According to AIIB’s Articles of Agreement, the operations of the Bank consist of ordinary operations financed from its ordinary resources, and special operations financed from its Special Fund resources. Special Fund resources are funds accepted by the Bank for inclusion in any Special Fund, and include funds received from contributors or external partnership facilities. All AIIB Special Funds are designed to serve the purpose and come within the functions of the Bank.

Overall, Special Funds support the implementation of AIIB’s mandate and Corporate Strategy and will enable AIIB to increase its focus on providing project preparation and implementation services for high-quality projects. They also allow AIIB to serve the needs of its broad membership base across the income spectrum, and give special regard to the needs of its less developed Members.

AIIB has multiple Special Funds that serve different purposes, including identification and preparation of high quality bankable projects, capacity building, information sharing, and making AIIB loans more affordable through interest buy down grants.

Project Preparation Special Fund

Established in June 2016, the Project Preparation Special Fund (PPSF) is a multidonor facility created to provide technical assistance grants to support the preparation of high-quality bankable projects for AIIB Members, especially less developed Members. Project preparation activities supported by these grants are critical to improve project quality and ensure economic, environmental and social sustainability and implementation readiness.

Special Fund Window for Less Developed Members (SFW)

The Special Fund Window for Less Developed Members (SFW) provides interest rate buy-down for eligible sovereign-backed financing projects to make AIIB financing more affordable for its less developed Members.

Global Infrastructure Facility (GIF) Special Fund

The Global Infrastructure Facility Special Fund was established to administer grants received by AIIB as a Technical Partner of the Global Infrastructure Facility (GIF). The GIF is a global collaboration platform that supports the preparation, structuring, and de-risking of high-quality, bankable, sustainable infrastructure programs and projects in emerging markets that are attractive to private capital. The GIF Special Fund can support project readiness, project definition and project preparation activities to promote private capital mobilization.

Pandemic Fund Special Fund

The Pandemic Fund Special Fund was established by AIIB to manage grants it receives as Implementing Entity of the Pandemic Prevention, Preparedness and Response Financial Intermediary Fund (the Pandemic Fund). The Pandemic Fund is a multi-stakeholder global partnership that provides a dedicated stream of additional, long-term financing to strengthen critical pandemic prevention, preparedness, and response (PPR) capabilities in low- and middle-income countries. Its Secretariat is hosted by the World Bank.

Multilateral Cooperation Center for Development Finance (MCDF) Special Fund

The Multilateral Cooperation Center for Development Finance Special Fund was established to administer grants received by AIIB as Implementing Partner of the Finance Facility of the Multilateral Cooperation Center for Development Finance (MCDF). The MCDF is a multilateral financial mechanism designed to promote high-quality infrastructure and connectivity investments in developing countries in compliance with international financial institution (IFI) standards, including by encouraging other investors and financial institutions to adopt such standards. The MCDF Special Fund can support project preparation, capacity building, and information sharing activities that align with both AIIB’s strategic priorities and the MCDF’s objectives.

*Independent from its role as Implementing Partner, AIIB also serves as the Administrator of the MCDF, and hosts the MCDF Secretariat.