Washington D.C., October 14, 2022
AIIB, CAF Enhance Collaboration on Green Projects in Latin America, the Caribbean
To cofinance sustainable development initiatives on strategic sectors like climate change, renewable energy
The Asian Infrastructure Investment Bank (AIIB) and the Development Bank of Latin America (CAF), have signed a Memorandum of Understanding (MOU) to enhance their collaboration on promoting renewable energy and green initiatives in Latin America and the Caribbean. The agreement marks a commitment by both institutions to strengthen their development cooperation. It will catalyze additional resources through cofinancing measures to maximize impact and deliver greater value to common Member economies in the region.
The MOU was signed on Oct. 13, 2022 by AIIB’s Vice President of Policy and Strategy, Sir Danny Alexander, and CAF’s Vice President of Finance, Gabriel Felpeto, in Washington D.C. Under the MOU, AIIB and CAF will promote joint initiatives that contribute to accelerating the energy transition in Latin America and the Caribbean, with an emphasis on climate change and renewable energy. The MOU comes at a pivotal moment when countries and multilateral institutions are seeking sustainable pathways aligned with the Paris Agreement and United Nations 2030 agenda.
“The partnership between our two institutions enables more effective cooperation in the areas of sustainable economic development and climate change,” said Alexander. “By working together, AIIB and CAF will help accelerate the mobilization of critical private climate finance flows in the region and leverage each other’s comparative advantages to maximize development impact. For the AIIB, this is also an opportunity to learn from CAF’s rich experience in financing infrastructure projects in Latin America.”
Felpeto said the MOU will play a critical role in facilitating access to added resources in the form of cofinancing, thus contributing to CAF’s goal of becoming the Green Bank of Latin America and the Caribbean.
“The region faces great challenges in terms of sustainable development,” said Felpeto. “Our mission as the green bank of Latin America and the Caribbean is to support the countries of the region in responding at the speed these challenges demand and reposition them on the road toward sustainable development. This agreement will enable us to identify and promote investment opportunities in sectors of common interest that will promote sustainable economic recovery and contribute to the fight against climate change.”
The collaboration with CAF will support AIIB in achieving its climate finance targets. Following AIIB’s Corporate Strategy, the Bank is targeting a 50-percent share of climate finance in its actual financing approval by 2025, reflecting its commitment to the Paris Agreement. The partnership is also aligned with AIIB’s existing efforts in mobilizing private investments to facilitate access to clean, safe and renewable energy across its Members.
The Asian Infrastructure Investment Bank (AIIB) is a multilateral development bank whose mission is financing the Infrastructure for Tomorrow—infrastructure with sustainability at its core. We began operations in Beijing in January 2016 and have since grown to 105 approved members worldwide. We are capitalized at USD100 billion and Triple-A-rated by the major international credit rating agencies. Collaborating with partners, AIIB meets clients’ needs by unlocking new capital and investing in infrastructure that is green, technology-enabled and promotes regional connectivity.
About the CAF
The mission of CAF, Development Bank of Latin America, is to promote sustainable development and regional integration by financing public and private sector projects, providing technical cooperation and other specialized services. Established in 1970 and currently made up of 21 countries—19 from Latin America and the Caribbean, together with Spain and Portugal—and 13 private banks, it is one of the main sources of multilateral financing and an important generator of knowledge for the region. More information can be found at www.caf.com
More News Articles
Beijing, March 24, 2023
AIIB Enhances Support for Southeast Asia’s Green Transition and Sustainable Infrastructure Development, Board of Directors Meets at Bank’s Headquarters
The Board of Directors of the Asian Infrastructure Investment Bank (AIIB) has approved an investment of up to USD120 million in the Seraya Southeast Asia Energy Transition and Digital Infrastructure Fund (the Fund). The investment aims to support the region’s green energy transition and technology-enabled infrastructure development, which is also expected to improve cross-border digital connectivity within Asia.READ MORE
Beijing, March 22, 2023
AIIB President Jin Liqun meets with World Bank President nominee Ajay Banga
Today the President of the Asian Infrastructure Investment Bank, Jin Liqun, welcomed to AIIB headquarters in Beijing the United States’ nominee for World Bank Group President, Ajay Banga.READ MORE
Beijing, March 08, 2023
AIIB Partners With SWEEF in Financing Women’s Economic Empowerment Across Southeast Asia
The Asian Infrastructure Investment Bank (AIIB) has partnered with the Southeast Asia Women’s Economic Empowerment Fund (SWEEF) to finance small and medium-sized enterprises (SMEs) in Southeast Asia. Agreements were signed last week with AIIB committing up to USD10 million to the fund.READ MORE
Beijing, February 13, 2023
AIIB-Host Country Engagement Workshop Held in Beijing
The Asian Infrastructure Investment Bank (AIIB) hosted its Second AIIB-Host Country Engagement Workshop at the AIIB Headquarters in Beijing on Feb. 9, 2023. Opening remarks were given by AIIB President and Chair of the Board Jin Liqun and Wang Dongwei, China’s Vice Minister of Finance and AIIB Alternate Governor for China. Representatives from China’s central government, provincial governments, financial institutions, corporations and associations from China attended the workshop.READ MORE