Saudi Minister of Finance Mohammed Al-Jadaan said the annual meetings of the Islamic Development Bank Group, which kicked off in Riyadh on Saturday, under the patronage of Custodian of the Two Holy Mosques King Salman bin Abdulaziz, represent an important platform to discuss means to boost cooperation among Islamic member countries and achieve sustainable and comprehensive development.
The annual meetings coincide with the IsDB’s golden jubilee, as the institution celebrates 50 years of promoting economic and social development in 57 member countries, under the slogan “Taking pride in our past, shaping our future: authenticity, solidarity, and prosperity”.
In a statement, Al-Jadaan said Saudi Arabia occupies a distinguished position on the global stage as one of the leading countries in hosting and sponsoring many major international events and conferences.
The Kingdom continues to support development programs and projects through the Islamic Development Bank Group, which reflects its firm commitment to achieving progress and prosperity and building a bright and sustainable future for the region and the entire world, he added.
Chairman of the IsDB Dr. Mohammad Al-Jasser stressed that the relationship between Saudi Arabia and the Group is a model of strategic partnership.
Addressing the first day of the meetings, Al-Jasser said the world needed long-term solutions. such as sustainable infrastructure projects, pointing to estimates that portend a large gap in infrastructure financing worth $15 trillion by 2040.
He also underlined that traditional public financing mechanisms were insufficient, adding that meeting the growing demand for infrastructure projects to confront these challenges and mobilize sufficient financing for long-term investments required a new approach.
“We stand at a crossroads as the Covid-19 pandemic has exposed infrastructure vulnerabilities, depleted public resources, and reversed progress in development,” Al-Jasser said.
He continued that the least developed countries have enormous economic potential waiting to be “unleashed,” and increasing investments in social and physical infrastructure is essential for reducing poverty, promoting health and education, and creating job opportunities.
The first day’s meetings featured a session entitled, “A Path to Prosperity: Multidimensional Poverty in the Member Countries of the Islamic Development Bank Group,” during which speakers discussed the use of the Multidimensional Poverty Index (MPI) in defining and addressing poverty.
They highlighted the work of the United Nations Development Program in Afghanistan and Yemen, and the importance of having a clear framework and up-to-date data to guide policy-making and interventions.
Participants discussed the need to rethink development financing for fragile sectors, emphasizing the importance of designing financial instruments to suit the circumstances of each country.
The speakers, including the Acting Director General of the Islamic Development Bank Institute, Dr. Sami Al-Suwailem, and Oxford University Professor Sabina Alkire, stressed the need for new economic frameworks and political decision-making to give priority to the marginalized, and the importance of using Multidimensional Poverty Index data in taking urgent action to create economic models that meet their needs.
Another panel session, entitled “Leveraging Islamic Finance to Develop Sustainable and Resilient Infrastructure”. addressed investments in infrastructure globally and explored the potential of Islamic finance, particularly Sukuk, in boosting investment in infrastructure projects.
The annual meetings will witness a plenary session of the Board of Governors of the Islamic Development Bank Group, and a round table meeting of governors to discuss the most important economic challenges facing Islamic countries, as well as future opportunities.
