The Islamic Corporation for the Insurance of Investment and Export Credit (ICIEC) has launched its climate change policy and ESG framework on the sidelines of the 28th Conference of the Parties of the United Nations Climate Change Conference (COP28).
The ICIEC Climate Change Policy will see the insurance arm of the IsDB Group increase its intervention in sustainable projects. ICIEC has also pledged to upscale its support to initiatives aimed at contributing to carbon reduction, safeguarding nature and sustainable economic growth.
According to Oussama Kaissi, CEO of ICIEC, the new ESG framework will set a new benchmark for ESG practices in the insurance space. “The launch of our Climate Change Policy and ESG Framework reflects ICIEC’s commitment to sustainability.”
The framework will contribute to the embedding of ESG principles into ICIEC’s operations, developing ESG-centric products and services, incorporating ESG imperatives into risk assessment and underwriting.
Separately, ICIEC also signed several sustainability-related agreements at COP28, announcing joint efforts with GE Energy Financial Services (GE Vernova), the International Renewable Energy Agency (IRENA), the West African Development Bank (BOAD) and the Global Green Growth Institute (GGGI).
The agreement with GE Vernova, the US-headquartered energy infrastructure investment arm of GE Capital, will see the establishment of a cooperative framework aimed at leveraging ICIEC’s insurance solutions to accelerate the deployment of capital, goods and services for sustainable projects in ICIEC member states.
Also in the renewable energy vein, ICIEC’s tripartite agreement with IRENA and the IsDB will see the development bank join IRENA’s Energy Transition Accelerator Financing Platform (ETAF).
The membership on the platform is expected to result in the deployment of US$1 billion in capital toward renewable energy solutions in its member countries by 2030. The IsDB also pledged US$250 million for ETAF in conjunction with its new membership.
As part of the agreement, ICIEC will provide insurance solutions to support the financing of the projects across common member countries.
The agreements with BOAD and GGGI will see ICIEC strengthen its focus in Africa, with the BOAD agreement specifically focusing on climate change adaptation and communication projects in west Africa.
On the other hand, the strategic partnership with GGGI will see the parties scale up the development of climate-resilient agriculture and food systems in Africa and the Middle East.
“By connecting ICIEC’s insurance solutions to projects in member states, we aspire to bring about a tangible impact, with a specific focus on the expansion of climate-resilient agriculture and the transformation of food systems in Africa and the Middle East,” Oussama commented.