ICD, Mauritania Sign Pact to Mobilise $900M for Mining and Private Sector Growth

A key component of the partnership is ICD’s commitment to help arrange a Shariah-compliant syndicated or club financing facility of up to $900 million.

The Islamic Corporation for the Development of the Private Sector (ICD) and the Government of Mauritania have signed a three-year Memorandum of Understanding (MoU) aimed at accelerating private sector development, strengthening financial institutions and mobilising investment in key economic sectors.

The agreement establishes a strategic cooperation framework between ICD— the private sector arm of the Islamic Development Bank (IsDB) Group—and Mauritania to support sustainable economic growth and capacity building.

$900 Million Financing Planned for Major Iron Ore Project

A key component of the partnership is ICD’s commitment to help arrange a Shariah-compliant syndicated or club financing facility of up to $900 million.

The financing will support the Atomai iron ore project operated by Mauritania Saudi Mining and Steel S.A. (Takamul) in the Tiris Zemmour mining region.

The large-scale project will include:

• An open-pit iron ore mine

• Beneficiation facilities

• Two pelletizing plants in Nouadhibou

• Supporting infrastructure such as power generation and water desalination

Once operational, the project aims to produce around 10 million tonnes annually of high-grade direct reduction iron ore pellets, strengthening Mauritania’s mining sector and export capacity.

Expanding Private Sector Financing

Beyond the flagship mining investment, the MoU outlines broader cooperation initiatives designed to strengthen Mauritania’s economic ecosystem.

Key areas of collaboration include:

• Developing a Public-Private Partnership (PPP) framework

• Supporting Mauritania’s sovereign credit rating engagement

• Providing lines of financing to local financial institutions

• Expanding access to capital for small and medium-sized enterprises (SMEs)

• Identifying and financing projects in priority sectors such as energy

These initiatives aim to boost investment, stimulate entrepreneurship and diversify the national economy.

Strengthening Mauritania’s Financial Ecosystem

Dr. Khalid Khalafalla, Acting CEO of ICD, said the partnership reflects ICD’s commitment to using Shariah-compliant finance to support sustainable development.

“We are honoured to formalise this cooperation with the Islamic Republic of Mauritania. From supporting one of the region’s most significant mining and industrial projects to strengthening institutional capacity, ICD is proud to contribute to Mauritania’s long-term economic transformation,” he said.

Partnership to Unlock Economic Potential

Abdellah Souleymane Cheikh-Sidia, Mauritania’s Minister of Economic Affairs and Cooperation and IsDB Governor, said the agreement represents an important milestone in the country’s development strategy.

He noted that the partnership will help mobilise innovative financing solutions, strengthen institutional frameworks and expand opportunities for private sector growth.

The minister highlighted the importance of building a robust PPP ecosystem and improving SME access to financing to unlock Mauritania’s economic potential.

Boosting Investor Confidence Through Credit Rating Support

Mohamed Lemine Dhehby, Governor of the Central Bank of Mauritania and Alternate Governor of the IsDB Group, emphasised that improving the country’s sovereign credit profile is crucial for attracting long-term international investment.

He said ICD’s support in advancing sovereign credit rating engagement will strengthen transparency, build investor confidence and deepen Mauritania’s integration into global financial markets.

Strategic Partnership for Sustainable Growth

The MoU was signed at ICD headquarters in the presence of senior officials from the IsDB Group and the Mauritanian delegation, marking a significant step toward strengthening economic cooperation.

Officials say the partnership is expected to mobilise investment, support large-scale industrial development and strengthen Mauritania’s financial sector, contributing to the country’s broader goals of sustainable and inclusive economic growth.