- Acronym: IDB
- Type: Intergovernmental Organization
- Membership: 57 member states
- Establishment: Established in December 1973
- Official Language(s): Arabic, English, French
- Headquarters: Jeddah, Saudi Arabia
The Islamic Development Bank (IDB) is an international financial institution established to foster economic development and social progress in its member countries and Muslim communities in accordance with the principles of Shari’ah law.
Islamic Development Bank History
The IDB was officially established with the signing of the Articles of Agreement by the representatives of the member countries in Jeddah, Saudi Arabia, in December 1973. The bank officially began its activities on 20 October 1975.
Islamic Development Bank Structure
The structure of the IDB includes:
- The Board of Governors: Highest authority responsible for making decisions on policy matters, usually the finance ministers or central bank governors of member countries.
- The Board of Executive Directors: Responsible for the direction of the general operations of the bank.
- The President: Chief Executive Officer and legal representative of the bank.
- Various departments and units that manage specific functions such as operations, country strategies, and sector priorities.
Islamic Development Bank Membership
The IDB’s membership includes 57 countries across Africa, Asia, Europe, and South America. Membership is open to all member countries of the Organisation of Islamic Cooperation (OIC).
Islamic Development Bank Objectives
Economic Development
Promoting economic development in member countries by providing financial assistance for development projects.
Social Progress
Fostering social progress in member countries through investment in infrastructure, health, and education.
Islamic Finance
Promoting Islamic finance and enhancing cooperation amongst member countries in the finance sector.
Islamic Development Bank Funding
The IDB’s funding comes from subscribed capital by member countries, Islamic financial instruments, and through international capital markets.
Islamic Development Bank Projects
Infrastructure Development
Financing infrastructure projects like roads, bridges, and water systems to improve living standards.
Humanitarian Assistance
Providing humanitarian assistance in times of crisis and supporting disaster relief and recovery efforts.
Poverty Alleviation
Implementing poverty alleviation projects focusing on the most vulnerable communities.
Islamic Development Bank Members
The IDB serves as a key player in promoting comprehensive human development, with a focus on the priority areas of alleviating poverty, improving health, providing education, and improving governance in member countries. The bank’s operations reflect its mission to foster the economic development and social progress of its member countries and Muslim communities globally.