ICIEC Backs USD300 Million Syndicated Facility to Boost Egypt’s Food Security and Support its SDGs Agenda

In a landmark strategic transaction aligned with its development mandate, ICIEC was approached by a few banks participating in the International Islamic Trade Finance Corporation (ITFC) syndication to provide a Bank Master Policy (BMP) coverage of up to USD300 million. This policy will cover the participating banks in a USD500 million Murabaha Syndicated Facility, with ITFC acting as Mudharib (the facility manager).

The facility is structured on a best-efforts basis by a consortium of leading financial institutions to finance the procurement of essential food commodities for Egypt’s General Authority for Supply Commodities (GASC). ICIEC’s risk coverage plays a pivotal role in mitigating the nonpayment risk associated with this transaction, thereby strengthening the financing framework’s resilience.

This operation represents a significant contribution by ICIEC to the IsDB Group’s Food Security Response Programme (FSRP), highlighting the Group’s collective efforts to enhance food system resilience in member states. By facilitating Egypt’s sustained access to vital food imports, ICIEC supports the broader Group’s mandate to safeguard food availability and affordability amid global supply uncertainties.

Moreover, this intervention demonstrates a strong alignment with key Sustainable Development Goals (SDGs). It notably advances SDG 2: Zero Hunger by ensuring a stable supply of basic food commodities essential for national food security. Simultaneously, it supports SDG 17: Partnerships for the Goals by reinforcing multilateral financial cooperation and South-South collaboration while deepening bilateral economic ties among member states, including Egypt and Kuwait.

ICIEC’s participation in this syndicated facility not only de-risks a critical trade-based financing arrangement but also exemplifies the power of public-private partnership in delivering sustainable development outcomes. Through innovative risk mitigation solutions, ICIEC continues to support trade flows that contribute to socio-economic stability and prosperity in its member states.