To support member countries in the wake of the rapidly spreading coronavirus, the Islamic Development Bank Group (IsDB) is setting up a special Strategic Preparedness and Response Facility worth $730 million to mitigate the negative health and socioeconomic impact of the pandemic, which continues to spread worldwide.
On its website, the IsDB said that this will include $280 million from the bank and from the Islamic Solidarity Fund for Development towards sovereign projects and programs, $300 million from the International Islamic Trade Finance Corporation (ITFC) for trade finance, and $150 million from the Insurance of Investment and Export Credit (ICIEC) for insurance coverage.
The facility will extend financing to both the public and private sector in minimizing the spread and impact of the pandemic in IsDB member countries and to build their resilience. Financing will be extended in the form of grants, concessional resources, trade finance, private sector lending and political and risk insurance coverage, the statement said.
The IsDB will deploy all the available financing instruments to channel the funds in a fast track manner to support its member countries. “The SPRF funding will target interventions that focus on emergency preparedness and response to curb and contain the spread of the COVID-19, minimize socio-economic impact of the pandemic especially on the poor, and to build resilience of Member countries in responding to outbreaks and pandemics,” IsDB said. The facility will support strengthening of the health systems, funding of national epidemic preparedness and response plans, community awareness and education, disease surveillance, data collection and analysis, sustained provision of essential social services, provision of social safety nets, and support private sector activity, it noted.
The IsDB Group will also invest in research and development and provide technical assistance for the prevention and containment of the pandemic.—Reuters