AfDB, AIIB Expand Partnership to Boost Africa’s Sustainable Infrastructure
The agreement was formalized by AfDB President Dr. Akinwumi Adesina and AIIB President Jin Liqun on the sidelines of a high-level Multilateral Development Banks (MDBs) meeting in Paris, France.
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- Ivory Coast
In a significant move to accelerate sustainable economic growth and infrastructure development across Africa, the African Development Bank (AfDB) and the Asian Infrastructure Investment Bank (AIIB) have signed a landmark Memorandum of Understanding (MoU) on June 28, 2025. The agreement was formalized by AfDB President Dr. Akinwumi Adesina and AIIB President Jin Liqun on the sidelines of a high-level Multilateral Development Banks (MDBs) meeting in Paris, France.
This enhanced partnership builds upon the earlier MoU signed in 2018, laying a stronger foundation for intensified cooperation between the two financial institutions on climate-resilient infrastructure, private capital mobilization, and cross-border connectivity, among other areas vital to Africa’s development.
Six Key Pillars for Future Collaboration
The renewed agreement identifies six priority areas that align with both AfDB’s Ten-Year Strategy (2024–2033) and AIIB’s Corporate Strategy:
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Green Infrastructure: Supporting climate-smart investments and environmental resilience.
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Industrialization: Promoting regional manufacturing and economic diversification.
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Private Capital Mobilization and Public-Private Partnerships (PPPs): Unlocking private-sector investment.
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Cross-Border Connectivity: Facilitating trade and regional integration through logistics and transport networks.
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Digitalization: Expanding access to digital infrastructure and services.
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Policy-Based Financing: Providing flexible financing options to advance national reform agendas.
Dr. Adesina described the MoU as a strategic framework to catalyze infrastructure investment, emphasizing that it is not only a tool for financing but a platform for delivering prosperity across Africa.
Strengthening Financial Cooperation: From Panda Bonds to Power Grids
One of the most notable outcomes of the existing AfDB-AIIB collaboration was their joint guarantee support for Egypt’s RMB 3.5 billion Sustainable Panda Bond in 2023—the first African sovereign bond issued in the Chinese interbank bond market. The bond, backed by the triple-A ratings of both multilateral banks, helped Egypt secure favorable financing terms and drew substantial investor interest, marking a milestone in African engagement with Asian capital markets.
The MoU aims to deepen such co-financing, co-guaranteeing, and technical assistance efforts, and expand them to include power generation, digital infrastructure, and transport corridors across Africa.
Mission 300: Lighting Up Africa
Dr. Adesina reiterated the AfDB’s flagship Mission 300 initiative, which targets connecting 300 million Africans to electricity by 2030. The new agreement, he said, is instrumental in achieving this ambitious goal. “By reaffirming our partnership, we are accelerating the pace of transformation across Africa’s energy landscape,” he stated.
AIIB President Jin Liqun echoed this sentiment, saying: “This renewed commitment showcases AIIB’s ambition to support sustainable development beyond Asia. By leveraging our joint resources and expertise, we can deliver transformative infrastructure that lifts millions out of poverty and lays the groundwork for a more integrated and prosperous Africa.”
Broader Impact and Global Implications
The partnership between AfDB and AIIB symbolizes a broader shift toward South-South financial cooperation, where emerging and developing economies collaborate to find contextual, homegrown solutions. The banks will also coordinate on climate finance, resilience building, and innovation in digital payments and financial inclusion.
The MoU’s signing in Paris also reflects growing consensus among MDBs about the urgent need for unified approaches to global development challenges, particularly around infrastructure financing and the green transition.
Looking Ahead
The enhanced MoU marks a pivotal moment for Africa’s infrastructure ambitions. By fostering multi-sectoral collaboration, the AfDB and AIIB aim to unlock billions in co-investments, expedite project implementation, and reinforce Africa’s ability to build sustainable, resilient, and inclusive economies.
This partnership, rooted in mutual trust and strategic alignment, represents a bold step forward in realizing Africa’s development vision through quality infrastructure, private-sector engagement, and financial innovation.
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