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The Asian Infrastructure Investment Bank (AIIB) is set to enhance funding to Bangladesh as it is adding a new window of climate change alongside financing infrastructure-development projects.
Its acting vice-president Rajat Misra came up with the disclosure Tuesday when talking to newsmen after a meeting with Finance Minister Abul Hassan Mahmood Ali at his secretariat office.
He said the AIIB is now at an advanced level of discussions with Bangladesh on a climate change-related project. "So, probably that will be the first project to be approved by the AIIB globally on climate finance."
Mr Misra said that the AIIB, primarily an infrastructure finance bank, has already approved more than $3.5 billion in funding for Bangladesh. "We also want to be a partner in Bangladesh's development because the country is developing its infrastructure at a rapid pace."
Asked whether the AIIB will enhance financing in the coming years, he replied: "That is our aim because we don't have any limits on our lending to Bangladesh right now. So, we can definitely take it up substantially."
Finance Minister Mr Ali informed the newsmen that the AIIB has assured Bangladesh of funding to whatever projects would be placed before them.
"They have a lending policy or investment policy which just suits the requirements of Bangladesh," he added.
Finance Division Secretary Dr M Khairuzzaman Mozumder said the AIIB is interested in getting involved more in the infrastructural development in Bangladesh.
During the discussion, the Bangladesh side sought budget support from the AIIB, he said.