Asian infrastructure investment bank and IRENA team-up

The China-headquartered Asian Infrastructure Investment Bank (AIIB) and the International Renewable Energy Agency (IRENA) have announced their new alliance. 

The partnership was sealed by signing a memorandum of understanding which reflects both parties’ readiness to partner on various projects aimed at fostering Asia’s energy transition, primarily to mobilize fresh private capital for renewable energy. 

The AIIB is considered by many to be a befitting potential contender to the West’s IMF and World Bank.

Currently housing up to 60% of the world’s population, Asia contributes almost 50% of global energy-related greenhouse gas emissions. 

A report by IRENA revealed that the continent holds almost 50% of the world’s renewable-energy capacity – a significant increase on the less than one-third recorded about a decade ago.

The number seems impressive, but when analyzed in relation to its population, Asia still lags as its renewables only make up below 15% of total primary energy consumption in 2020.