The Islamic Development Bank (IDB) Group has opened a Country Gateway Office in Indonesia. Headed by Resident Representative Ibrahim Shoukry, the office will host senior professionals of all IDB Group private entities such as the Islamic Corporation for the Development of the Private Sector (ICD), the International Islamic Trade Finance Corporation (ITFC) and the Islamic Corporation for the Insurance of Investment and Export Credit (ICIEC).
The Country Gateway Office will serve as a platform for all entities of the IDB Group to effectively identify and implement projects and programmes as well as expand cooperation particularly in transportation, energy and public-private partnerships. The Office will also manage IDB Group’s portfolio in Indonesia and support capacity development in Islamic finance and reverse linkages through the flagship programmes of Indonesia’s south-south and triangular cooperation*.
At the opening ceremony in Jakarta on 11 December 2014 Dr Ahmad Mohamed Ali, Chairman, IDB Group, called the launch of the office "a turning point in the IDB’s efforts to get closer to its member countries and stakeholders."
The office is timely given Indonesia’s historical and increasing role at the global level, and its strong relations with the IDB member countries, Dr Ahmad said, noting that Indonesia is the only Southeast Asian country and is only one of three OIC member countries in the G20. Indonesia also boasts the world’s largest Muslim population, he added.
Dr Ahmad also noted that Indonesia has initiated projects in Africa and Asia, including the improvement of domestic husbandry through artificial insemination in the Kyrgyz Republic. "In this regard, I would like to express my appreciation to the government of Indonesia for providing US$2 million for IDB’s Reverse Linkages initiative and Indonesia’s South-South Cooperation programme in 2014. This would set an example for wider replication of this mutually beneficial initiative of supporting the exchange of technical know-how among the IDB member countries," he said.
IDB has also worked with Indonesia and Saudi Arabia among other partners in providing relief for the Aceh tsunami under the OIC Alliance for Child Victims and reconstruction and development under Saudi Charity Campaign Program, with a total funding of US$74 million. "Looking forward, I trust that the Country Gateway Office will insha Allah be instrumental in further promoting and facilitating joint initiatives between the IDB Group and Indonesia," he said.
Indonesia, with its sustained economic growth of over 5%, is developing Islamic finance too. "The IDB has supported the integrated development of the Islamic finance sector through various initiatives in key areas such as building the enabling environment for Islamic finance; establishing and promoting Islamic financial institutions such as providing equity of US$70 million (or 33% of total equity) in Bank Muamalat; establishing and supporting Islamic financial infrastructure institutions and contributing to the development of Islamic financial architecture in Indonesia. Currently, IDB is also developing mechanisms to support enhancement of financial inclusion by launching an Islamic microfinance fund," Dr Ahmad said.
Dr Ahmad closed his speech by calling for twinships to be established between Indonesian Chambers of Commerce and Chambers of Commerce in other member countries. "We would like to see more Indonesian trade fairs and exhibitions to be organised in other IDB member countries as well as other IDB member countries to be invited to arrange trade fairs and exhibitions in Indonesia," he said.
As of 2015, Jeddah-headquartered IDB has regional offices in Almaty, Kuala Lumpur, Rabat, and Dakar. The Indonesian country gateway office is its third after two country gateway offices in Turkey.
*These modes of cooperation are described here.The Country Gateway Office will serve as a platform for all entities of the IDB Group to effectively identify and implement projects and programmes as well as expand cooperation particularly in transportation, energy and public-private partnerships. The Office will also manage IDB Group’s portfolio in Indonesia and support capacity development in Islamic finance and reverse linkages through the flagship programmes of Indonesia’s south-south and triangular cooperation*.
At the opening ceremony in Jakarta on 11 December 2014 Dr Ahmad Mohamed Ali, Chairman, IDB Group, called the launch of the office "a turning point in the IDB’s efforts to get closer to its member countries and stakeholders."
The office is timely given Indonesia’s historical and increasing role at the global level, and its strong relations with the IDB member countries, Dr Ahmad said, noting that Indonesia is the only Southeast Asian country and is only one of three OIC member countries in the G20. Indonesia also boasts the world’s largest Muslim population, he added.
Dr Ahmad also noted that Indonesia has initiated projects in Africa and Asia, including the improvement of domestic husbandry through artificial insemination in the Kyrgyz Republic. "In this regard, I would like to express my appreciation to the government of Indonesia for providing US$2 million for IDB’s Reverse Linkages initiative and Indonesia’s South-South Cooperation programme in 2014. This would set an example for wider replication of this mutually beneficial initiative of supporting the exchange of technical know-how among the IDB member countries," he said.
IDB has also worked with Indonesia and Saudi Arabia among other partners in providing relief for the Aceh tsunami under the OIC Alliance for Child Victims and reconstruction and development under Saudi Charity Campaign Program, with a total funding of US$74 million. "Looking forward, I trust that the Country Gateway Office will insha Allah be instrumental in further promoting and facilitating joint initiatives between the IDB Group and Indonesia," he said.
Indonesia, with its sustained economic growth of over 5%, is developing Islamic finance too. "The IDB has supported the integrated development of the Islamic finance sector through various initiatives in key areas such as building the enabling environment for Islamic finance; establishing and promoting Islamic financial institutions such as providing equity of US$70 million (or 33% of total equity) in Bank Muamalat; establishing and supporting Islamic financial infrastructure institutions and contributing to the development of Islamic financial architecture in Indonesia. Currently, IDB is also developing mechanisms to support enhancement of financial inclusion by launching an Islamic microfinance fund," Dr Ahmad said.
Dr Ahmad closed his speech by calling for twinships to be established between Indonesian Chambers of Commerce and Chambers of Commerce in other member countries. "We would like to see more Indonesian trade fairs and exhibitions to be organised in other IDB member countries as well as other IDB member countries to be invited to arrange trade fairs and exhibitions in Indonesia," he said.
As of 2015, Jeddah-headquartered IDB has regional offices in Almaty, Kuala Lumpur, Rabat, and Dakar. The Indonesian country gateway office is its third after two country gateway offices in Turkey.