The Asian Infrastructure Investment Bank (AIIB) has become the first implementing partner of the Multilateral Cooperation Center for Development Finance (MCDF). The partnership seeks to leverage resources to support the preparation of high-quality connectivity infrastructure projects to facilitate resilient and inclusive economic growth.
This is AIIB’s second accreditation with a multilateral partnership facility after securing its first accreditation with the Global Infrastructure Facility in June 2021. The partnership enables AIIB to expand its resources to serve a broader range of members and further its role in financing Infrastructure for Tomorrow (i4t)—green infrastructure with sustainability, innovation and connectivity at its core. It is also in line with AIIB’s thematic priority of Connectivity and Regional Cooperation and principle of high governance standards as set out in the Bank’s Corporate Strategy.
AIIB has been serving as the Administrator of the MCDF since June 2020. “MCDF was set up to spread the reach of high standards in connectivity projects and promote cooperation and knowledge sharing among MDBs. As host of the MCDF, we will strive to support these goals and ensure the MCDF is administered according to the highest level of multilateral governance standards, in line with the commitment made by our Board of Directors,” said Sir Danny Alexander, AIIB Vice President for Policy and Strategy.
As an implementing partner, AIIB will have access to MCDF resources to support its members in preparing high-quality connectivity infrastructure projects, benefiting from the platform that drives synergies and enhances learning and knowledge sharing. It will also help encourage other investors and financial institutions to adopt such high project standards for connectivity infrastructure investments. The partnership will enable AIIB to enhance collaboration with other development partners to support major infrastructure projects by leveraging the Bank’s sectoral experience and expertise. AIIB will further contribute to the development of high-quality projects by providing capacity building to its members.
“Connectivity infrastructure projects are large and complex and require significant resources for preparation,” said AIIB Vice President, Investment Operations (Region 1) D.J. Pandian. “With MCDF as a partner, we will be able to bridge this gap for our clients to help them prepare and implement high-quality connectivity infrastructure projects.”
MCDF’s support will play a critical role in enhancing information sharing across implementing partners and clients, strengthening capacity building to enhance relevant know-how and institutional capacity of development economies and reinforcing project preparation for accelerated project-related assessment.
“Many of our members need to build their capacity to develop and deliver connectivity projects,” said AIIB Vice President, Investment Operations (Region 2) Konstantin Limitovskiy. “A value-addition of this partnership is that our clients will have access to the best practices and knowledge generated by MCDF. This will help to strengthen clients’ ability to design and implement high quality projects.”
MCDF CEO Zhongjing Wang said the partnership marks a pivotal time for the international community.
“By bridging gaps in financing and knowledge for high-quality infrastructure and connectivity investments, the partnership between the MCDF and AIIB will catalyze development momentum, promote quality standards and achieve sustainable impact at the global, regional and country level,” said Wang.