Authorizations

• ITFC will purchase the commodities from the supplier and then sell them to the beneficiary with a deferred payment arrangement
• The difference between the purchase price and the sale price is a reasonable markup added to the purchase price

• Shariah-compliant trade finance for both public and private sector entities in Member Countries and beyond, with a particular focus on intra-OIC trade transactions
• Eligibility:
• Corporate/non-financial institution: Operating for at least 3 years, corporation or LLC, total equity of at least USD 15 million, no continuous net losses for 3 years
• Financial institution: Operating for at least 3 years
• Goods may not be non-Shariah compliant, used for military purposes, radioactive, or deemed illegal or in violation of intellectual property
• Tenor: Up to 12 months
• Currency: USD or EUR
• Acceptable security is required

• Open to public and private sector beneficiaries who are exporting their goods to the OIC Member Countries

• The main security needed is a current asset, either a commodity stored in a warehouse, a receivable in a secured collection or escrow account, or a combination of both
• Banks will retain the title of goods until repayment

• FX: Providing/accepting competitive Shariah compliant FX prices
• Money market
• Capital markets
• Repo (collateralized commodity Murabaha)
• Derivatives:
• Profit rate swap
• Cross-currency swap
• Shariah-compliant structured products
• Shariah-compliant options

• Financial institutions and syndications
• Trade Development Fund: Waqf-based development fund model in MDBs that was created to build-up and provide charitable resources for funding trade-related initiatives and interventions
• Flagship programs include:
• Arab Africa Trade Bridges Program
• Aid for Trade Initiative for the Arab States (AfTIAS) Program
• West Africa SMEs program
• Export Launchpad Program
• Technical assistance including Islamic trade finance workshops and trainings and other capacity-building programs

• All of ITFC’s products and services are Shariah-compliant

• 2024: ITFC tops Bloomberg’s 2023 Global Islamic Syndication Financing league tables

• 2023: TDB and ITFC sign an MOU to promote trade between common member states in Africa