Comoros Secures €40M Energy Deal with ITFC to Boost Economic Stability

Since 2008, ITFC has extended a cumulative total of US$657 million in trade financing to the Union of Comoros, supporting 26 operations carried out by SCH.

The Union of Comoros has taken a significant step toward bolstering its energy security and economic resilience through a newly signed €40 million trade finance agreement with the International Islamic Trade Finance Corporation (ITFC), the trade finance arm of the Islamic Development Bank (IsDB) Group. This critical deal aims to support the importation of essential refined petroleum products and liquefied petroleum gas (LPG), providing a reliable energy supply to fuel the country’s development and ensure stability.

A Strategic Energy Investment Under Framework Agreement

This financing agreement is part of a broader, US$330 million three-year Framework Agreement signed between ITFC and the Union of Comoros in September 2024. Under the terms of this new facility, the Société Comorienne d’Hydrocarbures (SCH) will act as the executing agency responsible for importing the much-needed petroleum products. This strategic move is designed to meet up to 100 percent of Comoros’ annual estimated energy import needs—approximately 100,000 cubic meters of petroleum.

By doing so, Comoros ensures a continuous energy flow that is vital for the functioning of businesses, public services, and households across the island nation.

High-Level Signing Ceremony

The agreement was officially signed by H.E. Ibrahim Mohamed Abdourazak, Minister of Finance, Budget, and Banking Sector of the Union of Comoros, and Mr. Abdihamid Abu, General Manager of Trade Finance at ITFC. The signing reflects the continued strategic partnership between ITFC and Comoros, which has grown significantly over the past 15 years.

Reinforcing a Longstanding Partnership

Commenting on the deal, Mr. Abdihamid Abu expressed ITFC’s enduring commitment to Comoros’ development goals:

“This financing reaffirms ITFC’s long-standing commitment to Comoros. By ensuring a stable energy supply, we are not only safeguarding essential services and industries but also driving broader economic growth, fostering resilience, and supporting the nation’s long-term development agenda.”

Since 2008, ITFC has extended a cumulative total of US$657 million in trade financing to the Union of Comoros, supporting 26 operations carried out by SCH. These interventions have played a key role in securing vital energy resources for the country, especially in times of global supply volatility and rising energy prices.

Supporting the UN Sustainable Development Goals

This agreement is closely aligned with several of the United Nations Sustainable Development Goals (SDGs), particularly:

• SDG 7 – Ensuring access to affordable, reliable, and modern energy for all
• SDG 8 – Promoting sustained, inclusive, and sustainable economic growth and decent work
• SDG 9 – Building resilient infrastructure and promoting inclusive and sustainable industrialization

Energy security is the backbone of industrial and economic activity, and with this financing, Comoros is better equipped to meet growing energy demand, minimize supply disruptions, and strengthen its economic foundations.

Looking Ahead: Resilience and Growth

The ITFC continues to play a crucial role across its member countries by enabling access to trade finance and supporting critical sectors such as energy, agriculture, and manufacturing. Through its interventions in Comoros, ITFC is not only delivering financial support but also contributing to the broader goal of enhancing the nation's self-sufficiency, protecting jobs, and improving the quality of life for its people.

As Comoros works toward its national development priorities, this latest financing deal symbolizes more than just a financial transaction—it is a renewed promise of partnership, progress, and prosperity for the island nation.