Jeddah / New York, 18 October 2021 – Islamic Development Bank (IsDB) President and Chairman of IsDB Group, H.E. Dr. Muhammad Al Jasser, says the AAA rated South-South multilateral development institution has committed itself to supporting a green and sustainable COVID-19 recovery in its 57 member countries.
Dr. Al Jasser made the remarks, on Monday, 18 October 2021, while addressing the ‘Annual Conference: 2021 Global SME Finance Forum’ held under the theme: Greening SME Finance: Toward a More Sustainable and Resilient Future.
During his address, Dr. Muhammad Al Jasser elaborated how the IsDB Group has committed to helping its member countries meet their climate change objectives by increasing its financing towards low greenhouse gas emissions and climate-resilient development projects.
As per its 2020-2025 Climate Action Plan, the Bank has set a climate funding objective of 35% of overall financial commitments by 2025. This objective is assertive of IsDB's commitment to its member countries' long-term vision of low-carbon and climate-resilient development. It also corresponds with Sustainable Development Goal (SDG) 7, which aims to provide universal access to renewable energy sources.
“The Islamic Development Bank Group is working with its peer MDBs to ensure that climate action and green finance are expanded in its operations in alignment with the Paris Agreement,’’ IsDB Group Chairman affirmed.
Furthermore, he demonstrated various examples of how IsDB is playing its role in green financing noting that the Bank has bankrolled to a tune of EUR 1.0 Million to TRINE, a Sweden-based crowdfunding platform specialized in off-grid solar in Sub-Saharan Africa and South Asia. The initiative intends to offer renewable energy to 66 million people in rural areas as well to small business enterprises by 2022. The funding was limited to initiatives that benefited users residing in IsDB member countries.
Elsewhere in his remarks, the IsDB Group chairman further addressed the impacts of COVID-19 pandemic on IsDB’s environmental sustainability efforts. “The COVID-19 pandemic has led to the acknowledgment that global challenges require global action for building resilient systems. Climate change is one of these major challenges that can lead to even more extensive and irreversible environmental and economic damage,’’ he added.
The four-day high profile online and in-person forum (18-21st October 2021) brought together global thought leaders, leading experts. Global climate finance advocates, and practitioners in the field of SME finance to share their visions, insights and experiences in promoting green financing for SMEs.