The Asian Infrastructure Investment Bank (AIIB) has held its first-ever Annual Meeting in Central Asia, accentuating the region's growing importance on the global stage. The 2024 meeting, hosted in the ancient city of Samarkand, brought together policymakers and leaders from around the world, shining a spotlight on the investment potential of Central Asia and its critical role in fostering sustainable development.
AIIB President Jin Liqun emphasized the significance of holding this meeting in Central Asia for the first time since the bank’s inception. "This event is very, very significant," Jin said. "It projects the image of Central Asian countries to the rest of the world. They are keen on sustainable development, improving livelihoods, and addressing climate change. Central Asia is a region with immense potential."
A Region at the Heart of Connectivity and Development
The meeting highlighted Central Asia’s unique geographical position and its role as a bridge between East and West. "Uzbekistan, being a double landlocked country, faces inherent challenges in connectivity," Jin explained. "But with the right infrastructure investments, we can transform this into a geographical advantage, positioning the region as a central hub for communication and trade."
The AIIB President praised Uzbekistan’s active role in promoting development and regional cooperation, noting the participation of neighboring countries, including Kazakhstan, Kyrgyzstan, and Tajikistan, in the meeting. "Our collaboration with the government and people of Uzbekistan has been instrumental in driving positive change," Jin said. "It is a shining example of how multilateral cooperation can yield tangible and lasting benefits."
Resilient Infrastructure for Tomorrow’s Challenges
The theme of this year’s meeting, Resilient Infrastructure, directly aligns with Central Asia's ambitions to modernize and adapt to both environmental and geopolitical challenges. Jin elaborated on how AIIB defines resilient infrastructure: "It’s infrastructure that is designed, implemented, operated, and maintained to withstand natural disasters, climate change, and disruptions in global supply chains."
AIIB’s vision of Infrastructure for Tomorrow emphasizes sustainability and inclusivity, focusing on how the infrastructure built today can improve resilience for years to come. Jin noted that this approach is crucial for Central Asia, where addressing climate change and boosting economic growth are paramount.
Renewable Energy and Sustainability Projects in Central Asia
Central Asia's renewable energy potential was a key focus at the meeting, with AIIB showcasing its existing and future projects in the region. Jin highlighted a successful 240-megawatt solar power plant in Uzbekistan, which provides electricity to over 264,000 households and significantly reduces carbon emissions. "This is a prime example of how we can work together to promote clean energy," he said.
AIIB also plans to support Uzbekistan in upgrading its power grid and expanding renewable energy projects, demonstrating the bank's commitment to helping the region transition to a greener economy. Jin stressed that infrastructure and climate financing are closely linked: "Building metro systems and improving light rail not only enhances connectivity but also reduces carbon emissions, which is a form of climate change mitigation."
The Broader Role of Multilateral Banks
AIIB's expansion in Central Asia reflects a broader trend of multilateral development banks playing an increasingly crucial role in supporting middle- and low-income countries in the region. When asked about AIIB’s collaboration with other institutions, Jin reaffirmed the bank’s commitment to working alongside the World Bank and the Asian Development Bank. "We complement each other’s efforts," Jin said. "Together, we can mobilize resources more efficiently to tackle the region’s pressing needs."
He also addressed the challenges of balancing financial sustainability with the urgent need for development in Central Asia. "It’s not just about the financial resources but also about building human capital and maintaining the financial health of the bank so we can continue to provide low-cost financing for infrastructure," Jin explained.
Future Investments and Long-Term Vision for Central Asia
Looking ahead, AIIB’s plans for Central Asia are ambitious. Jin outlined the bank’s commitment to doubling or even tripling its financing for Uzbekistan over the next five to ten years. He stressed the importance of connectivity projects in transforming Uzbekistan’s geographic position into a strength, serving as a bridge for trade and communication across the region.
"Through continued cooperation, we will create more job opportunities, especially for women, and help the people of Uzbekistan stand on their own feet," Jin said. AIIB’s focus on building sustainable infrastructure and boosting private sector involvement will be key to improving livelihoods and reducing poverty in the region.
Kazakhstan also plays a central role in AIIB’s future plans, with renewable energy projects and power grid upgrades being prioritized. "Kazakhstan’s vast land and natural resources make it a prime location for solar and wind projects," Jin noted. "We are committed to supporting the country’s energy transition and economic growth."
The Green Transition
AIIB's commitment to accelerating the green transition was another highlight of the meeting. The bank's corporate strategy aims to ensure that at least 50% of its financing supports climate change mitigation and adaptation by 2025—a goal AIIB has already surpassed, with 68% of its funding now dedicated to climate-related projects.
Jin referenced the severe flooding in Pakistan and China as examples of how climate change is already affecting the region. "Many so-called 'natural disasters' are actually the result of human activities," he warned. "AIIB is committed to increasing financing for climate change, but we focus on quality and effectiveness, not just the amount."
A Region Poised for Growth
In his closing remarks, Jin reiterated the importance of continued cooperation: "The progress we have seen so far is just the beginning. Central Asia has enormous potential, and through our partnerships, we will unlock new opportunities for growth, sustainability, and prosperity."
This event sets the stage for a brighter future in Central Asia, where the region’s strategic importance and commitment to sustainable development will play a central role in shaping the global economy for decades to come.
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