Civil Society Reflections on AIIB Advocacy and Critical Engagement

This report critically assesses civil society engagement with the Asian Infrastructure Investment Bank (AIIB), examining the gap between its stated commitments to transparency, accountability, and sustainable development, and the practical experiences of affected communities and their advocates. Utilizing a qualitative methodology, this analysis is informed by in-depth interviews conducted in 2024 with representatives from nine diverse CSOs (CSOs), complemented by a comprehensive review of relevant publications over the past eight years.

Key findings indicate that the AIIB’s governance structure, despite its stated “lean, clean, and green” mandate, features a significant concentration of executive authority, which has been associated with reduced board oversight and questions regarding institutional accountability. The Project-affected People’s Mechanism (PPM), established for grievance redress, has been observed to face challenges regarding its operational effectiveness, structural independence, and accessibility for impacted communities. Additionally, the AIIB’s approach to gender integration has been noted as lacking a formal gender policy and exhibiting less transparent development processes. Within its energy sector investments, the bank’s portfolio reflects a gradual transition from fossil fuels, with continued financing in gas and reported indirect connections to coal, even as it affirms its Paris Agreement commitments. 

Furthermore, CSO engagement generally appears to be less substantive than anticipated, characterized by inconsistent responsiveness, perceived lack of transparency, and complexities related to co-financing arrangements. The report concludes that while CSOs have secured some policy commitments and opened avenues for dialogue, systemic issues within the AIIB continue to present challenges to meaningful accountability and genuine stakeholder participation. These findings indicate a need for comprehensive reforms to align the AIIB’s practices with its stated role as a multilateral development bank.

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