Paris, France, 23 June 2023 - Islamic Development Bank (IsDB) President, H.E. Dr. Muhammad Al Jasser, held a bilateral meeting with Mr. Jin Liqun, President of the Asian Infrastructure Investment Bank (AIIB), in Paris, today. The meeting aimed to enhance the partnership between the two global development institutions and discuss avenues for collaboration in addressing common challenges and promoting sustainable development.

Expressing gratitude for the initiative taken by AIIB, President Al Jasser reiterated IsDB Group's commitment to the partnership and emphasized the importance of continuous dialogue between the two institutions. He appreciated AIIB for its active participation in the 2023 IsDB Group Annual Meetings where AIIB was represented by Mr. Luky Eko Wuryanto, the Vice President & Chief Administration Officer.

President Al Jasser expressed satisfaction with the cooperation between IsDB and AIIB since the signing of the AIIB-IsDBG Memorandum of Understanding (MoU) in June 2018. With 29 common member countries, he highlighted the interest in scaling-up cooperation and co-financing in areas of mutual interest, leveraging each other's strengths and comparative advantages. Both IsDB and AIIB share common features as South-led Multilateral Development Banks (MDBs) with a strong focus on infrastructure development.

Outlining IsDB's strategic objectives for the period of 2023-2025, which include boosting recovery, tackling poverty and building resilience, and driving green economic growth, President Al Jasser highlighted the successful co-financing projects between IsDB and AIIB, such as the Bangladesh Bhola IPP power plant and the development of gas storage facilities in Turkey. Additionally, he mentioned the ongoing discussions regarding the co-financing of the Trans-Afghan Railway Project and potential opportunities in Indonesia.

Furthermore, the IsDB Group Chairman recognized the adverse impact of the ongoing geopolitical and trade tensions and underlined the need for scaling up cooperation and co-financing to support the green and digital transitions in member countries. He acknowledged the challenges faced by many IsDB member countries, including fiscal constraints, elevated debt levels, and the dislocation of global food and energy markets. In this context, President Al Jasser highlighted IsDB's commitment to addressing global food security and climate crises.

He elaborated how IsDB Group's contribution of a minimum of US$10.5 billion through 2025 to the Arab Coordination Group's commitment of US$20 billion in response to the global food crisis emphasizing the Bank's focus on mitigating the impact of global food market shocks and supporting investment in food production and agricultural value chains, including through the establishment of Special Agro-Processing Zones (SAPZs). Furthermore, President Al Jasser announced IsDB's plan to invest up to US$7.8 billion in agriculture and rural development in Africa over the 5-year period of 2023-2027.

The importance of addressing the water-agriculture-energy nexus and supporting member countries in their low-carbon and digital transitions were also highlighted. Dr. Al Jasser then emphasized IsDB's commitment to climate finance, with a target of 35% of annual commitments by 2025, and the allocation of US$24 billion for climate finance through 2030 as part of the Arab Coordination Group's commitment.

During the meeting, Dr. Al Jasser expressed IsDB's parallel alignment with AIIB's focus on climate finance and their shared commitment to achieving sustainable development goals.