Jeddah, KSA

The Islamic Corporation for the Insurance of Investment and Export Credit (ICIEC), the Shariah-compliant multilateral insurer and member of the Islamic Development Bank (IsDB) Group, is pleased to announce the signing of a US$42 million Facultative Reinsurance Agreement with the Saudi EXIM Bank (Saudi EXIM) for a Documentary Credit Insurance Sub-Policy Limit in favour of Riyad Bank with a tenor of up to 12 months.

The signing ceremony was held at the Ritz Carlton Hotel in Jeddah, Saudi Arabia, on the sidelines of the IsDB Group Annual Meetings, by Mr. Oussama Kaissi, CEO of ICIEC, and  Mr. Mohammed Al-Besher, Director General of the Insurance Department of Saudi Exim Bank. The Sub-Plicy comes under the master Facultative Reinsurance Agreements (FRA) signed by the two entities in 2021. Under the FRA, ICIEC will provide Shariah-compliant reinsurance covering up to 70% of Saudi Eximbank’s exposure under a Documentary Credit Insurance Policy Commercial and Political Risks (Multi Risk) issued to the Original Insured up to the agreed Credit Amount Limit.

The Sub-policy enables coverage of LCs confirmed by Ryiad Bank for  several Saudi commercial banks. It will also provide additional headroom capacity for the confirmation of LCs to support trade transactions by commercial banks in Saudi Arabia and ICIEC Member States. ICIEC’s cooperation with Saudi EXIM Bank has steadily grown over the years, with a current reinsurance agreement worth some US$140 million. This year, Saudi EXIM was named the winner of the ICIEC Awards for the Category of “Export Credit Agency of the Year 2023.” It marks Saudi EXIM’s critical support towards diversifying the Kingdom’s export base and contribution to intra-OIC trade. With a gross volume of financing and insurance services provided to exporters exceeding US$2.5 billion as at end of 2022, the contribution of Saudi EXIM to achieving the objectives of Saudi Vision 2023 is highly commendable.

The Islamic Corporation for the Insurance of Investment and Export Credit (ICIEC), the Shariah-compliant multilateral insurer and member of the Islamic Development Bank (IsDB) Group, is pleased to announce the signing of a US$4 million Facultative Reinsurance Agreement (FRA) with KAZAKHEXPORT Insurance Company JSC.

The signing ceremony was held at the Ritz Carlton Hotel in Jeddah, Saudi Arabia, on the sidelines of the IsDB Group Annual Meetings, by Mr. Oussama Kaissi, CEO of ICIEC, and Mr. Aslan Kaligazin, CEO of KAZAKHEXPORT.

The transaction involves the financial leasing of TE33A ‘Evolution’ type mainline locomotives to Azerbaijan Railways for a tenor of 36 months. ICIEC is supporting KAZAKHEXPORT with a 70% reinsurance coverage of the total insurance limit of US$5.6 million.

The FRA covers the commercial risk of the project under the relevant leasing agreement.

The Annual Report and Audited Financial Statements for the year 2022 of the Islamic Corporation for the Insurance of Investment and Export Credit (ICIEC)  were approved by the Meeting of its Board of Governors held on 5/13/2023 during the 2023 Annual Meetings of the Islamic Development Bank Group (IsDB) at the Ritz-Carlton Hotel in Jeddah, Saudi Arabia.

ICIEC’s Annual Report reveals the Corporation's commitment to operational resilience despite the prevailing global challenges, delivering outstanding results for clients, partners, and shareholders. The Report showed a 19% year-on-year increase in the volume of insured trade and investment transactions for 2022, reaching USD 11.6 billion. Additionally, the Report announces a surge in business, with commitments increasing by 27% from the previous year, totaling USD 4.0 billion. The 2022 Annual Report also shows the ICIEC's support of post-pandemic and recovery efforts of MSs, with USD 1.4 billion, composed of USD 528 million of support to the healthcare sector, USD 824 million support to imported essential commodities, and USD 62 million support to SMEs for pandemic's economic impacts.

The Report also indicates that ICIEC was able to maintain its position as a top-rated institution in the Credit and Political Risk Insurance industry with its Moody's "Aa3" rating for 15 consecutive years. Additionally, the Corporation prioritized food security and energy transition as urgent and potential areas of the business to be added to the achievements made during 2022, where a business worth of USD 3.26 billion was insured in Africa, USD 6.01 billion in Asia, USD 1.96 billion in Europe, USD 0.4 billion in the Americas, and USD 0.01 billion in Oceania.

As part of increasing its membership and geographic coverage in the OIC, ICIEC welcomed the Maldives as a new member state. It is worth noting that ICIEC's membership grew to 48 member states in 2022.

Mr. Oussama Kaissi, CEO of ICIEC, said, "To overcome the complex global challenges we face, we must come together and combine diverse skills and resources, including socially responsible projects that contribute to achieving the UN SDGs. ICIEC's tireless efforts to support post-pandemic recovery and forge new partnerships while insuring trade and investment in our MSs, demonstrate a commitment to growth and regeneration in the new paradigm."

Jeddah, KSA

The Islamic Corporation for the Insurance of Investment and Export Credit (ICIEC), the Shariah-compliant multilateral insurer and member of the Islamic Development Bank (IsDB) Group, is pleased to announce the signing of Memorandum of Understanding (MoU) with the Mauritania Investment Promotion Agency (APIM) on the sidelines of the IsDB Annual Meeting 2023.

The MoU aims to foster collaboration between the two institutions with a focus on increasing foreign direct investment (FDI) into Mauritania by leveraging the comprehensive derisking solutions offered by ICIEC. The partnership marks a significant step towards transforming Mauritania's economy through sustainable and diversified investments.

Under the MoU, ICIEC and APIM will work closely to develop and promote investment opportunities in Mauritania by identifying potential sectors and projects and providing essential support by lowering risks for foreign investors. This strategic cooperation is expected to create a more conducive environment for investment, stimulate entrepreneurship and business growth, and create new employment opportunities in the country.

The CEO of ICIEC, Oussama Kaissi, said, "The collaboration with APIM is a testament to our commitment to supporting the economic growth and diversification of Mauritania. By providing innovative derisking solutions, we aim to attract meaningful investment into the country, contributing to the overall progress and development of Mauritania's economy."

With this MoU, ICIEC and APIM are poised to pave the way for a new era of economic growth and prosperity in Mauritania, benefiting from the commitment, collaboration, and mutual support of both institutions.

Jeddah, KSA

The 2023 IsDB Group Annual Meetings in Jeddah, Saudi Arabia, which concluded on 13 May, 2023 eminently lived up to its theme of forging “Partnerships to Fend Off Crises.” The Islamic Corporation for the Insurance of Investment and Export Credit (ICIEC), the Shariah-compliant multilateral insurer and member of the Islamic Development Bank (IsDB) Group, actively contributed to the IsDB Group Private Sector Forum (PSF) and signed several agreements and MoUs with partners in the Member States.

Mr. Oussama Kaissi, CEO of ICIEC, also met a number of official delegations from Member States and discussed ways of enhancing cooperation through the provision of credit and investment insurance solutions, consistent with their needs and development agendas in addressing the rising challenges of climate change, energy transition, food insecurity, health system inequality, the digital divide, attracting inward FDI and private sector capital, to help them to achieve the UN 2030 SDG agenda and the net zero ambitions of the Paris Climate Agreement.

In his address to the PSF, Mr Kaissi stressed the need for strong policy action coupled with pragmatic approaches to find common grounds to respond to shared challenges, especially through partnerships and collaboration among stakeholders. This should encapsulate overall priorities, including promoting Agriculture, Poverty Reduction, Food Security Green Finance supporting transition to clean energy. “Food insecurity,” he emphasised, “is often a consequence of climate change. The energy transition is complex and costly. Private sector engagement is one of the main pillars of ICIEC’s strategy. It requires credit enhancement to help make projects bankable to investors. ICIEC is uniquely positioned to do this through its de-risking tools, sustainability policies and access to its member states’ national and subnational bodies, which engage with relevant climate action and food security projects and transactions, and sustainable tourism.”

During the four days of the Annual Meetings, ICIEC signed several policy transactions that amounted to an aggregate of US$300 million of insurance policy cover. And MoUs included one with the Mauritania Investment Promotion Agency (APIM), whereby ICIEC would collaborate with APIM to promote investment opportunities in the country by identifying suitable projects conducive to the use of the derisking solutions offered by ICIEC. One with Fonds Africain de Garantie et de Coopération Economique (FAGACE) – the African Guarantee and Economic Cooperation Fund - to cooperate in increasing foreign and domestic direct investments to member countries common to both institutions through guaranteeing risks related to investment, financing of banking institutions and regional and sub-regional SMEs. Another with Arab Contractors (AC) to promote investment flows and de-risking solutions for green, resilient and sustainable infrastructure in various economic sectors in Egypt and other ICIEC Member States and an MoU with "Microcreditbank" (MKBANK) aimed at supporting trade, exports and investments in the Republic of Uzbekistan.

ICIEC CEO Mr. Oussama Kaissi also had discussions with the Heads of Delegations from several member states attending the 2023 IsDB Annual Meetings. The discussions centred mainly on enhancing cooperation in various sectors and promoting FDI inflows into these countries involving private sector capital and utilising ICIEC’s de-risking and guarantee solutions for trade and investment. 

JEDDAH, May 13, 2023 – The Islamic Corporation for the Insurance of Investment and Export Credit (ICIEC) is partnering with the Multilateral Investment Guarantee Agency of the World Bank Group (MIGA) as administrator for the West Bank and Gaza Investment Trust Fund (WBGTF),  to cover foreign investments into a leading Dates Farm Project in the West Bank, Palestine.

The guarantees, enabled by the WBGTF, were issued to Palestine Development and Investment Company, Ltd. (PADICO) of Liberia ($10.38 million), Siraj Fund 1 ($4.05 million), and Siraj Fund Management Company ($2.18 million). ICIEC is providing risk participation (akin to reinsurance) for the guarantee that is being issued to PADICO.

The guarantees will cover these investors’ equity investments in Nakheel Palestine for Agricultural Investment against the risks of expropriation and war and civil disturbance, including temporary loss of income, for a period of up to 5.5 years. Nakheel specializes in the production and sale of Medjool and Barhi dates.

The Nakheel project includes seven farms, a packaging facility for post-harvest handling of dates, a sorting and grading house, a cold storage facility, and a rooftop solar power plant – all located in the West Bank, Palestine.

This is the first project in Palestine that ICIEC has insured, a historic accomplishment made possible by its risk-sharing arrangement with MIGA as the WBGTF's administrator. Additionally, it is the first time MIGA has acquired reinsurance on a WBGTF-funded project.

“We are genuinely pleased to secure our support for investments in Palestine for the first time, and we appreciate our partnership with MIGA on this landmark risk-sharing agreement. ICIEC intervention in this agriculture project marks another milestone of its contribution to the Food Security Response Program of the IsDB Group, knowing that the project is also environment-friendly, serving sustainable development in Palestine”. “The risk-sharing agreement with MIGA is an example of how dedicated we are to fostering partnerships that advance sustainable development”, remarked Oussama Kaissi, CEO of ICIEC.

MIGA and ICIEC support is expected to increase the development impact of the Nakheel project in the West Bank in terms of employment, earnings, and taxes paid. The Nakheel dates project is a critical employer in an economy hard-hit by unemployment and poverty, where most of the population earns its living from agriculture. In 2021 Nakheel employed 74 permanent and 741 temporary employees, of whom 30 percent were women and 60 percent came from low-income families. The project also indirectly contributes to the livelihoods of several hundred people throughout the operation’s value chain – including independent producers from which it buys part of its production as well as distributors of its products.

In addition, the project is aligned with the Paris Agreement, delivering both climate mitigation and adaptation through nearly 1,300 solar panels that generate 30 percent of its total electricity needs.

“MIGA is delighted to work with ICIEC to support a major agricultural firm and employer in the West Bank,” said Hiroshi Matano, Executive Vice President of MIGA. “Fortunately, this partnership was made possible as the West Bank and Gaza Trust Fund allows MIGA to administer funds to cover local investments in these economies, which could be a model for future work in other regions.”

Because the West Bank and Gaza is not a member of the World Bank or MIGA, the WBGTF was established in 1997 to encourage private sector investment and economic development in this economy, one that has long been affected by fragility, conflict, and violence. The fund allows MIGA to offer political risk insurance to both local and foreign investors, and MIGA administers the fund on behalf of its sponsors, the government of Japan and the Palestinian Authority. However, Palestine is a member of ICIEC.

Over more than two decades, the trust fund has stimulated private business activity and attracted both foreign and local private investment to multiple sectors in both the West Bank and Gaza in Palestine, including manufacturing, agribusiness, and infrastructure projects. Since 2013, projects supported by the trust fund have supported 813 local jobs, 151 of them for women, and have driven $8.27 million in domestic purchases and more than $700,000 in government payments.

A vibrant and resilient private sector is critical to development, increased prosperity, and poverty elimination even in fragile and conflict-affected situations, so risk mitigation tools like those provided by MIGA – which can enable private investment that otherwise wouldn’t occur – are vital in these challenging contexts.

Jeddah, KSA

The Islamic Corporation for the Insurance of Investment and Export Credit (ICIEC), the Shariah-compliant multilateral insurer and member of the Islamic Development Bank (IsDB) Group, is pleased to announce the signing of additional €36 million uplift to the existing €146 million Non-Honouring Sovereign Financial Obligation (NHSFO) Insurance Policy with Standard Chartered Bank (UK) Ltd, Standard Chartered Bank (Hong Kong) Ltd and Société Générale. This  provides comprehensive coverage to the financiers regarding the non-payment risks of the Republic of Uganda for the funding of infrastructure projects under the Development and Infrastructure Budget 2022 of Uganda.

The signing ceremony was held at the Ritz Carlton Hotel in Jeddah, Saudi Arabia, on the sideline of the IsDB Group Annual Meeting, by Mr. Oussama Kaissi, CEO of ICIEC, Mr. Sujithav Sarangi, Executive Director, Structured Export Finance, Standard Chartered bank; and Mr. Yves Jacob, Managing Director and Head of Public Sector Finance, Société Générale.

ICIEC’s intervention enabled the additional investment of €36 million by Standard Chartered Bank (Hong Kong) to finance government projects in several sectors. The NHSFO Insurance Policy of ICIEC provides comprehensive coverage to financiers regarding the non-payment risks of sovereign obligors. The €36 million is a top-up under the accordion mechanism of the Islamic financing of €146 million advanced to the Ministry of Finance, Planning and Economic Development of Uganda related to several projects covering agriculture, climate action, education, healthcare, power infrastructure, transportation and water infrastructure. The programme is designed with  a streamlined impact reporting requirement for mapping the programme outcomes to the targeted intervention. This initiative enhances country project ownership and flexibility of intervention without compromising the impact reporting criteria set by the banks and ICIEC. The project is being financed by Standard Chartered Bank (Hong Kong) and Société Générale (as Participants) with Standard Chartered Bank UK (as Agent) in Murabaha format.

Dubai, UAE - Aman Union, the professional forum for commercial and non-commercial risks insurers and reinsurers in the member countries of the Organization of the Islamic Cooperation (OIC), is set to host its 13th Annual General Meeting from May 29 to 31^st, 2023 in Dubai, UAE.

This year's event will focus on the most pressing issues faced by the OIC member countries, including food security, climate change, and the impact of digitalization on trade and investment. The three-day event will bring together some of the most eminent personalities in the export credit insurance and reinsurance industry, insurance brokers, banks, and institutions involved in trade and investment activities.

Mr. Oussama KAISSI, the Secretary-General of Aman Union and CEO of ICIEC, commented, "The Aman Union annual meeting is a critical platform for the Union members and participants to discuss pressing issues that affect our industry and the OIC member countries. The event will be a good opportunity to highlight the climate change policies, especially with the UAE hosting COP 28 and the role of the OIC Business Intelligence Center (OBIC) in supporting trade and investment in OIC member countries. We are excited to gather again physically this year after three years of virtual meetings due to the pandemic and to engage in fruitful discussions to propose collectively innovative ideas to tackle the current challenges."

The event will feature discussions around the role of multilateral institutions such as ITFC, FAO, and IOFS in addressing the impact of the geopolitical environment on OIC member countries regarding food security, the impact of digitalization on trade and investment, and the role of the UAE in boosting climate change. Other discussion topics will include digital transformation in support of trade and investment, innovations in sustainable credit insurance, and mitigating risks in Africa, exploring credit insurance challenges and opportunities.

The event is poised to deliver expected results, including the illustration of the main developments in Fintech as a catalyst to support trade and investment, highlighting the OBIC and how it can foster trade and investment in the OIC member countries. Further, the event will explore innovative approaches to sustainable credit insurance and mitigate risks in Africa.

For more information about the event, please get in touch with the AMAN Union Secretariat at secretariat@amanunion.net or visit their website at www.amanunion.net.

Jeddah, KSA

The Islamic Corporation for the Insurance of Investment and Export Credit (ICIEC), the Shariah-compliant multilateral insurer and member of the Islamic Development Bank (IsDB) Group, today signed a landmark MoU with Fonds Africain de Garantie et de Coopération Economique (FAGACE) – the African Guarantee and Economic Cooperation Fund.

The MoU was signed by Mr. Oussama Kaissi, CEO of ICIEC, and Mr. Mouhamadou Al Amine DIA, Director of Risk Management, FAGACE on the sidelines of the 2023 IsDB Annual Meetings on 10-13 May 2023 at the Ritz-Carlton Hotel in Jeddah, Saudi Arabia. 

This MoU aims to facilitate the cooperation between ICIEC and FAGACE, with a view to increasing the foreign and domestic direct investments towards member countries common to both institutions. This will be attained through the establishment of mechanisms guaranteeing risks related to investment, financing of banking institutions and regional and sub-regional SMEs. It is also expected to facilitate  international trade transactions involving banks of member countries. FAGACE is a pioneer in the field of bank guarantees. It is a pan-African institution established on 10 February 1977 and based in Benin. It has 14 member states, almost all of which are also member countries of the IsDB and ICIEC. Since inception, according to Director General Ngueto Yambaye, FAGACE has issued bank guarantees totalling CFA3,000 billion (US$4.9 billion) in support of trade and investment flows for transactions and projects in member states.

Jeddah, KSA

The Islamic Corporation for the Insurance of Investment and Export Credit (ICIEC), the Shariah-compliant multilateral insurer and member of the Islamic Development Bank (IsDB) Group, today signed an comprehensive non-payment insurance contractywith the Islamic Corporation for the Development of the Private Sector (ICD), the private sector funding arm of the IsDB Group, whereby ICIEC will provide credit insurance cover through its Bank Master Policy (BMP) to ICD clients to cover the non-payment risk of trade-based obligors in IsDB Group member states.

The BMP was signed by Mr. Oussama Kaissi, CEO of ICIEC, and Eng. Hani Salem Sonbol, Acting CEO of ICD, under the aegis of the IsDB Group Private Sector Forum themed ‘Partnerships to Fend Off Crises’ at the 48^th Annual Meetings of the Board of Governors of the IsDB on 10-13 May 2023 at the Ritz-Carlton Hotel in Jeddah, Saudi Arabia. 

At the signing of this BMP, ICIEC and ICD also concluded the first policy approval under the BMP of €10 million to cover ICD’s financing to Banque Malienne de Solidarite (Mali) under a Wakala structure wrapped with 12 months Murabaha facility. The BMP is a general framework agreement which will be governing the partnership between ICD and ICIEC in the coming years.