Policy Description:
Environmental and social sustainability is a fundamental aspect of the Bank's support for infrastructure development and enhanced interconnectivity in Asia. The Bank's Environmental and Social Framework (ESF) is a system that supports the Bank and its clients in achieving environmentally and socially sustainable development outcomes. It does so by integrating good international practice on environmental and social planning and management of risks and impacts into decision-making on, and preparation and implementation of, Bank supported Projects.
In view of the recent amendments to the Environmental and Social Framework (ESF), three versions of the ESF are posted on this website, one as amended through February 2019 (2019 ESF), one as amended through May 2021 (2021 ESF) and one as amended through November 2022 (2022 ESF). The version applicable to a given AIIB-financed project (Project) depends on when the Project enters or entered AIIB’s investment pipeline.
2022 ESF. The 2022 ESF, which provides for Results-based Financing (RBF) and codifies in the Environmental and Social Exclusion List the AIIB’s long standing practice of excluding AIIB financing of coal and projects functionally related to coal*, replaces the May 2021 ESF and enters into effect on November 22, 2022. However, Management may, in its discretion, continue to apply the 2019 ESF to Projects that entered the investment pipeline prior to October 1, 2021.
2021 ESF. The 2021 ESF applies to all Projects that are included in AIIB’s investment pipeline on or after October 1, 2021. It may be applied to Projects that are included in the investment pipeline prior to this date, at the discretion of Management.
2019 ESF. All other Projects are governed by the 2019 ESF.
*Projects functionally related to coal means associated facilities that are dedicated to enable the mining and use of coal or projects that would not be carried out without dedicated coal-based power supply.
Directive Description:
This Directive aims to facilitate the implementation of the Bank’s Environmental and Social Policy, including the Environmental and Social Standards and Environmental and Social Exclusion List.
