BAKU, Azerbaijan, June 19. The International
Islamic Trade Finance Corporation (ITFC) has already begun
implementing a number of projects in Central Asian countries that
are in line with the Middle Corridor initiative, Chief Operating
Officer at International Islamic Trade Finance Corporation, Nazeem
Noordali, said at the 14th Islamic Development Bank (IsDB) Group
Private Sector Forum, Trend's correspondent reports from the event.


According to him, the ITFC was established in 2008 as a
specialized structure within the IsDB Group to support trade
finance.


"Since its inception, the corporation has financed trade
transactions worth over $93 billion, and including its activities
within the Islamic Development Bank, the total volume of trade
finance since 1977 has exceeded $120 billion. Trade finance is a
crucial element of any ambitious project related to transport
corridors. If a corridor ensures regional connectivity, then trade
finance and trade facilitation connect all the elements of this
system.


Trade finance itself does not create trade, but rather serves as
a tool to support it. Trade must first exist. We can be a catalyst
and facilitate its development, but we cannot create it from
scratch," he noted.


According to Noordali, any restrictions in the transport and
logistics chain reduce opportunities for trade and business access
to financial instruments.


According to the ITFC representative, the Asian Development Bank
estimates that the global trade finance gap for SMEs is
approximately $2.5 trillion.







"We cannot solve this problem alone. We need to join forces with
our partners. ITFC supports financing for small and medium-sized
businesses through local banks and is mobilizing additional
financial resources. For every dollar of its own funding, the
corporation attracts an additional four dollars from partners. Less
than two years ago, ITFC launched the Trade Connect Central Asia
Plus program, covering six countries in the region, from Kazakhstan
to Azerbaijan," he noted.


According to Noordali, the program is aimed at developing
so-called "soft" trade infrastructure.


"Specifically, this includes implementing paperless border
procedures, digitalizing transport documents, ensuring the
compatibility of digital systems across various countries, data
exchange, and strengthening coordination between government
agencies and the private sector. We have already begun implementing
several projects in Central Asia that align with the Middle
Corridor initiative," he explained.


Noordali added that ITFC expects to further expand cooperation
with partners and countries in the region as part of the
program.