The Asian Infrastructure Investment Bank (AIIB) said Friday that it will set up a crisis recovery facility to help its members cope with and recover from economic, financial and public health pressures brought by the novel coronavirus pandemic.
As part of the coordinated international response to counter the disease, the COVID-19 Crisis Recovery Facility will offer an initial 5 billion U.S. dollars of financing to both public and private sector entities facing serious adverse impacts.
The facility is designed to be flexible and adaptive to emerging demands. It will offer dedicated financing for the next 18 months for qualifying projects within its membership. The size of the facility could be increased depending on client demand.
AIIB is also exploring how it can use its Project Preparation Special Fund to help its members, especially low-income members, whose economies are being particularly impacted by COVID-19.
"A well-managed and robust development institution must be nimble enough to deal with external shocks and responsive enough to adapt to the changing needs of its clients while also adhering to our mission of promoting economic and social development in Asia," said Jin Liqun, AIIB President and Chair of the Board.
Noting that the international community needs to come together to pool resources to help the world navigate the current pandemic and economic upheaval, Jin said that this new facility will help AIIB's members to overcome immediate financial pressures and maintain critical long-term investments.
Headquartered in Beijing, AIIB began operations in January 2016 and have now grown to 102 approved members worldwide. It is a multilateral development bank with a mission to improve social and economic outcomes in Asia.
