The Islamic Corporation for the Development of the Private Sector will issue a loan to finance small and medium-sized business projects in Turkmenistan.

The financial agreement with this organization will be concluded by the State Bank for Foreign Economic Affairs. The relevant Decree was signed by President Gurbanguly Berdimuhamedov at a Government meeting on Friday.

According to the document, this will be a supplement to the swap agreement for three years with a grace period up to 6 months at 4.5% per annum.

(ICD is an international financial institution headquartered in Jeddah, Saudi Arabia. The multilateral organization is part of the Islamic Development Bank group).

ICD’s mandate is to support economic development and promote private sector development in the member countries by providing funds and/or investments in accordance with Sharia principles. ICD also provides technical assistance and advisory services to the member countries and their public and private enterprises to improve conditions for private investment, promote investment opportunities, privatize state-owned enterprises and develop Islamic capital markets.