Saudi Gazette report

JEDDAH — Islamic Development Bank (IsDB) and the International Fund for Agricultural Development (IFAD) signed virtually on Wednesday a cooperation and co-financing agreement aimed at tackling climate change, improving food and water security and other strategic priorities in common member countries.

The agreement was signed virtually by IsDB President Dr. Bandar Hajjar and the President of IFAD Gilbert F. Houngbo, the Saudi Press Agency reported on Thursday.

As part of the agreement, each of the two institutions will contribute $250 million over the next five years (2021-2025) to achieve these goals.

Commenting on the agreement, Dr. Hajjar said: "The renewal of our partnership comes at a time when the world is facing unprecedented socio-economic challenges caused by the COVID-19 pandemic. Food and water security are strategic priorities for IsDB member countries, most of which are in arid and semi-arid areas. Demographic growth and climate change are increasing the pressure on these vital resources."

He added that this partnership will allow us to co-create financing and investment programs that will address these challenges but also help member countries tap into emerging global value chain opportunities to build resilience and create wealth in the post-COVID-19 world.

The agreement signed by IsDB and IFAD would explore working in several areas such as agricultural and rural development, agribusiness, value chains development, improved access to markets and rural financial services, improved access to employment opportunities, and South-South and triangular cooperation.