IDB announces creation of private sector agency

The Jeddah-based Islamic Development Bank (IDB) announced in Rabat on Monday that it will open shortly an agency to deal with the private sectors.

IDB president, Ahmed Mohamed Ali, told a press conference, held in commemoration of the bank's 25th anniversary, the agreement creating the agency will be adopted in 2 months. He explained that the bank which used to deal exclusively with states will now involve the private sector to adapt to requirements of world globalization.

To a question on obstacles facing the bank actions, he regretted that in cases of internal political events and natural catastrophes, the bank is sometimes unable to meet requests of member countries. He added that the proposal to set up a fund to alleviate indebtedness of member countries is outside the bank competence.

The IDB was set up in 1973 by the finance ministers conference of Muslim countries. Officially opened in 1975, it musters presently 54 member states. Endowed with a capital of $ 5.6 billion, its action includes capital participation in projects and companies, loan extension and financial assistance to member countries and Islamic communities in nonmember countries.