The International Islamic Trade Finance Corporation (ITFC) Signs EUR 40 Million Trade Finance Agreement to Strengthen Comoros’ Energy Security

The agreement underscores ITFC’s commitment to ensuring a reliable energy supply and fostering economic stability in Comoros

The International Islamic Trade Finance Corporation (ITFC) (www.ITFC-IDB.org), the trade finance arm of the Islamic Development Bank (IsDB) Group, signed a EUR 40 million trade finance agreement with the Union of Comoros to support the country’s energy sector. In line with the US$330 million three-year Framework Agreement signed in September 2024, this facility will enable Société Comorienne d’Hydrocarbures (SCH), as the executing agency, to import refined petroleum products and liquefied petroleum gas (LPG), ensuring a steady and reliable energy supply for businesses and households.

This financing is a crucial step in maintaining energy security, economic resilience, and social stability in the country by providing up to 100 percent of the country’s estimated 100,000 cubic meters of annual petroleum imports requirement.

The agreement was signed by H.E. Ibrahim Mohamed Abdourazak, Minister of Finance, Budget, and Banking Sector of the Union of Comoros, and Abdihamid Abu, General Manager, Trade Finance, ITFC.

This financing reaffirms ITFC’s long-standing commitment to Comoros

Commenting on the signing, Abdihamid Abu, stated: “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 total of US$657 million in financing to the Union of Comoros, with SCH serving as the executing agency in 26 trade finance operations. This latest agreement builds on that strong track record, further reinforcing ITFC’s strategic partnership with Comoros while supporting energy security (SDG 7), industrial growth (SDG 9), and economic stability (SDG 8).

As part of its broader mission, ITFC remains dedicated to enhancing trade finance accessibility and strengthening economic resilience, in its member countries. By securing critical imports such as petroleum products, ITFC ensures that Comoros can sustain its economic momentum, protect jobs, and enhance the quality of life for its citizens.