Jeddah, Kingdom of Saudi Arabia, 12 March, 2016: Leading global experts have stated that Islamic finance would provide a key solution against fragility in Islamic Development Bank’s (IDB) member countries and beyond. The experts stated this during a high level meeting at the headquarters of IDB in Jeddah, Kingdom of Saudi Arabia, under the umbrella of IDB President’s Advisory Panel (PAP).
PAP is an advisory body of global experts who work with the IDB President to provide independent advice on the overall strategy of the IDB, as well as give input into the policy direction of the Bank for the benefit of member countries. The theme for the panel this year is “Digital Development for Resilience.”
According to the IDB President, Dr. Ahmad Mohamed Ali in his opening remarks of the PAP today, IDB is interested in creating awareness on the potential role of Islamic finance for fragile communities.
“Fragility threatens human development. We therefore have to find innovative means to address fragility by increasing levels of resilience in our communities,’ Dr. Ahmad Ali stated. “Our member countries are in a real danger of being left behind. Currently 24 of the 50 most fragile countries are OIC member countries.” He concluded.
During his remarks, former President of Turkey, Dr. Abdullah Gul commended IDB in its effort to use Islamic Finance to address the challenges outlined in the Sustainable Development Goals (SDGs) which includes fragility. He suggested that IDB can help member countries to achieve digital development by sharing experiences and providing financing. Dr. Gul cited the example of a good practice from the Republic of Turkey where the use of e-government (i.e. e-visa services) served 30 million
visitors within three years.
Dr. Abdullah Gul added that we have not fully exploited the industrial revolution, but we can still take advantage of the digital wave.
In his intervention during the panel discussion, Nobel Laureate, Professor Muhammad Yunus stated that the leading technology firms in the world are using technology for profit making. Therefore IDB should work with member countries to use digital technology and Islamic micro-finance as a social driver, so that people will create jobs by themselves.
Professor Abbas Mirakhor, former Executive Director and Dean of the Executive Board of International Monetary Fund (IMF), encouraged IDB to work with member countries by addressing fragility through a policy framework that will integrate Islamic finance in national budgets.
On his part, Dr. Jobarah Al-Suraisry, former KSA Minister of Transportation called for the establishment of a “Digital Fund” in order to address the imbalance between the developed and developing countries.
In her contribution, Madam Bintou Sanogoh, former Minister of Finance of Burkina Faso stated that digital development can help low income countries to become middle income if we can improve connectivity.
The members of the President’s Advisory Panel who attended the event today are:
1. H. E. Dr. Abdullah Gul: the immediate past President of Turkey, former Prime Minister, Deputy Prime Minister, and one time Foreign Minister of the Turkish Republic.
2. H. E. Dr Jobarah Al-Suraisry: Former Saudi Arabia’s Minister of Transportation, former Vice Minister of Finance & Economy.
3. H. E. Madam Aïcha Bah Diallo: Was former Minister of Education in Guinea-Conakry, and was a Chair of the Network Education for All in Africa. She is an advisor to the Director General of UNESCO, and a member of IDB women Advisory Panel.
4. H. E. Madam Bintou Sanogoh: Former Minister of Finance in Burkina Faso, and the country’s Governor at the IMF/World Bank, and was formally a Vice Governor of the African Development Bank.
5. H. E. Dr. Jacques Diouf: Former Director General, Food & Agricultural Organisation (FAO), and former Secretary-General of the Central Bank of West Africa.
6. H. E. Mr. Abdul Aziz Al-Zaabi A member of UAE Federal National Council, former CEO & GM of Real Estate Bank, and an Ex-Director of Arab Insurance Bank.
7. H. E. Dr. Ishrat Husain : former Governor, State Bank of Pakistan, Dean and Director of the Institute of Adminsitration, and Chairman National Commission of Government Reform.
8. H. E. Prof. Dr. Abbas Mirakhor: first holder of INCIEF Chair of Islamic Finance, former Executive Director and Dean of the Executive Board of International Monetary Fund (IMF).
9. H. E. Prof Dr. Muhammad Yunus: Nobel Laureate and founder Grameen Bank, a pioneer in microcredit scheme, and Chancellor of Glasgow Caledonian University.
10. H. E. Abdellatif Jouahri: Governor Central Bank of Morocco, former Chairman of Bank Al-Magrib, and Director Arab British Commercial Bank.