OFID Sister Institutions
The tradition of providing flexible, untied and highly concessional assistance has been practiced by the wider family of OPEC aid institutions for over three decades. Bilateral aid began in 1961 with the establishment of the Kuwait Fund for Arab Economic Development. Six other OPEC countries - the United Arab Emirates, Iraq, Saudi Arabia, Venezuela, Libya and the Islamic Republic of Iran - soon followed suit. The joint move into multilateral development financing came in the early 1970s when OPEC Member States, acting in partnership, decided to pool resources and coordinate activities in pursuit of greater effectiveness and relevance in the field of development assistance delivery.
Over the years, OPEC aid has taken diversified and innovative forms, including loans, grants and equity participation, in an attempt to maximize the impact of the assistance delivered and meet the changing needs and priorities of the beneficiary countries.