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Interview: AIIB expands global reach through sustainable projects, innovation: Malaysian economist

Source: Xinhua| 2025-06-24 17:50:15|Editor: huaxia

KUALA LUMPUR, June 24 (Xinhua) -- Ten years after its launch, the Asian Infrastructure Investment Bank (AIIB) has emerged as a global force in infrastructure finance, driven by its focus on sustainable infrastructure, a culture of learning, and innovation, a Malaysian expert has said.

"The AIIB was created to fill a major financing gap for cross-border infrastructure in Asia ... In infrastructure projects, it not only acts to bridge infrastructure financing gaps in Asia but also evolves into a proactive agent in climate finance and crisis response," said Chung Tin Fah, an economics professor at Malaysia's HELP University, in a recent written interview with Xinhua.

Amid rising global economic uncertainty and growing protectionism, Chung highlighted the AIIB's strategic role in supporting bilateral and multilateral frameworks, which are increasingly gaining prominence as global arrangements face growing challenges from trade barriers, subsidies and fragmentation.

"There is a role for the AIIB in this increasingly fragmented, uncertain and protectionist global world," he said, adding that AIIB-backed projects in Central Asia, ASEAN, Latin America, and Africa underscored the bank's expanding global reach.

"Over the past decade, the AIIB has made remarkable progress, especially in leading climate finance, responding to crises, forming co-financing partnerships and enhancing regional connectivity," Chung noted.

Looking ahead, Chung said that in light of a weakening global economic governance system and mounting pressure on multilateral mechanisms, the AIIB is well-positioned to deepen coordination and cooperation with regional institutions such as the Asian Development Bank and the New Development Bank.

He noted that by upholding principles of openness, transparency and inclusiveness, the AIIB can help enhance financing efficiency and foster complementarity within the multilateral financial system.

"Malaysia stands to gain immensely from its involvement in the AIIB, especially in areas aligned with national priorities like green infrastructure and innovation," Chung said.

The AIIB's core priorities, such as green infrastructure, technology-enabled development, and private capital mobilization, are well aligned with Malaysia's development objectives, Chung added.

Malaysia could take a more proactive role, especially in such areas as connectivity and renewable energy, he said, stressing Malaysia will benefit from its participation in the AIIB from a broader economic perspective.

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