Jeddah, Kingdom of Saudi Arabia, 30 January 2024 – The Islamic Development Bank (IsDB) and the Ministry of Economy of the Republic of Azerbaijan signed a Memorandum of Understanding (MoU) today, establishing a collaborative framework for the Country Engagement Framework (CEF) for Azerbaijan during 2024-2026.

During the virtual signing ceremony, IsDB President and Group Chairman, H.E. Dr. Muhammad Al Jasser, and Azerbaijan’s Minister of Economy H.E Mr. Mikayil Jabbarov, signed the Memorandum of Understanding (MoU) outlining the new Country Engagement Framework (CEF) over the next three years.

The framework is designed to align with Azerbaijan's socio-economic development priorities and the strategic objectives of the IsDB, fostering sustainable and impactful development in the region.

The CEF will target projects and programs with high-impact intervention in areas that align with Azerbaijan 2030: National Priorities of Socio-Economic Development and the operational strengths of the Bank in line with the strategic priorities set under the Bank’s Strategic Realignment 2023-2025. It also aims to boost cooperation between the IsDB Group and Azerbaijan, expand the potential areas of collaboration, and strengthen the Bank’s support in enhancing socio-economic development in the country.

TheIsDB CEF for Azerbaijan will be based on three main pillars namely, i) Green, resilient, and sustainable infrastructure development, including support for Karabakh reconstruction, renewable energy, regional connectivity, and sustainable production of hydrocarbon resources; ii) Supporting productivity-based growth in a competitive and diversified economy, encompassing private sector development, exports, and innovation in agriculture, as well as the Halal ecosystem, and iii) Cross-cutting areas such as digital transformation, Islamic finance, regional and south-south cooperation, and capacity development.

The MoU stipulates that both parties will take appropriate measures to ensure full collaboration and cooperation. This includes exchanging information, consulting each other, and identifying and implementing specific activities, projects, or programs within the CEF.

At the signing ceremony, the IsDB President's expressed gratitude to the Government of Azerbaijan for its continued partnership and cooperation. The Country Engagement Framework is seen as an innovative approach to enhance IsDB's impact and engagement in its member countries. Dr. Al Jasser congratulated Azerbaijan for the impressive economic performance and for its selection to host the COP29 meetings this year and expressed the Bank’s support to the country in these endeavors and in implementing the CEF over the next three years.

About Islamic Development Bank (IsDB) Group

Rated AAA by the major rating agencies of the world, the Islamic Development Bank is the pioneering multilateral development bank of the Global South that has been working for nearly 50 years to improve the lives of the communities it serves by delivering impact at scale. The Bank brings together 57 Member Countries across four continents, touching the lives of nearly 1 in 5 of the world population. Its mission is to equip people to drive their own economic and social progress at scale, putting the infrastructure in place enabling them to fulfil their potential. Headquartered in Jeddah, Kingdom of Saudi Arabia, IsDB has regional hubs and a center of excellence in 11 of its Member Countries.  Over the years, the Bank has evolved from a single entity into a group comprising five entities: Islamic Development Bank (IsDB), the Islamic Development Bank Institute (IsDBI) tasked with research and training, the Islamic Corporation for the Insurance of Investment and Export Credit (ICIEC), the Islamic Corporation for the Development of the Private Sector (ICD), and the International Islamic Trade Finance Corporation (ITFC).