The Islamic Development Bank (IDB) has approved $450 million loan to Burkina Faso as part of the 2017-2019 cooperation agreement framework, APA learned Thursday from the ministry of Economy and Finance.Through this framework agreement, the International Islamic Trade Finance Corporation (ITFC), a subsidiary of the IDB Group, undertakes to make available to Burkina Faso, over a three-year period, a financial envelope worth $150 million per year.
This funding is an illustration of the commitment made by the IDB last December in Paris during the conference of the partners of Burkina Faso for the financing of the National Economic and Social Development Plan (PNDES). The Islamic Bank promised to contribute 1.915 billion dollar to the plan.
This framework agreement will paved the way for a strategic partnership between Burkina Faso and the ITFC to finance trade.
The areas covered by this program include agricultural products, including cotton, imports of basic energy products such as crude oil and refined petroleum products, imports of agricultural inputs and food as well as the financing to local banks with the view of supporting small and medium-sized enterprises (SMEs).