Jeddah: The Islamic Corporation for the Insurance of Investment and Export Credit (ICIEC) and the International Islamic Trade Finance Corporation (ITFC), both part of the Islamic Development Bank Group, have entered into a partnership by signing a letter of credit insurance policy. This agreement is aimed at managing and mitigating risks linked with documentary credit transactions, especially those involving Shariah-compliant goods and services in member countries of the Organization of Islamic Cooperation (OIC) and beyond.

According to Saudi Press Agency, the policy offers critical coverage for ITFC transactions, boosting trade confidence and facilitating smooth financial operations on a global scale. It is particularly advantageous for transactions involving Shariah-compliant products and services, which could significantly impact the economic framework of member countries.

On this occasion, ICIEC CEO Dr. Khalid Khalafalla expressed that the policy underscores their commitment to fostering cooperation with institutions within the Islamic Development Bank Group. Through the policy, the aim is to enable ITFC to effectively manage risks tied to documentary credit transactions and to unify efforts in promoting smooth and reliable trade flows between Shariah-compliant markets, ultimately benefiting all member countries.