The Asian Infrastructure Investment Bank and the New Development Bank are jointly extending a USD 75 million loan to City Bank PLC in Bangladesh to support sustainable infrastructure development. AIIB is providing USD 50 million, while NDB is contributing USD 25 million. The financing, initiated and structured by AIIB, aims to address major infrastructure challenges and promote investments in renewable energy, energy efficiency, e-mobility and digital infrastructure. It also provides longer-tenor funding, a crucial element for large-scale and resilient project development in Bangladesh.
This loan represents the first on-lending facility offered by AIIB and NDB to a private bank in Bangladesh, significantly enhancing the capacity of the private sector to fund sustainable infrastructure. The agreement was signed by senior officials from AIIB, NDB and City Bank, who highlighted the importance of the partnership in accelerating green and resilient growth. The initiative is expected to mobilize long-term private capital across essential sectors and expand opportunities for climate-aligned investments.
City Bank’s CEO noted that the partnership demonstrates strong confidence from global development institutions in the capability of Bangladesh’s private sector to drive the country’s sustainable growth. AIIB and NDB emphasized that the financing will help advance renewable energy and sustainable infrastructure while deepening cooperation between international financial institutions and local partners.
To complement the investment, AIIB has facilitated a USD 500,000 grant from the Multilateral Cooperation Center for Development Finance to strengthen City Bank’s environmental and social management systems. This grant will help enhance the bank’s capacity to finance infrastructure in line with international best practices and sustainability standards.
AIIB and NDB’s ongoing efforts reflect their broader mission to develop resilient, sustainable infrastructure ecosystems across member countries. Both institutions work to mobilize capital, promote sustainable development and support inclusive economic growth. City Bank, one of Bangladesh’s leading private commercial banks, maintains strong credit ratings and has been recognized as the country’s top sustainable bank for its commitment to responsible and innovative financial practices.
