Drawing Right) of the International Monetary Fund)
One SDR = US$1.34 at 7 June 2022 One ID = US$1.34
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Jeddah,KSA
The Islamic Corporation for the Insurance of Investment and Export Credit (ICIEC), the insurance arm of the Islamic Development Bank (IsDB) Group, signed a wide-ranging Memorandum of Understanding (MoU) with Export Bahrain, whereby ICIEC would provide export credit insurance services in support of small-and-medium-sized enterprises (SMEs) in the country.
The MoU was signed virtually in a video link by Mr. Oussama Kaissi, Chief Executive Officer of ICIEC, and Mrs Safaa Abdulkhaliq, Acting Chief Executive Officer of Export Bahrain, the national agency whose mandate is to support the development of exports of local SMEs to engage in global markets. This would be done through the provision of export credit insurance from ICIEC’s range of de-risking solutions to cover various commercial and non-commercial risks, including buyer bankruptcies, currency and political risks.
Export Bahrain is the flagship initiative of the Kingdom’s National SME Development Board. Earlier this year it reached a new milestone by facilitating over US$100m in export value through SMEs as of June 2021. Export Bahrain has strategically helped SMEs based in Bahrain to export more than 51 different product and service categories across ten sectors to over 55 markets across the GCC, Asia, Africa, Europe, Australia, UK, and the US.
Under the MoU, the two parties also agreed that ICIEC would use its expertise and knowledge of local and global markets especially those in member countries with the aim of giving institutional support to Export Bahrain and developing and enhancing the export capabilities of Bahraini SMEs to these markets.
ICIEC and Export Bahrain will also enhance their working relationship by exchanging economic and trade information and statistics on a regular basis. ICIEC in addition will also organize technical training courses relating to the export credit and investment insurance ecosystem for Bahraini officials, exporters and allied services.
All the above services and provisions provided by ICIEC will be channelled and processed through Export Bahrain. To facilitate a smooth operational and coordination process, ICIEC and Export Bahrain will establish a Specialist Working Group at each entity which would need on an ad hoc basis and when necessary.
Mr Oussama Kaissi, CEO of ICIEC, welcomed the signing of this landmark MoU. “Despite the onset of COVID-19,” he added, “many ICIEC member countries have shown remarkable resilience, especially in trade and exports. In the case of Bahrain, for instance, the export value facilitated through Export Bahrain in the First Half of 2021 had already surpassed the total export value of 2020 due to the increased awareness and shift in the mindset of local businesses. ICIEC stands ready to enhance its support to Bahrain by mitigating political and commercial risks for trade and investment through the provision of its Shariah-compliant insurance solutions for banks, corporates, ECAs, and other stakeholders.”
Mrs Safaa Abdul-Khaliq, Acting Chief Executive Officer of Export Bahrain similarly commented: “Export Bahrain’s efforts are geared towards establishing exclusive partnerships to ease and find solutions to the different challenges that Bahrain-based businesses may encounter during their export journey. We encourage businesses from all the various sectors to take advantage of this agreement as we are confident that this strategic partnership would allow more exporters to explore new markets and buyers with confidence, particularly now with more alternatives being offered in the Export Credit Insurance solution to Export Bahrain customers.”
ICIEC Signs Wide-ranging MoU with Export Bahrain to Provide Export Credit and Investment Insurance and Technical Services in Support of Local SMEs
June 5, 2022
Jeddah,KSA
The Islamic Corporation for the Insurance of Investment and Export Credit (ICIEC), the insurance arm of the Islamic Development Bank (IsDB) Group, signed a wide-ranging Memorandum of Understanding (MoU) with Export Bahrain, whereby ICIEC would provide export credit insurance services in support of small-and-medium-sized enterprises (SMEs) in the country.
The MoU was signed virtually in a video link by Mr. Oussama Kaissi, Chief Executive Officer of ICIEC, and Mrs Safaa Abdulkhaliq, Acting Chief Executive Officer of Export Bahrain, the national agency whose mandate is to support the development of exports of local SMEs to engage in global markets. This would be done through the provision of export credit insurance from ICIEC’s range of de-risking solutions to cover various commercial and non-commercial risks, including buyer bankruptcies, currency and political risks.
Export Bahrain is the flagship initiative of the Kingdom’s National SME Development Board. Earlier this year it reached a new milestone by facilitating over US$100m in export value through SMEs as of June 2021. Export Bahrain has strategically helped SMEs based in Bahrain to export more than 51 different product and service categories across ten sectors to over 55 markets across the GCC, Asia, Africa, Europe, Australia, UK, and the US.
Under the MoU, the two parties also agreed that ICIEC would use its expertise and knowledge of local and global markets especially those in member countries with the aim of giving institutional support to Export Bahrain and developing and enhancing the export capabilities of Bahraini SMEs to these markets.
ICIEC and Export Bahrain will also enhance their working relationship by exchanging economic and trade information and statistics on a regular basis. ICIEC in addition will also organize technical training courses relating to the export credit and investment insurance ecosystem for Bahraini officials, exporters and allied services.
All the above services and provisions provided by ICIEC will be channelled and processed through Export Bahrain. To facilitate a smooth operational and coordination process, ICIEC and Export Bahrain will establish a Specialist Working Group at each entity which would need on an ad hoc basis and when necessary.
Mr Oussama Kaissi, CEO of ICIEC, welcomed the signing of this landmark MoU. “Despite the onset of COVID-19,” he added, “many ICIEC member countries have shown remarkable resilience, especially in trade and exports. In the case of Bahrain, for instance, the export value facilitated through Export Bahrain in the First Half of 2021 had already surpassed the total export value of 2020 due to the increased awareness and shift in the mindset of local businesses. ICIEC stands ready to enhance its support to Bahrain by mitigating political and commercial risks for trade and investment through the provision of its Shariah-compliant insurance solutions for banks, corporates, ECAs, and other stakeholders.”
Mrs Safaa Abdul-Khaliq, Acting Chief Executive Officer of Export Bahrain similarly commented: “Export Bahrain’s efforts are geared towards establishing exclusive partnerships to ease and find solutions to the different challenges that Bahrain-based businesses may encounter during their export journey. We encourage businesses from all the various sectors to take advantage of this agreement as we are confident that this strategic partnership would allow more exporters to explore new markets and buyers with confidence, particularly now with more alternatives being offered in the Export Credit Insurance solution to Export Bahrain customers.”
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