The Islamic Cooperation for the Development of the Private Sector (ICD), the private sector arm of the Islamic Development Bank Group (IDB), has signed a Strategic Partnership Agreement (SPA) with Lembaga Pembiayaan Ekspor Indonesia (Indonesia Eximbank), to jointly explore investment opportunities in Indonesia and other IDB member countries, a press statement announced. This SPA was signed by Khalid Al-Aboodi, CEO of ICD, and I Made Gde Erata, CEO of Indonesia Eximbank during the launch of the IDB Group Member Country Partnership Strategy in Jakarta, Indonesia, last week. Both parties agreed to undertake joint strategic collaboration in the co-financing of selected Indonesian projects. This will also allow for the private sector in Indonesia to expand into emerging markets, especially to other OIC countries The signing ceremony was witnessed by the President of IDB Group, Minister of Finance, Minister of Development Planning, and Coordinating Minister for Economic Affairs of Indonesia. Present at the signing ceremony were the senior representatives of both ICD and Indonesia Eximbank. Indonesia Eximbank is a special financial institution established and owned by Indonesia. Khalid Al-Aboodi remarked that this SPA strengthens the relationship between ICD and its key member country, Indonesia. It also provides a good platform for both parties to initiate more investment activities within Indonesia, OIC member countries and beyond. He also remarked that ICD looks forward to cooperate in creating value in a significant way. He further added that the IDB group and Indonesian businessmen could further capitalize on their respective comparative advantages, thereby strengthening the link between Indonesia and other OIC member countries. The ICD is a multilateral organization, established in November 1999 to promote economic development of its member countries in accordance with the principles of Sharia law through private sector development. The ICD “encourages the establishment, expansion and modernization of private enterprises through financing private sector enterprises or projects” the statement explained. Projects are selected on the basis of their contribution to economic development considering factors such as creation of employment opportunities and contribution to exports. ICD “also provides advice to governments and private sector groups on policies to encourage the establishment, expansion and modernization of private enterprises, development of capital markets, best management practices and enhance the role of market economy”.
