4th-highest on unfolding AIIB credit line

Bangladesh stands out as the fourth-biggest recipient of assistance from an unfolding Asian Infrastructure Investment Bank (AIIB) credit line with over US$3.67 billion received from the new bank's committed finance between 2016 and March 2023.
This accounts for more than 8.41 per cent of the total investment made so far by the up-and-coming development financier, according to available AIIB statistics.
The infrastructure-financing bank was established in 2016 for providing supports needed for infrastructure investment in Asia-the continent that holds huge development potential untapped and needs the setting up of necessary vital infrastructure.

Headquartered in Beijing, China, the AIIB embarked on journey in 2016 with 57 founding-members: 37 from Asian and the rest 20 from outside Asia.
By now it has expanded to 106 members representing 81 per cent of global population and 65 per cent of the global GDP or gross domestic product.
India is the biggest recipient of support with $9.5 billion drawn from committed finance during the period under review. Turkey is the second and China the third-highest beneficiary of the bank, according to FDI intelligence of the Financial Times.
In the meantime, when Bangladesh's projects were considered in 2023, the AIIB approved two projects involving investments amounting to $475 million.
One is non-sovereign project named Rampura-Amulia-Demra (RAD) expressway worth $75 million while another sovereign-type sustainable economic-recovery programme amounting to $400 million, according statistics shown on the AIIB website.
Sovereign-backed financing is considered a loan to, or guaranteed by, a member-country while non- sovereign-backed financing includes any financing to or for the benefit of a private enterprise or a sub-sovereign entity (such as a political or administrative subdivision of a member or a public-sector entity) that is not backed by a guarantee or counter-guarantee and indemnity by the member to the Bank.
The website also shows in 2022 the bank endorsed three projects for Bangladesh worth $ 560 million.
The projects were IDCOL multi-sector on-lending facility worth $ 200 million, Unique Meghnaghat IPP worth $ 110 million and strengthening social- resilience programme worth $250 million.
In 2021, the AIIB approved three projects with investments amounting to $ 810 million. They were sustainable economic-recovery programme worth $ 250 million, COVID-19 emergency and crisis- response facility worth $ 300 million and Mymensingh-Kewatkhali bridge project $ 260 million.
In 2020, six projects were approved by the AIIB with funds amounting to $1.324 billion. The projects were: rural water, sanitation and hygiene for human-capital development worth $ 200 million, COVID-19 emergency response and pandemic-preparedness project worth $ 100 million, COVID-19 active response and expenditure support (CARES) programme worth $ 250 million, Dhaka sanitation improvement $ 170 million, Sylhet-to-Tamabil road-upgrade project worth $ 404 million and Dhaka and West Zone transmission grid-expansion project worth $ 200 million.
In 2019, the bank approved two projects involving to$ 220 million. They were municipal water supply and sanitation project worth $ 100 million and power system upgrade and expansion worth $120 million. Only one project, named Bhola IPP, was approved in 2018 with $60- million investment. Approved In 2017 were natural-gas infrastructure and efficiency improvement $60 million and in 2016, distribution-system upgrade and expansion worth $ 165 million.
The AIIB says the investment is meant for developing "infrastructure for tomorrow". Its objective reads: "By investing in sustainable infrastructure, AIIB unlocks new capital, new technologies and new ways in which to address climate change and to connect Asia, and the world."
The AIIB's president and the Board of Directors have approved 227 projects so far. Project approval was guided by the Bank's strategic goals and thematic priorities. The AIIB has invested $ 43.64 billion in the 227 projects in its command area.
jasimharoon@yahoo.com