Turkic Investment Fund signs Islamic co-financing framework agreement with ICD at Islamic Development Bank Group Annual Meetings in Baku, Azerbaijan.

Turkic Investment Fund signs Islamic co-financing framework agreement with ICD at Islamic Development Bank Group Annual Meetings in Baku, Azerbaijan.

Agreement signed on the margins of the 2026 Islamic Development Bank (IsDB) Group Annual Meetings gives the region's first jointly established international financial institution (IFI) an Islamic finance channel to deploy up to USD 50 million into private-sector finance across five common member states.

The Turkic Investment Fund (TIF), the development finance mandated IFI of the Turkic states, has signed a Framework Agency Agreement with the Islamic Corporation for the Development of the Private Sector (ICD), the private-sector development arm of the IsDB Group. The agreement was signed on the sidelines of the 2026 IsDB Group Annual Meetings in Baku.

The agreement operationalizes the new Managed Islamic Co-Financing Program (MICFP), an Islamic finance co-financing platform, under which TIF will deploy financing alongside ICD. The MICFP is the TIF's first structured engagement in Islamic finance and gives the Fund access to ICD's Islamic finance expertise, partner financial institutions’ network, and operational experience across the region.

Financing will be channeled through local partner financial institutions for onward financing of small and medium-sized enterprises across the two institutions' common member states, namely Azerbaijan, Kazakhstan, Kyrgyz Republic, Türkiye, and Uzbekistan.

Under the arrangement, ICD will originate, structure and manage each facility, drawing on more than two decades of experience in Islamic finance for the private sector, and will contribute capital to each facility alongside TIF, supporting alignment of interests between the two institutions.

The framework delivers strategic wins for TIF, expanding its reach to MSMEs through partner financial institutions, supporting Islamic finance in its member states and strengthening financial connectivity across the Turkic region.

Ramil Babayev, General Director of the Fund, described the agreement as an important step in operationalizing TIF's mandate.

"This partnership gives us an immediate, credible channel to support private enterprise across our member states while we continue building our own institutional capabilities. Signing this agreement at the IsDB Annual Meetings also positions the Turkic Investment Fund within the broader development finance architecture," he said.

The agreement marks ICD as the first multilateral development institution to enter into an institutional framework partnership with TIF, which launched its operational activities earlier this year. It supports TIF's strategic priorities in private-sector development, trade facilitation, financial integration, and the development of Islamic finance banking ecosystems across the Turkic world.