The Islamic Corporation for the Development of the Private Sector (ICD) will provide a loan to finance projects of small and medium-sized enterprises. This is stated in the Resolution of President Gurbanguly Berdimuhamedov, published in today's issue of the newspaper “Neutral Turkmenistan”.

According to the document, the State Bank for Foreign Economic Affairs is allowed to conclude with the Islamic Corporation for the Development of the Private Sector a Financial Agreement (Vikala), additional to the three-year SWAP status, for a period of up to 3 years with a grace period of up to 6 months at 4.5 percent per annum to finance small and medium-sized businesses, and also carry out procedures related to its entry into force.

The decree was signed “in order to attract foreign capital to the country's economy, state support for small and medium-sized businesses, as well as to provide financial assistance to the development of the private sector”.

Founded in 1999, the Islamic Corporation for the Development of the Private Sector is based in Jeddah, Saudi Arabia. A member of the Islamic Development Bank group, this international financial organization promotes the development of the private sector of the economy in the interests of its shareholders - 45 states and 5 financial institutions from Islamic countries.

We previously reported that ICD will allocate 10 million US dollars to finance small and medium-sized enterprises in Turkmenistan during the COVID-19 pandemic.