IsDB and EBRD Presidents Meet to Expand Development Cooperation

Jeddah, September 25, 2025 — Islamic Development Bank (IsDB) Group President Dr. Muhammad Al Jasser met with European Bank for Reconstruction and Development (EBRD) President Odile Renaud-Basso to discuss expanding cooperation on financing sustainable growth and socioeconomic development across their member countries, according to the Saudi Press Agency. The talks, held in Jeddah, focused on joint investments in infrastructure, renewable energy, private sector development and inclusive growth, alongside opportunities for cooperation in sub-Saharan Africa and innovative financing instruments for climate and green projects.

Context and Background

The Islamic Development Bank (IsDB) Group, established in 1975 and headquartered in Jeddah, serves 57 member countries and is one of the world’s leading institutions for Shariah-compliant development finance. The European Bank for Reconstruction and Development (EBRD), founded in 1991 and based in London, invests across emerging markets in Europe, Central Asia, the Middle East and North Africa.

Although the two institutions serve distinct memberships, their mandates increasingly overlap in infrastructure, energy transition and private sector growth. Their meeting comes as multilateral development banks face growing pressure to scale up financing for the United Nations Sustainable Development Goals, at a time when the global financing gap for climate action and infrastructure continues to widen. Cooperation between institutions with complementary expertise and regional reach is therefore seen as a practical route to mobilizing additional capital.

Key Details

According to the Saudi Press Agency, the discussions centered on enhancing bilateral cooperation to finance projects for sustainable growth and socioeconomic development in the two institutions’ member countries. Specific areas included investment in infrastructure, renewable energy, the private sector and inclusive development aimed at creating jobs and improving living standards.

The two presidents also explored opportunities for joint investments in sub-Saharan Africa and cooperation on innovative financing instruments for climate and green projects. Such instruments typically include blended finance, guarantees, green bonds and sukuk, which combine public resources with private capital to make higher-risk or lower-return projects commercially viable.

Dr. Muhammad Al Jasser has led the IsDB Group since 2021, guiding its expansion into climate finance, food security and regional integration programs. Odile Renaud-Basso has served as EBRD President since 2020, championing the bank’s green transition agenda and private sector mobilization. Both leaders have consistently emphasized that development banks must work together to crowd in private investment rather than act in isolation.

Implications and Impact

The meeting signals a deepening practical partnership between two of the most active multilateral lenders in the Middle East, Africa and Central Asia. For sub-Saharan Africa, where many IsDB member states face significant energy access and infrastructure deficits, joint project pipelines could unlock capital that neither institution would readily provide alone. Combining the EBRD’s project finance experience with the IsDB’s regional networks and Islamic finance expertise could broaden the range of bankable projects.

For international investors, closer coordination among development banks is generally read as a positive signal, because co-financing structures share risk and improve transparency. The emphasis on climate and green financing also aligns with global efforts to direct capital toward renewable energy, sustainable transport and resilient water systems, areas where demand for funding continues to outpace supply.

Saudi Arabia’s role as host adds a further dimension. Jeddah is both the IsDB’s headquarters city and a historic gateway for trade and dialogue, reinforcing the Kingdom’s position as a convening hub for international development cooperation.

Vision 2030 Alignment

The meeting reflects the priorities of Saudi Vision 2030, which emphasizes economic diversification, international partnership and a more prominent global role for the Kingdom. Saudi Arabia is a founding and leading shareholder of the IsDB Group, and strengthening institutions hosted on Saudi soil supports the national objective of building a diversified, knowledge-driven economy connected to world markets.

Cooperation that advances renewable energy, job creation and inclusive growth abroad also complements Saudi-led sustainability efforts at home and across the region. As the Kingdom continues to position itself as a bridge between continents, partnerships such as this one help translate Vision 2030’s ambition into tangible development outcomes for member countries worldwide.

20 Questions

Q1. Who met in Jeddah to discuss development cooperation?

A1. Islamic Development Bank Group President Dr. Muhammad Al Jasser met with European Bank for Reconstruction and Development President Odile Renaud-Basso. The two leaders discussed strengthening cooperation on financing sustainable growth and socioeconomic development across their member countries.

Q2. Where are the two institutions headquartered?

A2. The Islamic Development Bank Group is headquartered in Jeddah, Saudi Arabia, while the European Bank for Reconstruction and Development is based in London, United Kingdom. Both are multilateral development banks serving distinct but increasingly overlapping groups of member countries.

Q3. What areas of cooperation did the two presidents discuss?

A3. They discussed investments in infrastructure, renewable energy, private sector development and inclusive development aimed at creating jobs and improving living standards. They also explored joint investment opportunities in sub-Saharan Africa and innovative financing instruments for climate and green projects.

Q4. Why is sub-Saharan Africa a focus of the discussions?

A4. Sub-Saharan Africa includes many IsDB member countries facing significant infrastructure, energy and financing gaps. Joint EBRD and IsDB investment could mobilize additional capital for projects supporting job creation, energy access and sustainable economic growth across the region.

Q5. What is the Islamic Development Bank Group?

A5. The IsDB Group, established in 1975 and headquartered in Jeddah, is a multilateral development bank with 57 member countries. It promotes social and economic development through Islamic finance, project financing, technical assistance and partnerships aligned with Shariah-compliant principles.

Q6. What is the European Bank for Reconstruction and Development?

A6. The EBRD is a multilateral development bank founded in 1991 and headquartered in London. It invests in emerging markets across Europe, Central Asia, the Middle East and North Africa, supporting private sector growth, green transition and sustainable infrastructure development.

Q7. What do innovative financing instruments mean in this context?

A7. The term refers to tools such as blended finance, guarantees, green bonds, sukuk and risk-sharing mechanisms that combine public and private capital. These instruments help fund climate and green projects that might otherwise struggle to attract conventional commercial investment.

Q8. How does this meeting support climate action?

A8. Both institutions explored financing instruments for climate and green projects, supporting the transition to renewable energy and lower-carbon economies. Such cooperation helps member countries meet climate commitments while advancing sustainable development and infrastructure modernization.

Q9. Why is infrastructure investment important for member countries?

A9. Reliable infrastructure underpins trade, energy access, water systems, transport and digital connectivity. Targeted investment raises productivity, attracts private capital and improves living standards, making it a core priority for both the IsDB and the EBRD.

Q10. What role does the private sector play in these plans?

A10. The private sector generates jobs, innovation and long-term growth. By supporting private enterprises and improving business environments, both banks aim to mobilize commercial capital alongside public funding, expanding the reach and sustainability of development financing.

Q11. What is meant by inclusive development?

A11. Inclusive development ensures economic progress benefits all segments of society, including youth, women, rural communities and small businesses. It focuses on job creation, skills, access to finance and essential services, reducing inequality while sustaining long-term growth.

Q12. How long have the IsDB and EBRD cooperated?

A12. The two institutions have maintained a cooperation relationship through joint initiatives, knowledge exchange and co-financing arrangements over recent years. This latest meeting reflects their shared intent to deepen that partnership in priority sectors.

Q13. Why is the meeting significant for Saudi Arabia?

A13. Saudi Arabia hosts the IsDB Group in Jeddah and is a leading shareholder. The meeting reinforces the Kingdom’s role as a convener of multilateral development cooperation and a bridge between regions, aligning with its global economic and diplomatic ambitions.

Q14. What is the significance of holding the talks in Jeddah?

A14. Jeddah is the headquarters city of the IsDB Group and a historic gateway for trade and dialogue. Hosting the meeting there highlights Saudi Arabia’s position as a hub for international development finance and multilateral engagement.

Q15. How might joint investments be structured?

A15. They could involve co-financing, syndicated facilities, blended finance, guarantees or joint project preparation. Such structures share risk, increase lending capacity and attract private investors to projects in infrastructure, energy and enterprise development.

Q16. What benefit does cooperation bring to the EBRD?

A16. The EBRD gains deeper access to IsDB member markets, particularly in Africa and the Middle East, along with Islamic finance expertise. This expands its reach and complements its existing operations across emerging economies.

Q17. What benefit does cooperation bring to the IsDB?

A17. The IsDB benefits from the EBRD’s project finance experience, green transition know-how and investor relationships. This supports larger, more diversified operations and helps member countries access additional sources of development capital.

Q18. How does this relate to the UN Sustainable Development Goals?

A18. The discussed areas, including infrastructure, renewable energy, jobs and inclusive growth, directly support multiple Sustainable Development Goals. Multilateral cooperation is widely viewed as essential to closing the financing gap for the 2030 Agenda.

Q19. What happens next after this meeting?

A19. Both institutions are expected to continue technical discussions and identify specific projects and instruments for collaboration. Further announcements would follow through official channels once agreements and project pipelines are finalized.

Q20. How does this fit Saudi Arabia’s long-term vision?

A20. It reflects Vision 2030’s emphasis on international partnership, economic diversification and global leadership. By strengthening institutions hosted in the Kingdom and fostering cross-regional cooperation, Saudi Arabia advances sustainable development at home and abroad.

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