BAKU, Azerbaijan, June 24. The Asian Infrastructure Investment Bank (AIIB) has signed its first Project-Specific Window (PSW) Grant Agreement, awarding $2.04 million to Tajikistan to support the Obigarm–Nurobod Road Project, Trend reports.
The agreement, signed at AIIB’s headquarters in Beijing, marks a milestone in the Bank’s drive to expand its use of blended finance to boost development outcomes.
The grant will support the construction of a key section of the M41 Highway in central Tajikistan, a mountainous area north of the Vahdat River Valley that has been disrupted by the Rogun Hydropower Plant’s reservoir. The project aims to restore a vital 75-kilometer transport link, improving regional connectivity and access for local communities.
Tajikistan’s Minister of Finance Fayziddin Qahhorzoda and AIIB Chief Investment Officer Konstantin Limitovskiy signed the agreement in the presence of representatives from the China International Development Cooperation Agency (CIDCA), which is funding the grant.
“This first PSW grant is an important step in AIIB’s journey to scale impact through blended finance,” said Limitovskiy. “By combining infrastructure investment with local skills development and inclusive programming, we aim to deliver long-term benefits for communities—especially women and youth in project-affected areas.”
The grant will finance a range of socio-economic development initiatives, including technical training for workers, the establishment of community centers for women, and entrepreneurship programs aimed at creating jobs and improving livelihoods.
The Project-Specific Window is part of AIIB’s broader strategy to channel targeted donor funding toward high-impact projects in member countries. The Obigarm–Nurobod initiative reflects the Bank’s growing focus on sustainable infrastructure and inclusive development, reinforcing its commitment to community-centered investment across Asia.