China-based Asian Infrastructure Investment Bank (AIIB) along with Asian Development (ADB) is currently processing a $2 billion loan to buy COVID-19 vaccines for India.
AIIB Vice President DJ Pandian said here on Tuesday that out of the $2 billion loan, Manila-based ADB is looking to provide $1.5 billion and AIIB $500 million.
“ADB has agreed to a funding of $1.5 billion and AIIB will be supplemented with $500 million,” Mr. Pandian said.
The loan is under consideration from the AIIB board, he said, adding that India has applied for it three months back. According to the bank, around 667 million doses of COVID-19 vaccines were expected to be received through the loan.
He said the vaccines will be procured by the Indian government through a competitive process and ADB will administer the procurement mechanism and implement it under ADB’s APVX, or Asia-Pacific Vaccine Access Facility, mechanism.
India, which produces Covishield and Covaxin, recently crossed a milestone of delivering 100 crore Covid-19 vaccine doses to its citizens against the deadly virus. India also plans to restart vaccine exports and provide jabs to several countries.
Apart from funding various infrastructure projects in India, AIIB has also given a grant of $1.75 billion for COVID-19 relief budget support to India.
Mr Pandian said the Beijing-based AIIB, in which India is the second largest shareholder after China, has so far approved 147 projects worth $28.9 billion.
Apart from being the second largest shareholder, India has emerged as the largest beneficiary by receiving $6.7 billion for 28 projects, he told media here after the bank held its 2021 annual general meeting via video link.