The International Islamic Trade Finance Corporation (ITFC), the trade finance arm of the Islamic Development Bank (IsDB) Group, has signed a US $44M trade finance agreement with the Union of Comoros to strengthen the country’s energy sector.
This agreement is part of a broader US $330M three-year Framework Agreement signed in September 2024. The new facility will support the Société Comorienne d’Hydrocarbures (SCH) in importing refined petroleum products and liquefied petroleum gas (LPG), ensuring a consistent and reliable energy supply for both households and businesses.
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Meeting energy needs
The agreement was formalized by H.E. Ibrahim Mohamed Abdourazak, Minister of Finance, Budget, and Banking Sector of Comoros, and Abdihamid Abu, General Manager of Trade Finance at ITFC. The ITFC emphasized that the financing is a critical step toward securing the nation’s energy needs, enhancing economic resilience, and promoting social stability. The facility is expected to cover up to 100% of Comoros’ annual petroleum import requirement, estimated at 100,000 cubic meters.
Speaking on the occasion, Abdihamid Abu reiterated ITFC’s commitment to supporting Comoros’ development: “This financing reflects our ongoing partnership with Comoros. By ensuring a reliable energy supply, we help safeguard key sectors, stimulate economic growth, and support the country’s broader development goals.”
Since 2008, ITFC has provided a total of US $657M in trade financing to Comoros, with SCH serving as the executing agency in 26 operations. This latest agreement further deepens ITFC’s partnership with the country and contributes directly to several Sustainable Development Goals (SDGs), including affordable and clean energy (SDG 7), industry and infrastructure development (SDG 9), and economic growth and stability (SDG 8).
