RIYADH: The International Islamic Trade Finance Corporation has signed a €40 million ($45.43 million) Murabaha financing agreement with the African nation of Comoros to support its energy sector, the Saudi Press Agency reported.

A member of the Islamic Development Bank Group, ITFC stated that the funding will ensure a stable supply of refined petroleum products and help drive growth in vital sectors such as agriculture, manufacturing, and services.

The agreement aligns with the UN’s Sustainable Development Goal 7, which focuses on ensuring universal access to affordable, reliable, sustainable, and modern energy by 2030. 

It aims to increase renewable energy adoption, enhance fuel efficiency, and expand infrastructure in developing countries..

This financing deal addresses Comoros’ immediate energy needs while enhancing its resilience to global supply disruptions by guaranteeing uninterrupted fuel access for its economy.

ITFC has a long-standing track record of delivering trade finance solutions to member countries, particularly those with developing economies.

Its latest agreement with Comoros reflects a broader commitment to strengthening cooperation with African nations and supporting inclusive, sustainable development across the region.

ITFC has provided Comoros with over $657 million in total financing since its inception in 2008, underscoring a strong and enduring partnership. 

This latest Murabaha deal is part of a broader $330 million framework agreement signed in September 2023, which is expected to meet up to 100 percent of Comoros’ annual petroleum needs — a transformative step toward national energy security and long-term development.

ITFC serves as the trade finance arm of the Islamic Development Bank Group and has provided over $83 billion in financing to OIC member countries. Its mission is to promote trade, improve socio-economic conditions, and offer member countries access to finance and trade development tools.

Murabaha, a widely used Islamic finance structure, complies with Shariah law by avoiding interest-based lending. It is commonly employed for trade finance purposes, including the procurement of energy products, raw materials, and equipment — making it especially relevant in development-driven financing, such as this agreement with Comoros.

RIYADH: Tesla launched operations in Saudi Arabia on Thursday, a sign that CEO Elon Musk has patched up relations with the Kingdom and that the oil capital was moving forward with an ambitious electric-vehicle policy.

A Tesla Cybertruck and a redesigned Model Y sedan dominated a plaza dotted with palm trees, as the EV maker officially opened for business.

A small crowd tried out the vehicles as a massive outdoor video screen showed a Cybertruck plowing through a dusky desert, leaving behind plumes of sand.

Tesla needs new customers: globally, it posted a 13 percent drop in first-quarter sales, its weakest performance in nearly three years, driven by a backlash against Musk’s role in the Trump administration, rising competition and an aging product lineup, beyond the refreshed Model Y.

The Kingdom, a major investor in Tesla rival Lucid, aims for 30 percent EV adoption five years from now, up from about 1 percent last year.

Musk engaged in a high-profile feud with the Kingdom’s sovereign wealth fund over a potential investment nearly a decade ago, but relations between Riyadh and Musk have improved since he took a high-profile role in US President Donald Trump’s election campaign and administration.

Trump is set to visit Saudi Arabia in the coming weeks in his first foreign trip. Local Tesla executives at the launch described plans to allow online ordering of vehicles, open pop-up stores in malls and to build Supercharger stations and service centers, but Musk did not show up in person or by video.

“I’m honestly very disappointed I cannot see him,” said fan Mohammed Usama, who said he was “in love” with the Cybertruck. “I was very close to the stage, but unfortunately he didn’t come.”

Saudi has a long way to go to hit its EV goals. The country’s main east-west highway does not have a single charging station in the 900-kilometer (559 mile) stretch linking the financial and religious cities of Riyadh and Makkah.

Saudi Arabia in 2024 had just 101 EV charging stations, compared with 261 in neighboring UAE, a country with a third the population, data from Statista based on Electromaps showed. Tesla plans to put its first charging stations in three cities.

Rival EV brands like China’s BYD and Zeekr, along with the Saudi Public Investment Fund-backed Lucid, already have Saudi beachheads.

The feud between Musk and the governor of the Kingdom’s sovereign wealth fund began when Musk tweeted in 2018 that he had “funding secured” to take Tesla private after a meeting with the fund.

That led to a lawsuit from investors when a bid failed to materialize. “You are throwing me under the bus,” Musk wrote in a text to fund chief Yasir Al-Rumayyan, according to court documents.

Shortly after the US presidential election, Trump, Rumayyan, and Musk were all pictured together sitting in ringside seats at an Ultimate Fighting Championship event in an early signal that relations had healed.