UK infuses $50 M to AIIB special fund

The project preparation fund of China-led Asian Infrastructure Investment Bank (AIIB) is receiving a $50 million infusion from the United Kingdom.

The bank’s Project Preparation Special Fund provides grant support primarily to low income developing member countries to prepare for high quality projects.

While priority is given to low income member states, exemptions on the use of fund resources may be given for preparing complex and innovative projects, as well as regional and cross-border projects that have significant regional impact and benefit for other members.

“These additional resources will help our low-income member countries to prepare projects that will meet AIIB’s standards. This will result in more projects that are financially viable, environmentally sustainable and welcomed by local communities,” said AIIB president Jin Liqun in an announcement on the bank’s website.

The AIIB Project Preparation Special Fund was estab- lished in June 2016. China and the Republic of Korea committed $50 million and $8 million, respectively. The fund is open for more contributions.

The bank recently approved grant support for two projects: $1 million for the preparation of an urban infrastructure investment project in Nepal and $700,000 for the preparation of a solid waste management project in Sri Lanka.

The bank also announced that its membership has grown to 84 with the approval of the membership of Cook Islands, Belarus, Vanuatu and Ecuador.

“The steady expansion of our membership represents a vote of confidence in AIIB by the international community,” said Jin.

At its launch in January 2016, there were 57 signatories to AIIB’s Articles of Agreement. In March, May and June 2017, the bank announced the approval of another 23 prospective members who are currently in the process of finalizing their membership. AIIB expects to continue welcoming new members in the future.