ITFC Supports Mauritania’s Energy Needs with US$ 45 Million Financing Agreement

The International Islamic Trade Finance Corporation (ITFC), member of the Islamic Development Bank (IDB) Group, has convened a US$ 45 million Murabaha financing agreement with the Islamic Republic of Mauritania represented by the Ministry of Economic and Finance and the Mauritanian Electricity Company (SOMELEC), as an executing agency. The purpose of the agreement comes within the Financing Plan of Mauritania’s electricity needs for supplying hospitals, medical centers and industrial units.

The agreement has been signed in ITFC’s headquarters in Jeddah by Eng. Hani Salem Sonbol, CEO ITFC and Mr. Abass Silla, Public Investments and Economic Cooperation, in the Ministry of Economy and Finance, Mauritania, in the presence of Mr. Mohammed Salem Ahmed, General Manager, SOMELEC and representatives from both entities.    

Eng. Hani Salem Sonbol has treasured the confidence of the Islamic Government of Mauritania and SOMELEC that they bestowed on the corporation for being the main financer for the electricity needs as well as the supporter of industrial sector, which is deemed as strategic in Mauritania. Eng. Hani has added that the agreement reflects ITFC’s mandate in supporting the member countries’ strategic sectors and its understating to the importance of financing the industrial sector being of a positive impact on the government’s economy.

On the signing ceremony, Mr. Abbas has said:” The International Islamic Trade Finance Corporation (ITFC) contributed to the sustainability of the general electricity services in Mauritania and the continuity of this financing will enable the electricity company to enhance its investment program which targets exporting the electricity energy throughout the counry”.           

The agreement comes within the public authority’s plan for correcting the company’s status, providing it with the petroleum derivatives necessary for power stations operations to supply 44 cities with electricity in Mauritania. It is worth to mention that the approved total financing amount reached US$ 120 million for the interest of the Mauritanian Electricity Company interest.