The International Islamic Trade Finance Corporation and the Trade and Development Bank Group have entered into an enhanced framework agreement in Abuja to expand an existing Murabaha trade finance facility by an additional $100m, with ambitions to grow the facility further to $200m. Both organisations emphasized that the enlarged funding package is designed to bolster trade operations across member nations by supporting the import and export of key commodities and improving liquidity for priority sectors that are essential to regional economies.
The agreement was formalized during the fifth Arab Africa Trade Bridges Programme Board of Governors Meeting in Abuja, where delegates centred discussions on driving trade, investment, insurance, and infrastructure to strengthen cooperation between regions. This increased facility builds on more than $800m in TDB’s participation in ITFC-led syndicated transactions, marking a deepening partnership expected to advance through 2026 and into future years.
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According to officials, the upgraded facility will back both public and private-sector transactions in countries where both institutions have shared development objectives. The financing is projected to improve access to working capital, enhance trade competitiveness, and reinforce the resilience of commodity supply chains across member states within Africa and the broader OIC region. ITFC leaders described the partnership as a demonstration of how coordinated trade financing can boost commercial activity and support economic expansion. Executives from the TDB Group echoed this viewpoint, noting that the strengthened collaboration is crucial for securing vital commodities and enhancing regional trade connectivity.
As the collaboration grows, it reflects a broader commitment to regional economic integration and private-sector advancement across African markets. For MSMEs involved in cross-border trade and commodity value chains, improved liquidity could mean better access to trade financing and expanded opportunities for growth across borders.
