By integrating Islamic finance with proven entrepreneurship and business counseling interventions, IFETAA will empower MSMEs to become bankable, resilient, and key drivers of inclusive economic growth
VIENNA, Austria, June 17, 2025/APO Group/ --
Today, Africa Finance Corporation (AFC) (www.AfricaFC.org), UNIDO, the Accounting and Auditing Organization for Islamic Financial Institutions (AAOIFI) and the Union of Arab Banks (UAB), formalized new strategic partnerships under the Islamic and Arab Finance for Economic Transformation in Africa, the Arab Region and Beyond (IFETAA) Programme.

Africa Finance Corporation (AFC), UNIDO, the Accounting and Auditing Organization for Islamic Financial Institutions (AAOIFI) and the Union of Arab Banks (UAB), formalized new strategic partnerships under the Islamic and Arab Finance for Economic Transformation in Africa, the Arab Region and Beyond (IFETAA) Programme (1)

Africa Finance Corporation (AFC), UNIDO, the Accounting and Auditing Organization for Islamic Financial Institutions (AAOIFI) and the Union of Arab Banks (UAB), formalized new strategic partnerships under the Islamic and Arab Finance for Economic Transformation in Africa, the Arab Region and Beyond (IFETAA) Programme (2)
Access to finance remains one of the most significant barriers to SME growth and economic transformation, particularly in Africa, the Middle East and South Asia. Only one in five African firms has access to credit, and those that do often face prohibitively high interest rates averaging 25 percent, compared to just 5 percent in Europe. Islamic finance, with over US$4 trillion in assets, offers a largely untapped opportunity to address this gap by directing capital stored in monetary markets into the real economy.
IFETAA represents a new alliance that will drive capital and capacity towards MSME development, resilience and growth across low- and lower middle-income countries. The signing ceremonies of the 3 Memorandum of Understanding (MoU) took place ahead of a high-level roundtable at the Hofburg Palace in Vienna, held on the margins of the OPEC Fund Development Forum, and marked the formalization of the programme.
“As traditional development funding continues to decline, Islamic and Arab financial institutions are emerging as key partners in driving industrialization and sustainable development”, said UNIDO Director General Gerd Müller. “Through this programme, we are building a powerful new alliance to support small and medium-sized businesses, increase productivity and resilience, and accelerate economic transformation in developing countries”.
“The IFETAA Programme will unlock urgently needed capital for Africa’s economic transformation and AFC is proud to bring its unique expertise in both conventional and Islamic finance to mobilise funding at scale,” said Banji Fehintola, Board Member and Head of Financial Services at AFC. “As an issuer, guarantor, and investor, we are committed to delivering innovative, Shariah-compliant solutions that drive inclusive and resilient economic growth, whilst contributing to strengthening the south-south cooperation required to advance our shared development goals”.
H.E. Shaikh Ebrahim Bin Khalifa Al Khalifa, Chairman of AAOIFI and the International Center for Entrepreneurship and Innovation announced that “AAOIFI is proud to contribute to this transformative partnership, which aligns Islamic finance with global development priorities and encourages Islamic financial institutions to voluntarily dedicate at least 20% of their financing – over US$1 trillion – to MSME development. We will work on developing a Shariah-compliant finance programme enriched with technical assistance, regulatory support, and capacity building. IFETAA will also leverage UNIDO’s globally recognized Enterprise Development and Investment Promotion model (EDIP)”.
By integrating Islamic finance with proven entrepreneurship and business counseling interventions, IFETAA will empower MSMEs to become bankable, resilient, and key drivers of inclusive economic growth.
Dr. Wissam Fattouh, Secretary General of the Union of Arab Banks, stated: “IFETAA is more than a programme – it is a call to action. The Union of Arab Banks is proud to unite Islamic and Arab financial power to serve sustainable development and economic sovereignty. We are mobilizing capital not just to fund growth, but to shape the future of our region. This is about empowering MSMEs, restoring trust in financial systems, and building resilient, inclusive economies”.
IFETAA is a direct outcome of the commitments made at UNIDO’s A World Without Hunger conference in Addis Ababa in 2024. There, AAOIFI pledged to mobilize 20 percent of Islamic Financial Institutions’ loans and advancements towards MSME development, while UAB reaffirmed its commitment to channel US$1 trillion from its member banks towards the Sustainable Development Goals (SDGs). AFC, a close partner to UNIDO, expressed its support through its financial mechanisms and expertise. IFETAA will facilitate access to finance by developing a pipeline of bankable MSME projects, establish financial and non-financial de-risking mechanisms, and support host governments in strengthening regulatory frameworks to expand Islamic and conventional bank lending.
UNIDO has committed US$500,000 to support the preparation of the IFETAA programme and its initial implementation, which is co-led by the UNIDO Task Force on Islamic and Arab Financing and UNIDO’s Investment and Technology Promotion Office in Bahrain.
Each of the partner institutions brings unique strengths to the programme. AAOIFI, headquartered in Bahrain, is the world’s leading standard-setting body for Islamic finance and plays a critical role in ensuring Shariah compliance and supporting regulators and financial institutions globally. Beirut-based UAB represents over 300 Arab banks and financial institutions while serving as a regional platform for aligning Arab banking practices with global trends, including Islamic finance, ESG, and digital transformation. AFC is a pan-African multilateral financial institution specializing in infrastructure development. It has been expanding its use of Islamic finance instruments, recently closing a US$400 million Shariah-compliant Commodity Murabaha facility. AFC made history in 2017 by issuing a US$230 million Sukuk, the first-ever by an African supranational institution.
Distributed by APO Group on behalf of Africa Finance Corporation (AFC).
To be honest it doesn’t surprise me at all that his stuck like glue to the chair, being of African race, I too would do the exact same, its in our genes , the love for the chair (power). id say to Riyale
"Keep doing your thing Riyale, don’t worry about the people, their struggle for democracy, your total disregard for the constitution, the reputation of Somaliland to the outside world, elections, the corrupt gurti you buy ect…just keep stacking the dow($) of the international companies/aid agencies and let the police deal with any one who opposes you, paint the opposition parties as anti patriotic, arrest any journalist who bad mouths you in the media. Think about it, who do you got to answer to? Somaliland ant even recognized (yet) so no one is going care how you treat the people"
Well Done Riyale, best president somaliland has ever had managed to undo 20 years of good work in less than 1 year
Dear Cisman
It is not the love for the chair (power). It is lack of security after leaving the office and lack of pension. These two reasons are being the major factors that an African leader fail to hold free and fair election because, during their reign they destroy the judicial system of the country as they realise that coming to the power was actually easy. Therefore, in order to make sure that no one follows him suit in the same easy bath to power, the justice is denied and corruption becomes the daily life. Beyond doubt, the Leader powerfully denies all constitutional rights to citizens, and budgets resources in pocket in order to be the richest man in the country so that he can finance his political will.
One wise man once said: When leaders seek to stay in office beyond the constitutionally prescribed term, Several factors can contribute to a decision to seek to extend tenure, ranging from a belief that there is no suitable successor to a fear that immunity will be removed, to concerns about ‘what next’ and sources of finance. follow next comment…………..
………….from last commentry…..Dear Cisman
But, these African leaders who behave like Riyales’ do not unfortunately remain in power, once they refuse to leave the office in a civilized way ‘election’ they are overthrown and summoned behind bars, thus same fate applied to their political prisoners in conscience. Proverb says: never burn a bridge you would need to cross later.
@ Cisman: You're the man!
OOOPPPPppppppssss!!!!!!!!!!!!!!!!!!!!!__What do you mean, plse, take a hike,__Just say, no shame, Just say GET OUT OF HERE !!!!!!!!!Q!d
THE GOVERMENT IS OPENING ONCE AGAIN TO DICTATORSHIP. THIS IS THE RETURN OF REPRESION
ayan burco
prominent somalilander poet Xaaji Aadan Axmed Afqallooc about siyaad barre
Saddex buu ka yahay qaadaddii aradka Soomaale
Surwaalkii ma dhigin iyo dharkii sawjarnimadiiye
Sar intuu abuurtay uma bixin soohdin laydh badane
Socdaal uguma kicin Yurub intuu saydhey maal badane
Suhuun kuma leh baanka iyo shirkado soorta iibsade e
Sokeeyaan lahaa iyo ma odhan seeddiyay xiga e
Saqda dhexe intuu liida tegey looma sacabbeyne
Sidii uu dad kale yeeli jiray wuu ka saahidaye
Soo jeed habeen iyo feker baa solay naftiisiiye
Sabab iyo taqadum lagu gaadho buu ku hurdo seegaaye
Sidaasay dadweynuhuna kalsoonida dhab ugu siiyeene
Saciim buu Afriiqiya u yahay saadiq aaminahe
Sida qamarka oogada socda bay sare u eegaane
Sawdkuu la yeedhiyo codkaa loo sid tiriyaaye
Seeftii nasriga iyo wuxu sitaa suuratul ikhlaase
Sagal hooray buu noo yahay iyo seermaweydada e
Sidii lagu tilmaamaba runtii uga sinaad roone
Sidaasay dadweynuhuna kalsoonida dhab ugu siiyeene
Translation:
He is the supreme leader of the Somalis
He continues to wear his battle dress
He does not build breezy mansions for himself
Doesnt go gallivanting to Europe and luxurious locales
Doesnt own wealth in Banks and Big Corporations
He doesnt practice nepotism nor promote his in-laws
Doesnt go debauching at the beachside bars late at night
His is not the way of his corrupt and depraved predecessors
A Wakeful Vigil and Worry has exhausted and depleted him
For the Cause of Somali progress he loses sleep
And that is the reason he retains the confidence of his people
Most Magisterial of all African, He is a generous and trusted leader
All Africa looks up to him like the moon in the night-sky
As they hold fast to his every word and pronouncement
He wields an evenging sword and Allah's Words.
To us, he is like a cooling breeze and Refreshing rains
Words fail to describe the glory of our leader
And that is the reason he retains the confidence of his people
Yeah what are on Earth are you talking about Ifrah he is not generous where have you been for the last couples, you happened an Idiot to believe he is good, do you know what you should is just shut up,
Ifrah, do you relies how Ironic your poem is now lol. the Home page news of this website reads “ Somalilandpress reporter arrested”…….Need I say more ! All the hallmarks are there, Riyale is turning in to the new Mugabe,
p.s totally agree with you mo.
you fools Rayale is turning out to be like the Egyptian President Huseine Mubarak, and leave Mugabe out of this,