The International Islamic Trade Finance Corporation (ITFC), a member of the Islamic Development Bank (IDB) Group, has inked a 5-year Framework Agreement with the government of Gambia to provide up to US $50 million to the country on an annual basis.
Minister of Finance and Economic Affairs, Mambury Njie signed the agreement and said the deal is part of the corporation’s ongoing efforts to combat the economic repercussions from Covid-19 and strengthen key economic sectors in member countries.
This US $250 million framework agreement will provide pre-export financing for major cash crops such as groundnuts and cashew nuts, the main agricultural produce in a sector that is a major employer of the country’s workforce.
National development goals
The agreement will also facilitate import of essential agriculture inputs such as fertilizer. In the energy sector, the financing will enable imports of key commodities such as refined petroleum, which is crucial to generate electricity in the country.
Other sectors that will benefit from the five-year framework agreement include the healthcare sector through the import of medicines and health equipment, and the private sector through financing facilities to local banks and financial institutions aimed at boosting local SMEs. Technical assistance for trade development aimed at building capacity and promoting information exchange and knowledge dissemination will also be covered in the agreement.
Minister Njie highlighted that the framework agreement would support national development goals to drive economic diversification and job creation across key growth sectors, while facilitating trade and investment flows within the country, as well as globally through the country’s participation in agriculture value chains.
