The Asian Infrastructure Investment Bank's landmark partnership deal with the World Bank signed last week signals the new Beijing-based institution's commitment to meeting international standards, according to a senior official.
AIIB is expected to approve around $1.2 billion in development financing by June of this year with the deal, which creates a co-financing framework between the two banks for the investment and joint development of projects this year, accounting for a “sizable share”. The Asian Development Bank has also expressed interest in discussing partnerships and co-financing mechanisms with AIIB.
These deals and discussions came amid long-running concerns that global development’s newest player would not follow international standards, particularly in environmental and social safeguards. But Sir Danny Alexander, AIIB vice president and corporate secretary, said partnerships with other multilaterals can ensure that standards will be upheld.
About the author
Lean Alfred Santos@DevexLeanAS
Lean Alfred Santos is a former Devex development reporter focusing on the development community in Asia-Pacific, including major players such as the Asian Development Bank and the Asian Infrastructure Investment Bank. He previously covered Philippine and international business and economic news, sports and politics.
