Eastern Bank partners with IDB member to support SMEs

Eastern Bank has signed a "Murabaha Financing Facility" deal with International Islamic Trade Finance Corporation, a member of Islamic Development Bank Group.

The partnership will help provide financial support to small and medium enterprises (SMEs), particularly those which need to import raw materials, according to a statement.

"(It will) provide better value to its importer clients through (the corporation and group's) extensive links and support…access to value added facility and will contribute to trade business of the country," said Eastern Bank Managing Director Ali Reza Iftekhar.

The corporation CEO Hani Salem Sonbol said it was "to facilitate SME's access to financing, which is key to participation in global value chains and to country's economic growth as well."

The corporation "continues to extend support in trade development that ultimately leads to socio-economic development of our member countries", said Sonbol.

The corporation commenced operations in January 2008, with the primary objective of advancing trade among the Organisation of Islamic Cooperation member countries.

It has since provided $53.9 billion in financing to OIC member countries.

The corporation helps entities in member countries gain better access to trade finance and provides the necessary trade-related capacity building tools, thus enabling them to successfully compete in the global market.