AIIB keen to expand private sector investment in Pakistan

The Asian Infrastructure Investment Bank (AIIB) here on Tuesday reaffirmed it’s commitment to deepening cooperation with Pakistan, expressing keen interest in expanding operations beyond sovereign financing through non-sovereign interventions aimed at strengthening private sector engagement and widening the scope of development cooperation in the country.

The reaffirmation was made by AIIB President, Ms. Zou Jiayi during a meeting with Federal Minister for Economic Affairs, Ahad Cheema.

She reaffirmed that Pakistan remains a strategic development partner of the Bank, with an overall portfolio amounting to almost US$3.5 billion .

Ahad Cheema acknowledged AIIB’s ongoing portfolio of US$1.387 billion in Pakistan and conveyed appreciation for the Bank’s continued support toward the country’s development priorities.

He underscored the government’s strategic focus on federal-level infrastructure projects, particularly in the railway, road, and power sectors, emphasizing the need for focused, high-impact initiatives capable of delivering substantial economic dividends.

Cheema highlighted the vast potential of Pakistan’s railway system, noting that modernization of freight movement and logistics would significantly enhance efficiency and strengthen overall economic productivity.

He emphasized the importance of aligning AIIB’s engagement with Pakistan’s infrastructure priorities, citing transformative projects such as the Main Line-1 Railway Project (ML-1), N-5 National Highway Phase-II , and the modernization of electricity transmission and distribution systems. He also recognized AIIB’s contributions to key projects in energy, transport, and urban development.

The Minister further highlighted the need for establishing an AIIB office in Pakistan to facilitate closer coordination and more effective engagement. He also encouraged enhanced collaboration with the private sector, particularly in the agriculture domain, to unlock growth potential and strengthen value chains, thereby contributing to sustainable economic development.