Interview: Egypt seeks enhanced partnership with AIIB as bank's global influence grows: expert

Egypt joined the AIIB in 2016 and has since secured around 1.27 billion U.S. dollars in funding. These resources, have supported a range of infrastructure projects aligned with both the AIIB's mission and Egypt's national development priorities, said an Egyptian economist.

CAIRO, June 18 (Xinhua) -- As the Asian Infrastructure Investment Bank (AIIB) continues to expand its global footprint, Egypt has grown increasingly confident in the bank's capabilities and seeks a closer partnership, an Egyptian economist has said.

"The bank began operations in 2016, and since then, its funding has diversified to cover energy, transportation, water and technology projects across member states," Waleed Gaballah, a member of the Egyptian Association for Political Economy, Statistics and Legislation, told Xinhua in a recent interview, highlighting the bank's significant role in bolstering infrastructure across Asia and the Middle East.

He noted that the bank's financing record reflects a strong start and wide-ranging impact in a relatively short time, underscoring its ability to advance toward its goals, especially given its AAA rating from major international credit agencies.

Egypt joined the AIIB in 2016 and has since secured around 1.27 billion U.S. dollars in funding. These resources, he said, have supported a range of infrastructure projects aligned with both the AIIB's mission and Egypt's national development priorities.

He emphasized the bank's commitment to sustainable development and climate change mitigation through its investment in green transition projects.

"The bank has developed a sophisticated strategy for structuring its financing packages in line with sustainability objectives and climate action," Gaballah said. "Around 50 percent of its total funding is now dedicated to climate-related projects."

Among these initiatives, the bank has participated in financing Egypt's Nexus of Water, Food and Energy (NWFE) program, which supports renewable energy projects. Gaballah noted that further collaboration in this sector is expected in the near future.

"One of the most significant AIIB-funded projects in Egypt is the Abu Qir Metro Line in Alexandria," he said. "This long-awaited project will transform the city's transport system by converting an existing railway line into a modern, eco-friendly metro capable of carrying more passengers more efficiently."

Gaballah stressed that AIIB financing in Egypt supports initiatives aimed at improving citizens' quality of life, enhancing infrastructure, creating jobs, and promoting environmental sustainability.

He also praised the AIIB's multilateral approach and its role in global economic governance reform. Unlike some other institutions, the AIIB does not impose conditionalities on its financing.

The expert noted that the bank operates under a strong governance framework and actively partners with established institutions such as the World Bank.

He also recalled Egypt's hosting of the 2023 AIIB Annual Meeting in Sharm El Sheikh -- a move which, he said, reflects Cairo's desire to strengthen ties with a leading global financial institution that has grown rapidly and steadily since its inception.

Gaballah concluded that Egypt's Vision 2030 is broadly aligned with the AIIB's strategy, paving the way for increased cooperation in infrastructure development, digital transformation and private sector engagement.

"Future areas of collaboration will build on the current partnership," he said. "We expect continued financing for infrastructure and a greater role for the bank in supporting private sector activity and major national projects." ■