ITFC Report Emphasizes Sustainable Trade and Economic Growth Across OIC Member Countries

ITFC remains dedicated to expanding its impact on underserved communities, advancing diversification efforts, integrating ESG principles into operations, and scaling up its influence in the private sector.

The International Islamic Trade Finance Corporation (ITFC), a vital member of the Islamic Development Bank (IsDB) Group, has unveiled its 2023 Annual Development Effectiveness Report (ADER) titled "Sustainable Trade Horizons." This report underscores ITFC's pivotal role in promoting economic growth, regional integration, and sustainable development among its member countries within the Organization of Islamic Cooperation (OIC).

Despite navigating global challenges such as economic disruptions and climate change impacts in 2023, ITFC showcased resilience and adaptability through strategic trade financing and development initiatives. These efforts significantly bolstered socioeconomic stability across OIC regions, focusing on sustainable growth and fostering resilience.

Eng. Hani Salem Sonbol, CEO of ITFC, commented on the outcomes of 2023, stating, "Despite challenges, ITFC delivered remarkable results, as highlighted in our ADER report. Our initiatives and partnerships have had a profound impact on local and regional economies within our member countries. These achievements not only reflect our successful journey but also reinforce our commitment to enhancing effectiveness in delivering value to OIC member countries in the years ahead."

Key Highlights from the 2023 ADER:

Trade Finance Leadership:

ITFC disbursed US$6 billion in trade finance, expanding support to diverse sectors beyond traditional areas.

A record US$2.5 billion was directed to Least Developed Countries (LDCs), constituting 42% of ITFC's portfolio.

Sustainable Development Initiatives:

Addressing food security, ITFC disbursed US$1.5 billion, benefiting approximately 28 million households with access to affordable and safe food.

Energy financing worth US$3.4 billion supported reliable power supply, impacting around 12 million households.

Support to Agriculture:

US$155 million in pre-export finance facilitated timely payments to over 480,000 farmers, stabilizing incomes and promoting agricultural exports.

Empowerment of SMEs and Private Sector:

ITFC empowered 297 SMEs and corporates through 23 partner banks, enhancing financial inclusion and promoting Islamic finance literacy.

Regional Integration and Trade Facilitation:

ITFC extended US$4.6 billion to finance intra-OIC trade, fostering regional supply chains through initiatives like the Arab Africa Trade Bridges Program.

Commitment to ESG Leadership:

The 2023 ADER underscores ITFC's commitment to Environmental, Social, and Governance (ESG) leadership, with initiatives like a climate change policy and a Ten-Year Action Plan.

Contributions to Sustainable Development Goals (SDGs):

ITFC's efforts in trade finance contributed significantly to SDGs such as No Poverty, Zero Hunger, Affordable and Clean Energy, and Partnerships for the Goals.

Looking Ahead:

ITFC remains dedicated to expanding its impact on underserved communities, advancing diversification efforts, integrating ESG principles into operations, and scaling up its influence in the private sector.

The corporation aims to continue shaping the future of trade finance, contributing to a prosperous and sustainable global economy.

Access the full ITFC 2023 ADER report here to delve deeper into the comprehensive impact and insights from ITFC's initiatives in 2023.