By Ayomide Otitoju
The International Islamic Trade Finance Corporation (ITFC), a member of the Islamic Development Bank (IsDB) Group, has signed a US$90 million syndicated facility in support of the Republic of Djibouti, with the Société Internationale des Hydrocarbures de Djibouti (SIHD) as the executing agency.
The agreement was signed by Mr. Nazeem Noordali, Chief Operating Officer of ITFC, and H.E. Ilyas Moussa Dawaleh, Minister of Economy & Finance. The facility aims to strengthen Djibouti’s energy security by enabling SIHD to procure refined petroleum products critical for electricity generation and economic growth across sectors. The initiative also promotes intra-OIC trade by sourcing petroleum primarily from OIC member countries and supports the UN Sustainable Development Goal 7 on affordable and reliable energy.
Commenting on the facility, Mr. Noordali said, “Djibouti’s economic potential is closely tied to the strength of its energy sector. This facility reinforces ITFC’s commitment to supporting sustainable growth and bolstering SIHD’s ability to secure the country’s oil supply. We remain dedicated to advancing Djibouti’s economic development by channeling funding where it creates the greatest impact.”
Since 2008, ITFC has provided US$1.7 billion to Djibouti, focusing on SIHD and the country’s energy sector. The new facility aligns with a US$600 million three-year Framework Agreement signed between ITFC and the Government of Djibouti in May 2023, reflecting the Corporation’s long-term commitment to Djibouti’s economic and social development.
