EX-8

Exhibit 8

Asian Infrastructure Investment Bank

Condensed Financial Statements (Unaudited)

for the Three Months Ended March 31, 2026

Contents

Financial Statements


Condensed Statement of Comprehensive Income			1
Condensed Statement of Financial Position			2
Condensed Statement of Changes in Equity			3
Condensed Statement of Cash Flows			4
Notes to the Condensed Financial Statements			5-50
A. General Information			5
B. Accounting Policies			6
C. Disclosure Notes			7-32
D. Financial Risk Management			33-45
E. Fair Value Disclosures			46-50

Asian Infrastructure Investment Bank

Condensed Statement of Comprehensive Income

For the three months ended March 31, 2026


In thousands of US Dollars	Note		For the three months ended March 31, 2026			For the three months ended March 31, 2025
Interest income		C1		535,518			517,533
Interest expense		C1		(368,213	)		(299,986	)
Net interest income				167,305			217,547
Net fee and commission income		C2		12,023			10,388
Net gain on financial instruments measured at fair value and foreign exchange		C3		127,905			176,483
Net gain/(loss) on financial instruments measured at amortized cost		C9		547			(4,601	)
Impairment provision		C4		(795	)		(1,265	)
General and administrative expenses		C5		(73,622	)		(62,626	)
Operating profit for the period				233,363			335,926
Accretion of paid-in capital receivables		C10		87			83
Net profit for the period				233,450			336,009
Other comprehensive income Items will not be reclassified to profit or loss
Unrealized gain/(loss) in fair-valued borrowings arising from changes in own credit risk		C12		67,470			(43,878	)
Total comprehensive income				300,920			292,131
Attributable to:
Equity holders of the Bank				300,920			292,131

The accompanying notes are an integral part of these financial statements.

Asian Infrastructure Investment Bank

Condensed Statement of Financial Position

As at March 31, 2026


In thousands of US Dollars	Note	March 31, 2026 (unaudited)			Dec. 31, 2025 (audited)
Assets
Cash and cash equivalents	C6		3,146,624			3,295,009
Term deposits	C6		5,322,204			3,138,361
Treasury investments
Investments at fair value through profit or loss	C7		14,266,607			12,827,965
Debt securities, at amortized cost	C9		10,452,093			10,490,939
Investment operations
Loan investments, at amortized cost	C8		30,136,608			29,626,580
Debt securities, at amortized cost	C9		726,201			806,153
Investments at fair value through profit or loss	C7		2,452,759			2,272,696
Paid-in capital receivables	C10		213,532			219,625
Derivative assets	C13		1,037,770			1,312,674
Property and equipment			7,289			7,760
Intangible assets			6,016			6,546
Other assets	C11		614,324			655,682
Total assets			68,382,027			64,659,990
Liabilities
Borrowings	C12		42,687,783			39,069,441
Derivative liabilities	C13		1,040,453			841,922
Prepaid paid-in capital			174			174
Other liabilities	C14		774,459			1,170,215
Total liabilities			44,502,869			41,081,752
Members’ equity
Paid-in capital	C15		19,526,400			19,526,400
Reserves
Accretion of paid-in capital receivables			(727	)		(814	)
Unrealized loss in fair-valued borrowings arising from changes in own credit risk			(47,230	)		(114,700	)
Retained earnings			4,400,715			4,167,352
Total members’ equity			23,879,158			23,578,238
Total liabilities and members’ equity			68,382,027			64,659,990

The accompanying notes are an integral part of these financial statements.

Asian Infrastructure Investment Bank

Condensed Statement of Changes in Equity

For the three months ended March 31, 2026


									Reserves

In thousands of US Dollars	Note	Subscribed capital		Less: callable capital			Paid-in capital		Accretion of paid-in capital receivables			Unrealized loss in fair-valued borrowings arising from changes in own credit risk			Retained earnings			Total member’s equity
Jan. 1, 2025			97,037,800		(77,630,300	)		19,407,500		(418	)		(193,752	)		3,244,205			22,457,535
Capital subscription and contribution			5,500		(4,400	)		1,100		-			-			-			1,100
Net profit for the period			-		-			-		-			-			336,009			336,009
Other comprehensive loss			-		-			-		-			(43,878	)		-			(43,878	)
Paid-in capital receivables - accretion effect			-		-			-		(81	)		-			-			(81	)
Transfer of accretion	C10		-		-			-		83			-			(83	)		-
March 31, 2025 (unaudited)	C15		97,043,300		(77,634,700	)		19,408,600		(416	)		(237,630	)		3,580,131			22,750,685
Jan. 1, 2026			97,632,200		(78,105,800	)		19,526,400		(814	)		(114,700	)		4,167,352			23,578,238
Capital subscription and contribution			-		-			-		-			-			-			-
Net profit for the period			-		-			-		-			-			233,450			233,450
Other comprehensive income			-		-			-		-			67,470			-			67,470
Paid-in capital receivables - accretion effect			-		-			-		-			-			-			-
Transfer of accretion	C10		-		-			-		87			-			(87	)		-
March 31, 2026 (unaudited)	C15		97,632,200		(78,105,800	)		19,526,400		(727	)		(47,230	)		4,400,715			23,879,158

The accompanying notes are an integral part of these financial statements.

Asian Infrastructure Investment Bank

Condensed Statement of Cash Flows

For the three months ended March 31, 2026


In thousands of US Dollars	Note		For the three months ended March 31, 2026			For the three months ended March 31, 2025
Cash flows from operating activities
Net profit for the period				233,450			336,009
Adjustments for:
Interest income from term deposits				(41,848	)		(24,743	)
Interest expense for borrowings		C12		368,769			295,551
Interest expense for leasing		C1		-			4
Issuance cost for borrowings		C5		5,257			4,556
Accretion of paid-in capital receivables		C10		(87	)		(83	)
Net (gain)/loss on financial instruments measured at fair value through profit or loss				(248,789	)		89,726
Impairment provision charge		C4		795			1,265
Depreciation and amortization				1,220			1,345
Increase in loan investments		C8		(508,363	)		(732,566	)
Increase in debt securities in investment operations portfolio				(61,256	)		(60,507	)
Net cash received from derivatives				149,614			79,784
Decrease/(increase) in other assets				42,948			(67,656	)
(Decrease)/increase in other liabilities				(398,493	)		149,975
Net cash (used in)/from operating activities				(456,783	)		72,660
Cash flows from investing activities
Increase in investment with equity participation				(49,359	)		(121,444	)
Dividends received and return of capital contributions				13,599			22,171
Debt securities at amortized cost purchased in treasury investment portfolio				(14,836	)		(20,610	)
Debt securities at amortized cost matured, terminated or sold under treasury investment portfolio				53,511			12,390
Increase in other treasury investment				(1,388,820	)		(1,780,736	)
Increase in term deposits				(2,169,487	)		(2,534,000	)
Interest received from term deposits				27,492			6,988
Increase in intangible assets, property and equipment				(1,810	)		(980	)
Net cash used in investing activities				(3,529,710	)		(4,416,221	)
Cash flows from financing activities
Proceeds from borrowings, net		C12		8,938,078			6,211,563
Repayments of borrowings		C12		(4,591,766	)		(1,095,613	)
Interest payments on borrowings		C12		(514,346	)		(383,741	)
Capital contributions received		C10		6,180			19,451
Prepaid paid-in capital received				-			4
Lease payments				(38	)		(113	)
Net cash from financing activities				3,838,108			4,751,551
Net (decrease)/increase in cash and cash equivalents				(148,385	)		407,990
Cash and cash equivalents at beginning of period				3,295,009			1,922,539
Cash and cash equivalents at end of period		C6		3,146,624			2,330,529

The accompanying notes are an integral part of these financial statements.

Asian Infrastructure Investment Bank

Notes to the Financial Statements

For the three months ended March 31, 2026

(All amounts in thousands of US Dollars unless otherwise stated)

General Information

The Asian Infrastructure Investment Bank (the “Bank” or “AIIB”) is a multilateral development bank. By the end of year 2015, representatives from 57 economies signed AIIB’s Articles of Agreement (the “AOA”), which entered into force on Dec. 25, 2015. The Bank commenced operations on Jan. 16, 2016. AIIB’s principal office is in Beijing, the People’s Republic of China (“China”).

As at March 31, 2026, the Bank’s total approved membership is 111, of which 106 have completed the membership process and have become members of AIIB in accordance with the AOA.

AIIB’s purpose is to (i) foster sustainable economic development, create wealth and improve infrastructure connectivity in Asia by investing in infrastructure and other productive sectors; and (ii) promote regional cooperation and partnership in addressing development challenges by working in close collaboration with other multilateral and bilateral development institutions.

The legal status, privileges and immunities for the operation and functioning of AIIB in China are agreed in the AOA and further defined in the Headquarters Agreement between the government of the People’s Republic of China (the “Government”) and the Bank on Jan. 16, 2016.

The Bank’s first overseas office, an Interim Operational Hub (the “Hub”), was established in Abu Dhabi, the United Arab Emirates (the “UAE”), upon the government of the UAE and the Bank signing an agreement regarding the establishment of an office in the UAE on April 19, 2023. The Hub provides proximity to global financial centers and connectivity with the international infrastructure ecosystem which is important in maintaining AIIB’s growth momentum.

Asian Infrastructure Investment Bank

Notes to the Financial Statements

For the three months ended March 31, 2026

(All amounts in thousands of US Dollars unless otherwise stated)

Accounting Policies

Basis of preparation

These condensed interim financial statements for the three months ended March 31, 2026 have been prepared in accordance with International Financial Reporting Standards as issued by the International Accounting Standards Board (“IFRS Accounting Standards”): IAS 34 Interim Financial Reporting, and should be read in conjunction with the annual financial statements for the year ended Dec. 31, 2025.

The accounting policies adopted are consistent with those used in the Bank’s annual financial statements for the year ended Dec. 31, 2025.

The preparation of financial statements in conformity with IFRS Accounting Standards requires the use of certain critical accounting estimates. It also requires management to exercise judgment in its process of applying the Bank’s accounting policies. The financial statements have been prepared on a going concern basis.

New accounting pronouncements

In April 2024, the IASB issued IFRS 18 Presentation and Disclosure in Financial Statements (“IFRS 18”), effective for annual reporting periods beginning on or after Jan.1, 2027. The new standard aims to give users of financial statements more transparent and comparable information about an entity’s financial performance. The Bank has conducted assessments and developed plans to implement the new standard and to amend the existing standards.

In addition to IFRS 18, the IASB issued amendments to IFRS 9 Financial Instruments (“IFRS 9”) and IFRS 7 Financial Instruments: Disclosures (“IFRS 7”) - Classification and Measurement of Financial Instruments in May 2024, effective for annual reporting periods beginning on, or after, Jan.1, 2026. The amendments provide further clarification regarding the classification and measurement of financial assets and liabilities. The amendments did not have a material impact on the Bank’s operations or financial statements.

Comparatives

The comparative date of the Condensed Statement of Financial Position is as at Dec. 31, 2025, while the comparative period of the Condensed Statement of Comprehensive Income, the Condensed Statement of Changes in Equity and the Condensed Statement of Cash Flows are from Jan. 1, 2025 to March 31, 2025.

Asian Infrastructure Investment Bank

Notes to the Financial Statements

For the three months ended March 31, 2026

(All amounts in thousands of US Dollars unless otherwise stated)

Disclosure Notes

Interest income and expenses


	For the three months ended March 31, 2026			For the three months ended March 31, 2025
Interest income
Loan investments ⁽¹⁾		349,792			354,914
Debt securities		114,048			114,191
Cash, cash equivalents, and deposits		71,394			48,274
Reverse repurchase agreements		284			154
Total interest income		535,518			517,533
Interest expense
Borrowings ⁽²⁾		(368,065	)		(299,982	)
Repurchase agreements		(148	)		-
Lease		-			(4	)
Total interest expense		(368,213	)		(299,986	)
Net interest income		167,305			217,547

⁽¹⁾Interest income for loan investments includes amortization of front-end fees, and other incremental and directly related costs in relation to loan origination that are an integral part of the effective interest rate of those loans.

⁽²⁾Interest expense is accrued mainly based on the notional coupon rate. However, the Bank uses derivatives to manage interest rate and foreign currency risks, and hence, the actual borrowing cost for the Bank is swapped from fixed to floating rate. Please refer to Note C13 Derivatives for details.

Net fee and commission income


	For the three months ended March 31, 2026			For the three months ended March 31, 2025
Investment operations fee income		12,451			10,637
MCDF administration fee⁽¹⁾		641			536
Special Funds administration fee		135			247
Total fee and commission income		13,227			11,420
Cofinancing service fee		(1,204	)		(1,032	)
Total fee and commission expense		(1,204	)		(1,032	)
Net fee and commission income		12,023			10,388

⁽¹⁾According to the Governing Instrument of the Finance Facility of the Multilateral Cooperation Center for Development Finance (“MCDF Finance Facility”) and the agreement on the terms and conditions of service as the administrator (“Administrator”) of the MCDF Finance Facility, the Bank provides administrative and financial services to the MCDF Finance Facility, including hosting of the Secretariat of the Multilateral Cooperation Center for Development Finance (“MCDF”). Therefore, the Bank charges an administration fee for the services provided as the Administrator of the MCDF Finance Facility. The MCDF serves as a multilateral initiative to foster high-quality infrastructure and connectivity investments in developing countries.

Asian Infrastructure Investment Bank

Notes to the Financial Statements

For the three months ended March 31, 2026

(All amounts in thousands of US Dollars unless otherwise stated)

Disclosure Notes

Net gain on financial instruments measured at fair value and foreign exchange


	For the three months ended March 31, 2026			For the three months ended March 31, 2025
Money Market Funds (Note C6)		5,943			13,689
Investments at fair value through profit or loss (Note C7)		52,430			312,271
Borrowings (Note C12)		520,180			(630,443	)
Derivatives (Note C13):
- Borrowings associated		(552,247	)		550,711
- Investments operations associated		202,324			(243,198	)
- Treasury investments associated		26,102			(79,066	)
Net gain/(loss) on financial instruments measured at fair value through profit or loss		254,732			(76,036	)
Net foreign exchange (loss)/gain ⁽¹⁾		(126,827	)		252,519
Total		127,905			176,483

⁽¹⁾The Bank uses derivatives to hedge net foreign currency exposures. Therefore, the net foreign exchange gains or losses arising from non-USD monetary items can be partially offset by the net gains or losses derived from derivative instruments.

Impairment provision


	For the three months ended March 31, 2026			For the three months ended March 31, 2025
Loan investments		1,330			5,694
Debt securities		(400	)		(4,393	)
Guarantees		(135	)		(36	)
Total impairment provision		795			1,265

General and administrative expenses


	For the three months ended March 31, 2026		For the three months ended March 31, 2025
Staff costs⁽¹⁾		42,705		36,073
Professional service expenses		10,780		9,323
IT services		6,136		4,898
Issuance cost for borrowings		5,257		4,556
Facilities and administration expenses		4,020		3,141
Travel expenses		2,415		2,279
Others		2,309		2,356
Total general and administrative expenses		73,622		62,626

⁽¹⁾Refer to Note C19 for details of key management personnel remuneration.

Asian Infrastructure Investment Bank

Notes to the Financial Statements

For the three months ended March 31, 2026

(All amounts in thousands of US Dollars unless otherwise stated)

Disclosure Notes

Cash, cash equivalent, and deposits with banks


	March 31, 2026		Dec. 31, 2025
Cash		1		-
Deposits with banks
- Demand deposits ⁽¹⁾		101,805		50,503
- Term deposits with initial maturity of three months or less		2,948,158		2,553,094
Money Market Funds ⁽²⁾		96,660		691,412
Total cash and cash equivalents		3,146,624		3,295,009
Add: term deposits with initial maturity more than three months ⁽³⁾		5,322,204		3,138,361
Total cash, cash equivalents, and deposits with banks		8,468,828		6,433,370

⁽¹⁾

USD45.86 million of demand deposits is segregated for the externally managed portfolios (Dec. 31, 2025: USD26.74 million).

⁽²⁾

Money Market Funds


	For the three months ended March 31, 2026			For the year ended Dec. 31, 2025
As at beginning of period/year		691,412			318,474
Additions		6,281,727			23,025,400
Disposals		(6,882,422	)		(22,693,772	)
Fair value gain, net		5,943			41,310
Total Money Market Funds		96,660			691,412

Money Market Funds (“MMFs”) are rated triple-A equivalent and invest in a diversified portfolio of short-term high-quality assets. The objective of the investment is only to meet short-term cash commitments. The MMFs are subject to an insignificant risk of changes in value, with daily liquidity and an investment return comparable to normal USD denominated money market interest rates. The MMFs are exposed to credit, market and liquidity risks, and are measured at fair value.

⁽³⁾

Term deposits with initial maturity more than three months have maturities up to 24 months. As at March 31, 2026, USD5.32 billion of term deposits have remaining maturity within 12 months (Dec. 31, 2025: USD3.14 billion).

Asian Infrastructure Investment Bank

Notes to the Financial Statements

For the three months ended March 31, 2026

(All amounts in thousands of US Dollars unless otherwise stated)

Investments at fair value through profit or loss


	For the three months ended March 31, 2026			For the year ended Dec. 31, 2025
As at the beginning of period/year		15,100,661			14,538,941
Investment, net		1,577,865			(301,297	)
Return of capital contributions		(11,590	)		(100,326	)
Net gain of investments		52,430			963,343
Total investments at fair value through profit or loss		16,719,366			15,100,661

Analysis of investments at fair value through profit or loss:

March 31, 2026

Dec. 31, 2025

Treasury investments

External Managers Program (a)

5,227,366

4,720,326

Debt securities (b)

9,039,241

8,107,639

Subtotal

14,266,607

12,827,965

Investment operations

Fixed income portfolio and debt securities (c)

967,069

837,523

Investment with equity participation (d)

1,485,690

1,435,173

Subtotal

2,452,759

2,272,696

Total investments at fair value through profit or loss

16,719,366

15,100,661

(a)

The Bank has engaged external asset managers to invest in portfolios of high credit quality debt securities (the “External Managers Program”). The portfolios are fair value measured and securities are eligible for sale.

(b)

The Bank invests mainly in debt securities of high credit quality, such as bonds, certificates of deposit and commercial papers, which are mostly actively managed within the treasury investment portfolio. The debt securities are measured at fair value through profit or loss.

(c)

The Bank has engaged an external asset manager to invest in a fixed-income portfolio, which is to develop the climate bond markets in Asia, composing of labeled green bonds and unlabeled climate-aligned bonds. Separately, the Bank also invests in securities for infrastructure and development purposes in its investment operations portfolio.

Asian Infrastructure Investment Bank

Notes to the Financial Statements

For the three months ended March 31, 2026

(All amounts in thousands of US Dollars unless otherwise stated)

Disclosure Notes

Investments at fair value through profit or loss (Continued)

(d)

The Bank holds investments with equity participation which includes limited partnership funds (“LP Funds”), trust, associates through venture capital and others.

LP Funds are managed by the general partners, who manage all investments on behalf of the limited partners. The Bank, along with other investors, has entered into the LP Funds as a limited partner.

As at March 31, 2026, the Bank held USD123.59 million investments in associates through venture capital (Dec. 31, 2025: USD125.72 million), which are measured at fair value through profit or loss in accordance with IFRS 9 by applying the exemption from adopting the equity method under IAS 28 Investments in Associates and Joint Ventures. For the three months ended March 31, 2026, these investments recorded a fair value loss of USD0.84million, which is included in Note C3 (for the three months ended March 31, 2025: fair value gain of USD2.48 million).

The total remaining capital commitment amount for investments with equity participation has no significant change as at March 31, 2026 compared to Dec. 31, 2025. The investments with equity participation do not have a fixed exit date.

Please refer to Note C19 for the transactions with associates through venture capital.

Loan investments, loan commitments and related ECL allowance


Loan investments	March 31, 2026			Dec. 31, 2025
Gross carrying amount		30,256,723			29,748,360
Expected credit loss (“ECL”) allowance		(120,115	)		(121,780	)
Net carrying amount		30,136,608			29,626,580

Loan investments are carried at amortized cost. At initial recognition, loan investments are measured at fair value using the assumptions market participants of either sovereign-backed or nonsovereign-backed projects would use when pricing the loan assets. The market where the Bank enters into such transactions is considered to be the principal market. The transaction price normally represents the fair value of loans at their initial recognition.

Asian Infrastructure Investment Bank

Notes to the Financial Statements

For the three months ended March 31, 2026

(All amounts in thousands of US Dollars unless otherwise stated)

Disclosure Notes

Loan investments, loan commitments and related ECL allowance (Continued)

All sovereign-backed loans to eligible members are subject to the same pricing, taking into account the “preferred creditor status” and other terms giving the Bank rights more favorable than those available to commercial creditors. The Bank applies commercial pricing practices to nonsovereign-backed loans. The Bank has no intention to sell sovereign-backed loans, nor does it believe there is a secondary market for such loans.

The Bank began offering variable spread loans in 2019 where the lending rate consists of a variable reference rate and a variable spread. The variable spread consists of a fixed contractual lending spread and maturity premium along with a variable borrowing cost margin. The reference rate and the borrowing cost margin are determined at each interest rate reset date and are applicable for the following six months. The borrowing cost margin is based on the cost of the underlying funding for these loans at the time of the reset. As at March 31, 2026, USD21,464.19 of the total carrying amount of the Bank’s loans are variable spread loans (Dec. 31, 2025: USD21,076.65 million).

As at March 31, 2026, USD1,803.42 million of the total carrying amount matures within 12 months (Dec. 31, 2025: USD1,765.89 million).

The following table sets out overall information about the ECL of loan investments and loan commitments issued as at March 31, 2026. The gross amounts of loans are net of the transaction costs and fees that are capitalized through the effective interest method, or EIR method. Loan commitments are recorded based on the legal obligations the Bank has taken on to provide the financing, for which the Bank does not have the full discretion to withdraw.


	March 31, 2026			Dec. 31, 2025
Loan investments, gross carrying amount		30,256,723			29,748,360
Undrawn loan commitments		17,093,512			17,340,850

		47,350,235			47,089,210
Total ECL allowance (a)		(124,084	)		(122,756	)

		47,226,151			46,966,454

(a)

As at March 31, 2026, the total ECL allowance related to undrawn loan commitments is USD3.97 million (Dec. 31, 2025: USD0.98 million), and is presented as a provision in Note C14.

For the three months ended March 31, 2026, the impairment provision charged on loan investments and undrawn loan commitments were USD1.33 million (impairment provision charged for the three months ended March 31, 2025: USD5.69 million), as disclosed in Note C4.

Asian Infrastructure Investment Bank

Notes to the Financial Statements

For the three months ended March 31, 2026

(All amounts in thousands of US Dollars unless otherwise stated)

Disclosure Notes

Debt securities at amortized cost


	March 31, 2026			Dec. 31, 2025
Treasury investments
Externally managed fixed income portfolio (a)		297,818			351,329
Internally managed fixed income portfolio (b)		10,155,603			10,140,767
ECL allowance		(1,328	)		(1,157	)
Subtotal		10,452,093			10,490,939
Investment operations
Investment operations bond portfolios (c)		733,549			813,989
ECL allowance		(7,348	)		(7,836	)
Subtotal		726,201			806,153
Net carrying amount		11,178,294			11,297,092

(a)

The Bank engaged an external asset manager to invest in a treasury investment portfolio of high credit quality securities. The portfolio adopts a hold-to-maturity business strategy. The debt securities are initially recognized at fair value and subsequently measured at amortized cost.

(b)

The Bank has an internally managed treasury investment portfolio of high credit quality debt securities. The portfolio adopts a hold-to-maturity business strategy. The debt securities are initially recognized at fair value and subsequently measured at amortized cost.

(c)

The Bank has engaged an external asset manager to invest in a fixed income debt securities investment portfolio which comprises Asian infrastructure-related bonds. Separately, the Bank also invests in other debt securities through private placements. The debt securities are initially recognized at fair value and subsequently measured at amortized cost.

For the three months ended March 31, 2026, USD0.55 million net investment gain was recognized as a result of derecognition of certain debt securities in the portfolios (for the three months ended March 31, 2025: net investment loss of USD4.6 million).

Debt securities at amortized cost are subject to credit losses estimated by applying an ECL model, assessed on a forward-looking basis. As at March 31, 2026, ECL allowances of USD7.35 million and USD1.33 million have been provided respectively to debt securities in investment operations and treasury investment portfolio (Dec. 31, 2025: USD7.84 million and USD1.16 million respectively).

As at March 31, 2026, USD2,282.03 million of the gross carrying amount matures within 12 months (Dec. 31, 2025: USD2,395.85 million).

Asian Infrastructure Investment Bank

Notes to the Financial Statements

For the three months ended March 31, 2026

(All amounts in thousands of US Dollars unless otherwise stated)

Disclosure Notes

C10

Paid-in capital receivables

According to the AOA, payments for paid-in capital (refer to Note C15) are due in five installments, with the exception of members considered as less developed countries, who may pay in 10 installments. Paid-in capital receivables represent amounts due from members in respect of paid-in capital. These amounts are initially recognized at fair value and subsequently measured at amortized cost. The fair value discount is accreted through income using the effective interest method. For the three months ended March 31, 2026, no discount (for the three months ended March 31, 2025: USD0.08 million) has been debited to the reserve. An amount of USD0.09 million (for the three months ended March 31, 2025: USD0.08 million) has been accreted through income in the current year.

As at March 31, 2026, overdue contractual undiscounted paid-in capital receivables amounted to USD204.2 million (Dec. 31, 2025: USD203.98 million) (Note C15) are not considered impaired. Of this amount, USD0.2 million has been collected by the date of publication of the financial statements for the three months ended March 31, 2026.

As at March 31, 2026, USD207.72 million (Dec. 31, 2025: USD213.68 million) of the paid-in capital balance is due within 12 months.


	For the three months ended March 31, 2026			For the year ended Dec. 31, 2025
As at the beginning of period/year		219,625			234,336
Paid-in capital receivables originated		-			118,228
Contributions received		(6,180	)		(132,719	)
Transfer from prepaid paid-in capital to contribution		-			(496	)
Accretion to profit or loss		87			276
Total paid-in capital receivable		213,532			219,625

C11

Other assets


	March 31, 2026		Dec. 31, 2025
Cash collateral receivable (Note C13)		407,797		120,879
Receivable for unsettled trades		189,900		366,863
Prepayments		11,374		11,297
Receivable for Special Funds and MCDF administration fees		641		2,470
Reverse repurchase agreements		-		151,894
Others		4,612		2,279
Total other assets		614,324		655,682

Asian Infrastructure Investment Bank

Notes to the Financial Statements

For the three months ended March 31, 2026

(All amounts in thousands of US Dollars unless otherwise stated)

Disclosure Notes

C12

Borrowings


	March 31, 2026		Dec. 31, 2025
Borrowings carried at fair value		38,048,515		36,592,173
Borrowings carried at amortized cost		4,639,268		2,477,268
Total borrowings		42,687,783		39,069,441

The Bank raises funds through various markets to support its operations and enhance the presence in the key capital markets which provide the Bank with cost-efficient funding levels. The Bank’s debt issuance programs include the SEC-registered Shelf, Global Medium-Term Notes Programme, Australian Dollar and New Zealand Dollar Debt Issuance Programme, Renminbi Bond Issuance Program, and Euro Commercial Paper Programme (the “ECP”). Among these funding sources, the SEC-registered fixed-rate global notes have been the primary program of the Bank’s borrowing activities. These funding initiatives have enabled the Bank to access diverse sources of capital and strengthen its financial position.

The following table sets out the details of the outstanding amount by denominated currency.


Denominated currency	March 31, 2026		Dec. 31, 2025
USD		23,350,749		23,179,404
EUR		5,879,436		4,389,314
GBP		4,350,320		3,752,804
CNY		3,496,834		3,027,208
AUD		1,734,515		1,363,521
HKD		1,652,894		1,158,214
INR		1,127,583		1,202,306
CHF		391,595		394,729
MXN		215,797		230,293
Others		488,060		371,648
Total		42,687,783		39,069,441

Borrowings that are paired with swaps are designated as financial liabilities at fair value through profit or loss. The designation significantly reduces accounting mismatches that would otherwise arise if the borrowings were carried at amortized cost while the related swaps are carried at fair value. Interest from borrowings is calculated based on outstanding balances of the borrowings and coupon rates and presented as interest expense in the Statement of Comprehensive Income.

Floating rate notes and ECP are carried at amortized cost with interest expenses recognized under the effective interest rate method.

Asian Infrastructure Investment Bank

Notes to the Financial Statements

For the three months ended March 31, 2026

(All amounts in thousands of US Dollars unless otherwise stated)

Disclosure Notes

C12

Borrowings (Continued)

The fair value changes for financial liabilities that are designated as at fair value through profit or loss that are attributable to changes in the Bank’s own credit risk, are recognized in other comprehensive income in accordance with the requirements of IFRS 9. Fair value movements attributable to changes in the Bank’s own credit risk are determined using the mark-to-market approach by applying an observable own credit spread curve to the Bank’s exposure at the reporting date.

For the three months ended March 31, 2026, the fair value gain attributable to changes in the Bank’s own credit risk included in the other comprehensive income amounted to USD67.47 million (for the three months ended March 31, 2025: fair value loss of USD43.88 million).

The following table sets out information about changes in liabilities arising from borrowing activities, including changes arising from cash flows and non-cash changes.


	For the three months ended March 31, 2026			For the year ended Dec. 31, 2025
As at beginning of year		39,069,441			32,953,799
Changes arising from cash flows
- Proceeds from borrowings, net		8,938,078			20,923,652
- Repayment of borrowings		(4,591,766	)		(16,678,372	)
- Interest payments		(514,346	)		(1,160,479	)
- Issuance cost for borrowings		5,257			10,233
Non-cash changes
- Accrued interest		368,769			1,291,168
- Changes in fair value included in the other comprehensive income		(67,470	)		(79,052	)
- Changes in fair values included in profit or loss (Note C3)		(520,180	)		1,808,492
Total borrowings		42,687,783			39,069,441

Asian Infrastructure Investment Bank

Notes to the Financial Statements

For the three months ended March 31, 2026

(All amounts in thousands of US Dollars unless otherwise stated)

Disclosure Notes

C13

Derivatives

As at March 31, 2026, the Bank has entered into several interest rate swap, foreign exchange forward and cross currency swap contracts. The Bank makes use of derivatives primarily to hedge the Bank’s borrowings, so as to convert issuance proceeds into the currency and interest rate structure sought by the Bank. The Bank also uses derivatives to manage the net interest rate and foreign exchange risks arising from its financial assets including, but not limited to, loans, certificates of deposit and bond investments.

Derivative contracts are financial instruments valued at each reporting date using valuation techniques that consider observable market data such as yield curves, interest rates, and foreign currency rates. Net interest paid or received on these derivative contracts is included within the net gain on financial instruments.

The following table sets out the contractual notional amounts and fair values of the derivatives as at March 31, 2026 and Dec. 31, 2025. The payments under each of the derivative contracts are subject to enforceable master netting arrangements.

As at March 31, 2026

Contractual notional

Fair value

amount

Assets

Liabilities

Derivatives

Interest rate swaps

32,286,176

184,448

116,173

Cross currency swaps

26,744,757

806,016

889,772

FX forwards

3,020,662

47,306

34,508

Total derivatives

62,051,595

1,037,770

1,040,453

As at Dec. 31, 2025

Contractual notional

Fair value

amount

Assets

Liabilities

Derivatives

Interest rate swaps

31,152,237

355,304

43,025

Cross currency swaps

23,918,869

947,854

780,179

FX forwards

1,543,226

9,516

18,718

Total derivatives

56,614,332

1,312,674

841,922

Asian Infrastructure Investment Bank

Notes to the Financial Statements

For the three months ended March 31, 2026

(All amounts in thousands of US Dollars unless otherwise stated)

Disclosure Notes

C13

Derivatives (Continued)

The table below presents the undiscounted cash flows in/(out) of the derivatives the Bank has entered into as at March 31, 2026 and Dec. 31, 2025.


	As at March 31, 2026
	Less than 1 month			1-3 months			3-12 months			1-5 years			Over 5 years			Total
Total Derivatives
Interest rate swaps		(82,153	)		(38,648	)		138,291			161,661			51,180			230,331
Gross settling cross currency swaps - inflow		333,696			2,176,209			3,365,031			18,977,577			7,377,081			32,229,594
Gross settling cross currency swaps - outflow		(366,455	)		(2,081,443	)		(3,342,151	)		(18,901,723	)		(6,970,262	)		(31,662,034	)
Gross settling FX forwards - inflow		673,536			1,136,361			1,142,836			-			-			2,952,733
Gross settling FX forwards - outflow		(668,567	)		(1,119,353	)		(1,156,754	)		-			-			(2,944,674	)
Total derivatives		(109,943	)		73,126			147,253			237,515			457,999			805,950

	As at Dec. 31, 2025
	Less than 1 month			1-3 months			3-12 months			1-5 years			Over 5 years			Total
Total Derivatives
Interest rate swaps		51,582			69,856			(71,776	)		313,108			43,361			406,131
Gross settling cross currency swaps - inflow		140,887			622,921			4,129,296			16,821,621			6,694,501			28,409,226
Gross settling cross currency swaps - outflow		(148,443	)		(573,928	)		(4,017,317	)		(16,574,884	)		(6,345,551	)		(27,660,123	)
Gross settling FX forwards - inflow		477,552			466,446			599,910			-			-			1,543,908
Gross settling FX forwards - outflow		(481,326)			(470,352	)		(600,388	)		-			-			(1,552,066	)
Total derivatives		40,252			114,943			39,725			559,845			392,311			1,147,076

Asian Infrastructure Investment Bank

Notes to the Financial Statements

For the three months ended March 31, 2026

(All amounts in thousands of US Dollars unless otherwise stated)

Disclosure Notes

C13

Derivatives (Continued)

The Bank requires collateral in the form of cash against the exposures to derivative counterparties. The Bank records cash collateral in respect of the interest rate swaps and cross currency swaps based on the fair value of the swaps. This amount is presented separately in the Bank’s Statement of Financial Position as the cash flows are not applied towards the settlement of net interest payments. The collateral would only be applied against amounts due in the event that some or all the corresponding swaps are terminated early, including, but not limited to, as a result of a default by the relevant counterparty. As at March 31, 2026, the Bank has received cash collateral of USD361.51 million (Note C14) (Dec. 31, 2025: USD577.85 million) from the swap counterparties, and has paid cash collateral of USD407.8 million (Note C11) (Dec. 31, 2025: USD120.88 million) to the swap counterparties.

Due to the collateral arrangements in the Bank’s derivatives contracts, the counterparty valuation adjustment (“CVA”) and debt valuation adjustment (“DVA”) do not have a material impact on the derivative valuations as at March 31, 2026 and Dec. 31, 2025.

The contractual notional amounts of the derivatives and carrying amount of the hedged financial instruments are as follows. The Bank’s risk exposures have been well hedged. Therefore, the profit and loss are effectively managed on a net basis.


	As at March 31, 2026				As at Dec. 31, 2025
	Contractual notional amount of derivative		Gross carrying amount of economically hedged financial instruments		Contractual notional amount of derivative		Gross carrying amount of economically hedged financial instruments
Borrowings related hedge		38,344,936		38,048,516		35,467,863		36,592,173
Loans related hedge		8,363,587		7,468,496		8,183,892		7,332,184
Debt securities related hedge in investment operations portfolio		954,993		987,853		992,744		993,544

Derivatives with notional amount of USD14,388.08 million are under the management of treasury investment portfolio (Dec. 31, 2025: USD11,969.83 million).

Asian Infrastructure Investment Bank

Notes to the Financial Statements

For the three months ended March 31, 2026

(All amounts in thousands of US Dollars unless otherwise stated)

Disclosure Notes

C14

Other liabilities


	March 31, 2026		Dec. 31, 2025
Cash collateral payable (Note C13)		361,508		577,849
Payable for unsettled trades		313,535		288,066
Deferred interest (Note C19)		38,404		37,543
Accrued expenses		33,347		84,907
Staff cost payable		11,252		9,286
Financial guarantee liabilities		7,589		8,480
ECL provision for commitment of loan and debt securities		4,146		1,236
Bank overdrafts		1,868		162,111
Lease liability		-		38
Others		2,810		699
Total other liabilities		774,459		1,170,215

C15

Share capital


	March 31, 2026			Dec. 31, 2025
Authorized capital		100,000,000			100,000,000
- Allocated
- Subscribed		97,632,200			97,632,200
- Unsubscribed		384,800			384,800
- Unallocated		1,983,000			1,983,000
Total authorized capital		100,000,000			100,000,000
Subscribed capital		97,632,200			97,632,200
Less: callable capital		(78,105,800	)		(78,105,800	)
Paid-in capital		19,526,400			19,526,400
Paid-in capital comprises:
- amounts received		19,312,141			19,305,961
- amount due but not yet received		204,196			203,976
- amount not yet due		10,063			16,463
Total paid-in capital		19,526,400			19,526,400

Asian Infrastructure Investment Bank

Notes to the Financial Statements

For the three months ended March 31, 2026

(All amounts in thousands of US Dollars unless otherwise stated)

Disclosure Notes

C15

Share capital (Continued)

In accordance with Articles 4 and 5 of the AOA, the initial authorized capital stock of the Bank is USD100 billion, divided into 1,000,000 shares, which shall be available for subscription only by members.

The original authorized capital stock is divided into paid-in shares and callable shares, with paid-in shares having an aggregate par value of USD20 billion and callable shares having an aggregate par value of USD80 billion.

Payment of the amount subscribed to the callable capital stock of the Bank shall be subject to call only as and when required by the Bank to meet its liabilities. Calls on unpaid subscriptions shall be uniform in percentage on all callable shares.

In accordance with Article 37 of the AOA, any member may withdraw from the Bank at any time by delivering a notice in writing to the Bank at its principal office. A withdrawing member remains liable for all direct and contingent obligations to the Bank to which it was subject at the date of delivery of the withdrawal notice. At the time a country ceases to be a member, the Bank shall arrange for the repurchase of such country’s shares by the Bank as a part of the settlement of accounts with such country.

Asian Infrastructure Investment Bank

Notes to the Financial Statements

For the three months ended March 31, 2026

(All amounts in thousands of US Dollars unless otherwise stated)

Disclosure Notes

C15

Share capital (Continued)


Member	Total share		Subscribed capital		Callable capital		Paid-in capital
Afghanistan		866		86,600		69,300		17,300
Algeria		50		5,000		4,000		1,000
Argentina		50		5,000		4,000		1,000
Armenia		374		37,400		29,900		7,500
Australia		36,912		3,691,200		2,953,000		738,200
Austria		5,008		500,800		400,600		100,200
Azerbaijan		2,541		254,100		203,300		50,800
Bahrain		1,036		103,600		82,900		20,700
Bangladesh		6,605		660,500		528,400		132,100
Belarus		641		64,100		51,300		12,800
Belgium		2,846		284,600		227,700		56,900
Benin		50		5,000		4,000		1,000
Brazil		50		5,000		4,000		1,000
Brunei Darussalam		524		52,400		41,900		10,500
Cambodia		623		62,300		49,800		12,500
Canada		9,954		995,400		796,300		199,100
Chile		100		10,000		8,000		2,000
China		297,804		29,780,400		23,824,300		5,956,100
Cook Islands		5		500		400		100
Croatia		50		5,000		4,000		1,000
Cyprus		200		20,000		16,000		4,000
Côte d’Ivoire		50		5,000		4,000		1,000
Denmark		3,695		369,500		295,600		73,900
Djibouti		5		500		400		100
EI Salvador		50		5,000		4,000		1,000
Ecuador		50		5,000		4,000		1,000
Egypt		6,505		650,500		520,400		130,100
Ethiopia		458		45,800		36,600		9,200
Fiji		125		12,500		10,000		2,500
Finland		3,103		310,300		248,200		62,100
France		33,756		3,375,600		2,700,500		675,100
Georgia		539		53,900		43,100		10,800
Germany		44,842		4,484,200		3,587,400		896,800
Ghana		50		5,000		4,000		1,000
Greece		100		10,000		8,000		2,000
Guinea		50		5,000		4,000		1,000
Hong Kong, China		7,651		765,100		612,100		153,000
Hungary		1,000		100,000		80,000		20,000
Iceland		176		17,600		14,100		3,500
India		83,673		8,367,300		6,693,800		1,673,500

Asian Infrastructure Investment Bank

Notes to the Financial Statements

For the three months ended March 31, 2026

(All amounts in thousands of US Dollars unless otherwise stated)

Disclosure Notes

C15

Share capital (Continued)


Member	Total share		Subscribed capital		Callable capital		Paid-in capital
Indonesia		33,607		3,360,700		2,688,600		672,100
Iran		15,808		1,580,800		1,264,600		316,200
Iraq		250		25,000		20,000		5,000
Ireland		1,313		131,300		105,000		26,300
Israel		7,499		749,900		599,900		150,000
Italy		25,718		2,571,800		2,057,400		514,400
Jordan		1,192		119,200		95,400		23,800
Kazakhstan		7,293		729,300		583,400		145,900
Kenya		50		5,000		4,000		1,000
Korea		37,387		3,738,700		2,991,000		747,700
Kuwait		5,360		536,000		428,800		107,200
Kyrgyz Republic		268		26,800		21,400		5,400
Lao PDR		430		43,000		34,400		8,600
Liberia		50		5,000		4,000		1,000
Libya		526		52,600		42,100		10,500
Luxembourg		697		69,700		55,800		13,900
Madagascar		50		5,000		4,000		1,000
Malaysia		1,095		109,500		87,600		21,900
Maldives		72		7,200		5,800		1,400
Malta		136		13,600		10,900		2,700
Mauritania		50		5,000		4,000		1,000
Mongolia		411		41,100		32,900		8,200
Morocco		50		5,000		4,000		1,000
Myanmar		2,645		264,500		211,600		52,900
Nauru		5		500		400		100
Nepal		809		80,900		64,700		16,200
Netherlands		10,313		1,031,300		825,000		206,300
New Zealand		4,615		461,500		369,200		92,300
Norway		5,506		550,600		440,500		110,100
Oman		2,592		259,200		207,400		51,800
Pakistan		10,341		1,034,100		827,300		206,800
Papua New Guinea		50		5,000		4,000		1,000
Peru		1,546		154,600		123,700		30,900
Philippines		9,791		979,100		783,300		195,800
Poland		8,318		831,800		665,400		166,400
Portugal		650		65,000		52,000		13,000
Qatar		6,044		604,400		483,500		120,900
Romania		1,530		153,000		122,400		30,600
Russia		65,362		6,536,200		5,229,000		1,307,200
Rwanda		50		5,000		4,000		1,000

Asian Infrastructure Investment Bank

Notes to the Financial Statements

For the three months ended March 31, 2026

(All amounts in thousands of US Dollars unless otherwise stated)

Disclosure Notes

C15

Share capital (Continued)


Member	Total share		Subscribed capital		Callable capital		Paid-in capital
Samoa		21		2,100		1,700		400
Saudi Arabia		25,446		2,544,600		2,035,700		508,900
Senegal		50		5,000		4,000		1,000
Serbia		50		5,000		4,000		1,000
Singapore		2,500		250,000		200,000		50,000
Solomon Islands		5		500		400		100
South Africa		50		5,000		4,000		1,000
Spain		17,615		1,761,500		1,409,200		352,300
Sri Lanka		2,690		269,000		215,200		53,800
Sudan		590		59,000		47,200		11,800
Sweden		6,300		630,000		504,000		126,000
Switzerland		7,064		706,400		565,100		141,300
Tajikistan		309		30,900		24,700		6,200
Tanzania		50		5,000		4,000		1,000
Thailand		14,275		1,427,500		1,142,000		285,500
Timor-Leste		160		16,000		12,800		3,200
Togo		50		5,000		4,000		1,000
Tonga		12		1,200		1,000		200
Tunisia		50		5,000		4,000		1,000
Türkiye		26,099		2,609,900		2,087,900		522,000
United Arab Emirates		11,857		1,185,700		948,600		237,100
United Kingdom		30,547		3,054,700		2,443,800		610,900
Uruguay		50		5,000		4,000		1,000
Uzbekistan		2,198		219,800		175,800		44,000
Vanuatu		5		500		400		100
Viet Nam		6,633		663,300		530,600		132,700
Total		976,322		97,632,200		78,105,800		19,526,400

Asian Infrastructure Investment Bank

Notes to the Financial Statements

For the three months ended March 31, 2026

(All amounts in thousands of US Dollars unless otherwise stated)

Disclosure Notes

C16

Reserves

Based on Article 18.1 of the AOA, the Board of Governors shall determine at least annually what part of the net income of the Bank shall be allocated, after making provision for reserves, to retained earnings or other purposes and what part, if any, shall be distributed to the members.

C17

Distributions

Retained earnings as at March 31, 2026 are USD4,400.72 million (Dec. 31, 2025: USD4,167.35 million). For the three months ended March 31, 2026, USD0.09 million (for the three months ended March 31, 2025: USD0.08 million) of retained earnings has been transferred to the reserve for accretion of the paid-in capital receivables.

No dividends were declared during the reporting period.

C18

Unconsolidated structured entities

Special Funds established and administered by the Bank based on Article 17.1 of the AOA are unconsolidated structured entities for accounting purposes. Consistent with Article 10 of the Bank’s AOA, the resources of the Special Funds shall at all times and in all respects be held, used, committed, invested or otherwise disposed of entirely separately from the Bank’s ordinary resources.

The Bank charges an administration fee based on the principle of full cost recovery on the contribution amount received by the Special Funds. The respective Special Funds bear all expenses appertaining directly to operations financed from the resources of the Special Funds.

Apart from Special Funds, other unconsolidated structured entities in which the Bank holds an interest as of the reporting date include LP Funds, trusts, associates through venture capital, and other equity participation investments.

The Project Preparation Special Fund

The objective of the Project Preparation Special Fund is to support and facilitate preparatory activities during the preparation and early implementation of projects, on a grant basis, for the benefit of one or more members of the Bank that, at the time when the decision to extend the grant is made by the Bank, are classified as recipients of financing from the International Development Association (“IDA”), and other members of the Bank with substantial development needs and capacity constraints.

The resources of the Project Preparation Special Fund consist of: (a) amounts accepted from any member of the Bank, any of its political or administrative subdivisions, or any entity under the control of the member or such subdivisions or any other country, entity or person approved by the President may become a contributor to the Special Funds; (b) income derived from investment of the resources of the Special Funds; and (c) funds reimbursed to the Special Funds, if any.

Asian Infrastructure Investment Bank

Notes to the Financial Statements

For the three months ended March 31, 2026

(All amounts in thousands of US Dollars unless otherwise stated)

Disclosure Notes

C18

Unconsolidated structured entities (Continued)

As at March 31, 2026, the Project Preparation Special Fund aggregate contributions received amounted to USD129 million (Dec. 31, 2025: USD129 million). For the three months ended March 31, 2026, there was no administration fee recognized as income (for the three months ended March 31, 2025: none).

As at March 31, 2026, there was no administration fee receivable by the Bank (Dec. 31, 2025: none).

The Special Fund Window for Less Developed Members (the “Special Fund Window”)

The Special Fund Window provides interest rate buydown to eligible sovereign-backed financing aligned with AIIB’s Corporate Strategy in eligible members according to the approved Rules and Regulations. The Special Fund Window is funded by the amounts transferred by the Bank from its Project Preparation Special Fund, and voluntary contributions from the Bank’s Members.

For the three months ended March 31, 2026, there was no administration fee recognized as income (for the three months ended March 31, 2025: USD0.01 million).

As at March 31, 2026, there was no administration fee receivable by the Bank (Dec. 31, 2025: USD0.09 million), and the interest rate buydown balance for eligible sovereign-backed loans from the Special Fund Window amounted to USD38.4 million (Dec. 31, 2025: USD37.54 million) (Note C14).

AIIB Project-Specific Window

On March 19, 2024, the Bank established the Project-Specific Window for the Bank to accept, manage, and disburse external grants for the co-financing of eligible projects in the Bank’s low- and middle-income members and small island members as defined in the Rules and Regulations of the AIIB Project-Specific Window.

The resource of the Project-Specific Window consists of contributions from eligible contributors to co-finance specific eligible projects approved by the contributors. Contributions received will be channeled and disbursed to the approved specific projects.

For the three months ended March 31, 2026, there was no administration fee recognized as income (for the three months ended March 31, 2025: USD0.16 million).

As at March 31, 2026, there was no administration fee receivable by the Bank (Dec. 31, 2025: none).

Asian Infrastructure Investment Bank

Notes to the Financial Statements

For the three months ended March 31, 2026

(All amounts in thousands of US Dollars unless otherwise stated)

Disclosure Notes

C18

Unconsolidated structured entities (Continued)

AIIB External Special Funds

Special Funds resources received by AIIB in its role as implementing entity of multilateral partnership facilities are considered as AIIB External Special Funds collectively. AIIB became the Global Infrastructure Facility Technical Partner (“GIF TP”) on June 23, 2021 after executing the Financial Procedures Agreement; the MCDF Implementing Partner (“MCDF IP”) on Aug. 9, 2021 after executing the Implementing Partner Agreement; the Pandemic Prevention, Preparedness and Response Trust Fund Implementing Entity (“PPR IE”) on Feb. 10, 2023 after executing the Financial Procedures Agreement; and the Green Climate Fund Accredited Entity (“GCF AE”) on June 25, 2025 after executing the Accreditation Master Agreement. Resources from the multilateral partnership facilities are administered in separate External Special Funds.

The Bank is not obliged to provide financial support to the Special Funds.

Asian Infrastructure Investment Bank

Notes to the Financial Statements

For the three months ended March 31, 2026

(All amounts in thousands of US Dollars unless otherwise stated)

Disclosure Notes

C19

Related party transactions

Parties are generally considered to be related if the parties are under common control, or one party has the ability to control the other party or can exercise significant influence over the other party in making financial or operational decisions. In considering each possible related party relationship, attention is directed to the substance of the relationship, not merely to the legal form.

Major outstanding balances with related parties are as follows:


	March 31, 2026						Dec. 31, 2025
	China related entities		Key management personnel		Other related parties		China related entities		Key management personnel		Other related parties
Loan investments		1,712,330		-		-		1,682,695		-		-
LP Fund		72,478		-		-		72,481		-		-
Equity and debt security investments in/or related to associates through venture capital		-		-		172,964		-		-		174,520
Other assets		-		-		-		-		-		95
Staff loan		-		43		-		-		65		-
Other liabilities		-		-		38,404		-		550		37,543

The income and expense items affected by transactions with related parties are as follows:


	For the three months ended March 31, 2026							For the three months ended March 31, 2025
	China related entities		Key management personnel		Other related parties			China related entities		Key management personnel		Other related parties
Income from loan investments		14,785		-		-			17,167		-		-
Net gain on LP fund		1,228		-		-			697		-		-
Net (loss)/gain on equity and debt security investments in/or related to associates through venture capital		-		-		(270	)		-		-		3,753
Income from staff loan		-		-		-			-		1		-
Income from Special Funds (Administration Fee)		-		-		-			-		-		167

Asian Infrastructure Investment Bank

Notes to the Financial Statements

For the three months ended March 31, 2026

(All amounts in thousands of US Dollars unless otherwise stated)

Disclosure Notes

C19

Related party transactions (Continued)

Shareholder with significant influence

The Bank considers China as the member that has a significant influence over the Bank’s financial and operating policies through its ability to exercise its voting powers in the Board. As at March 31, 2026 the Government of China (the “Government”) owned approximately 30.50% of the paid-in capital of the Bank (Dec. 31, 2025 approximately 30.50%).

The Bank enters into transactions with enterprises ultimately controlled by the Government (state-owned entities), including but not limited to, lending, debt securities, equity and fund investments, deposits and interbank placements, goods and services.

The Bank considers the transactions with China state-owned entities are activities conducted in the ordinary course of business, and the dealings of the Bank have not been significantly or unduly affected by the fact that these entities are ultimately controlled by the Government.

Significant transactions with China related entities are as follow:

(1)

Loan investments

The Bank has loan facilities to nonsovereign borrowers that are ultimately controlled by state-owned entities with a total outstanding balance of USD257.6 million as at March 31, 2026 (Dec. 31, 2025: USD257.25 million). The Bank entered into the agreements with the borrowers in the ordinary course of business under normal commercial terms and at market rates.

The Bank has sovereign-backed facilities to China with a total outstanding balance of USD1,454.73 million equivalent as at March 31, 2026 (Dec. 31, 2025: USD1,425.44 million). The Bank’s standard interest rate for sovereign-backed loans has been applied.

(2)

LP fund

In July 2019, the Bank approved a USD75 million investment into a limited partnership fund organized under the laws of Hong Kong, China (“Fund”) and subscribed to an interest therein in November 2019. In addition to the Bank, the Government and other entities related therewith are also limited partners of the Fund. The Bank will not take part in the management of the Fund. As at March 31, 2026, the fair value of the Bank’s interest in the Fund is USD72.48 million (Dec. 31, 2025: USD72.48 million).

Asian Infrastructure Investment Bank

Notes to the Financial Statements

For the three months ended March 31, 2026

(All amounts in thousands of US Dollars unless otherwise stated)

Disclosure Notes

C19

Related party transactions (Continued)

Transactions with other related parties are as follows:

(1)

Equity and debt security investments in/or related to associates

The fair value of the Bank’s interest in the investments in associates through venture capital is USD123.59 million (Dec. 31, 2025: USD125.72 million). As at March 31, 2026, the Bank holds USD49.37 million of infrastructure asset-backed securities issued by one associate (Dec. 31, 2025: USD48.80 million).

(2)

Transactions with Special Funds

As at March 31, 2026, there was no receivable from Special Fund Window for the administration fee included in other assets (Dec. 31, 2025: USD0.09 million).

As at March 31, 2026, the interest rate buydown balance from Special Fund Window was USD38.4 million (Dec. 31, 2025: USD37.54 million).

Key management personnel

Key management personnel are those persons who have the authority and responsibility to plan, direct, and control the activities of the Bank. Key management personnel of the Bank is defined as the members of the Bank’s Executive Committee, that is, in accordance with the Terms of Reference of the Executive Committee dated Jan. 5, 2022, the President, the Vice Presidents, the General Counsel, the Chief Risk Officer, the Chief Financial Officer, and the Chief Economist. On Jan. 1, 2025, leadership positions of the Investment Client Units were titled as Chief Investment Officers. The Chief Investment Officers are members of the Bank’s Executive Committee. On Sep. 1, 2025, the Chief Partnerships Officer was included as a member of the Bank’s Executive Committee.

For the three months ended March 31, 2026 and the three months ended March 31, 2025, other than the staff loan granted to key management personnel as disclosed above, the Bank has no material transactions with key management personnel.

The compensation of key management personnel for the three months ended March 31, 2026 comprises short-term employee benefits of USD0.95 million (for the three months ended March 31, 2025: USD1.10 million) and defined contribution plans of USD0.19 million (for the three months ended March 31, 2025: USD0.22 million).

Asian Infrastructure Investment Bank

Notes to the Financial Statements

For the three months ended March 31, 2026

(All amounts in thousands of US Dollars unless otherwise stated)

Disclosure Notes

C19

Related party transactions (Continued)

Use of office building

In accordance with Article 5 of the Headquarters Agreement, the Government will provide a permanent office building (“Permanent Premises”) and temporary office accommodation to the Bank, free of charge. The Permanent Premises and temporary office accommodation are provided to the Bank for the purposes of carrying out its Official Activities, as defined in Article 1(k) of the Headquarters Agreement. The Bank does not have legal ownership of the Permanent Premises. Please refer to Headquarters Agreement disclosed on public domain of AIIB website.

The provision of the Permanent Premises and temporary office accommodation is not subject to any consideration payable by the Bank, or any conditions relating to the Bank’s lending or investing activities. The Bank, however, remains responsible for the management of the Premises and/or for the associated costs, including that of utilities and services.

On June 1, 2020, the Bank officially moved to the Permanent Premises. The temporary office was returned to the Government on June 5, 2020.

The Permanent Premises of the Bank are located at Towers A and B, Asia Financial Center, No.1 Tianchen East Road, Chaoyang District, Beijing 100101 and, as of the reporting date, provides the Bank with approximately 110,866 square meters of office space and associated facilities and equipment.

On September 11, 2019, the People’s Government of Tianjin Municipality (the “Tianjin Municipality”) and the Bank entered into a Memorandum of Understanding (the “MOU”), in accordance with Article 5 of the Headquarters Agreement, to set out the arrangements regarding the premises of the Bank as its back-up business office in Tianjin (the “Tianjin Premises”). Specifically, according to the MOU, Tianjin Municipality will provide the Tianjin Premises to the Bank for its use, free of charge, similar to the arrangements for the Permanent Premises.

On March 31, 2021, Tianjin Municipality officially handed over the Tianjin Premises to the Bank. The Tianjin Premises are located at Level 25, Level 26, 3-14, No. 681, Ronghe Road, Binhai New Area, Tianjin, and provide the Bank with approximately 4,258 square meters of office space.

Asian Infrastructure Investment Bank

Notes to the Financial Statements

For the three months ended March 31, 2026

(All amounts in thousands of US Dollars unless otherwise stated)

Disclosure Notes

C20

Segment reporting

The Bank has only one reportable segment since financial results are reviewed and resource allocation decisions are made at the entity level.

The table below illustrates the geographic distribution of the Bank’s loan and guarantee revenue by destination for the three months ended March 31, 2026, and March 31, 2025.

Loan and guarantee revenue comprises loan interest income, loan commitment fees, guarantee fees and other service fees.


	For the three months ended March 31, 2026						For the three months ended March 31, 2025
Region	Sovereign - backed loans and guarantees		Nonsovereign -backed loans		Total		Sovereign - backed loans and guarantees		Nonsovereign -backed loans		Total
Central Asia		34,909		8,433		43,342		30,415		5,298		35,713
Eastern Asia		14,932		3,579		18,511		18,234		3,680		21,914
Southeastern Asia		71,491		8,703		80,194		80,382		6,378		86,760
Southern Asia		128,941		8,694		137,635		127,321		6,392		133,713
Western Asia		43,126		18,439		61,565		48,743		16,215		64,958
Oceania		1,030		-		1,030		1,509		-		1,509
Other Regional		-		-		-		-		4,005		4,005
Total Regional		294,429		47,848		342,277		306,604		41,968		348,572
Total Non-Regional		12,671		7,295		19,966		12,256		4,723		16,979
Total		307,100		55,143		362,243		318,860		46,691		365,551

C21

Events after the end of the reporting period

There have been no other material events since the reporting date that would require disclosure or adjustment to these financial statements.

Asian Infrastructure Investment Bank

Notes to the Financial Statements

For the three months ended March 31, 2026

(All amounts in thousands of US Dollars unless otherwise stated)

Financial Risk Management

Overview

The Bank adopts a proactive and comprehensive approach to risk management that is instrumental to the Bank’s financial viability and success in achieving its mandate. The ability to identify, mitigate and manage risk begins with the Bank’s policies established with a strong risk culture. In addition to establishing appropriate risk parameters and a thorough and robust project review and monitoring process, the risk management function provides independent oversight of credit and other investment risk, market risk, liquidity risk, counterparty credit risk, model risk, operational risk and compliance risk in the Bank’s activities. It is also designed to manage assets and liabilities to minimize the volatility in its equity value and to maintain sufficient liquidity.

For further information, please refer to the accompanying notes D Financial Risk Management included in the Bank’s financial statements for the year ended Dec. 31, 2025.

Credit and other investment risks

Credit quality analysis

Except for loan investments, debt securities and issued guarantee commitments, other financial assets are paid-in capital receivables, deposits with banks and MMFs, for which the credit risk is not material.

The following table sets out the gross carrying amount and undrawn commitments for sovereign-backed loans and issued guarantees commitments, nonsovereign-backed loans exclusive of any received sovereign guarantees, and debt securities at amortized cost under investment operations and treasury investments with their respective ECL allowance balance as at March 31, 2026.


	March 31, 2026							Dec. 31, 2025
	Gross Carrying amount		Undrawn Commitments		ECL			Gross Carrying amount		Undrawn Commitments		ECL
Investment operations
Sovereign-backed loans and guarantees ⁽¹⁾		27,008,115		17,059,900		(44,039	)		26,661,205		17,405,446		(31,964	)
Nonsovereign-backed loans		3,248,608		1,271,247		(80,650	)		3,087,155		1,190,145		(91,530	)
Debt securities		733,549		65,346		(7,525	)		813,989		75,221		(8,096	)
Subtotal		30,990,272		18,396,493		(132,214	)		30,562,349		18,670,812		(131,590	)
Treasury investments
Debt securities		10,453,421		-		(1,328	)		10,492,096		-		(1,157	)
Total		41,443,693		18,396,493		(133,542	)		41,054,445		18,670,812		(132,747	)

⁽¹⁾

As at March 31, 2026, the maximum credit risk exposure of the issued financial guarantees is USD1,237.64 million (Dec. 31, 2025: USD1,254.74 million), with an associated ECL allowance of USD0.60 million (Dec. 31, 2025: USD0.74 million). Of these, financial guarantees classified as Stage 1 amount to USD1,000.20 million with an ECL allowance of USD0.34 million, and those classified as Stage 2 amount to USD237.44 million with an ECL allowance of USD0.26 million.

Asian Infrastructure Investment Bank

Notes to the Financial Statements

For the three months ended March 31, 2026

(All amounts in thousands of US Dollars unless otherwise stated)

Financial Risk Management

Credit and other investment risks (Continued)

Credit quality analysis (Continued)

(i) Concentration of credit risk in investment operations portfolio

The geographical distribution by the destination of the Bank’s loan investments (gross carrying amount of loans and exposure of undrawn loan commitments), issued guarantee commitments and associated ECL is as follows:


	March 31, 2026						Dec. 31, 2025
Region	Stage 1		Stage 2		Total		Stage 1		Stage 2		Total
Sovereign- backed loans and guarantees⁽¹⁾
Central Asia		4,592,655		-		4,592,655		4,471,062		-		4,471,062
Eastern Asia		3,233,628		-		3,233,628		3,252,562		-		3,252,562
Southeastern Asia		10,282,936		34,330		10,317,266		10,356,967		35,532		10,392,499
Southern Asia		16,322,703		343,504		16,666,207		16,189,840		344,098		16,533,938
Western Asia		5,745,052		502,755		6,247,807		6,322,085		-		6,322,085
Oceania		86,417		-		86,417		85,388		-		85,388
Total Regional		40,263,391		880,589		41,143,980		40,677,904		379,630		41,057,534
Total Non-Regional		1,531,680		1,392,355		2,924,035		3,009,117		-		3,009,117
Subtotal		41,795,071		2,272,944		44,068,015		43,687,021		379,630		44,066,651

	March 31, 2026						Dec. 31, 2025
Region	Stage 1		Stage 2		Total		Stage 1		Stage 2		Total
ECL allowance
Central Asia		891		-		891		1,606		-		1,606
Eastern Asia		262		-		262		363		-		363
Southeastern Asia		1,387		3,263		4,650		1,598		3,399		4,997
Southern Asia		13,055		5,393		18,448		14,002		5,459		19,461
Western Asia		2,463		2,560		5,023		2,899		-		2,899
Oceania		243		-		243		319		-		319
Total Regional		18,301		11,216		29,517		20,787		8,858		29,645
Total Non-Regional		636		13,886		14,522		2,319		-		2,319
Subtotal		18,937		25,102		44,039		23,106		8,858		31,964

⁽¹⁾

The issued financial guarantees are classified as Stage 1 amount to USD1,000.20 million with an ECL allowance of USD0.34 million, and those classified as Stage 2 amount to USD237.44 million with an ECL allowance of USD0.26 million.

Asian Infrastructure Investment Bank

Notes to the Financial Statements

For the three months ended March 31, 2026

(All amounts in thousands of US Dollars unless otherwise stated)

Financial Risk Management

Credit and other investment risks (Continued)

Credit quality analysis (Continued)

(i) Concentration of credit risk in investment operations portfolio (Continued)


	March 31, 2026						Dec. 31, 2025
Region	Stage 1		Stage 2		Total		Stage 1		Stage 2		Total
Nonsovereign- backed loans
Central Asia		869,358		259,650		1,129,008		575,677		264,962		840,639
Eastern Asia		440,382		-		440,382		467,056		-		467,056
Southeastern Asia		599,846		26,574		626,420		550,351		26,221		576,572
Southern Asia		587,205		147,883		735,088		609,210		152,708		761,918
Western Asia		924,529		187,461		1,111,990		943,765		194,582		1,138,347
Total Regional		3,421,320		621,568		4,042,888		3,146,059		638,473		3,784,532
Total Non-Regional		276,501		200,466		476,967		298,078		194,690		492,768
Subtotal		3,697,821		822,034		4,519,855		3,444,137		833,163		4,277,300
Total		45,492,892		3,094,978		48,587,870		47,131,158		1,212,793		48,343,951

	March 31, 2026						Dec. 31, 2025
Region	Stage 1		Stage 2		Total		Stage 1		Stage 2		Total
ECL allowance
Central Asia		1,269		14,604		15,873		1,572		17,209		18,781
Eastern Asia		759		-		759		886		-		886
Southeastern Asia		2,287		196		2,483		2,840		208		3,048
Southern Asia		543		14,549		15,092		684		16,691		17,375
Western Asia		4,071		13,523		17,594		4,066		16,587		20,653
Total Regional		8,929		42,872		51,801		10,048		50,695		60,743
Total Non-Regional		455		28,394		28,849		617		30,170		30,787
Subtotal		9,384		71,266		80,650		10,665		80,865		91,530
Total		28,321		96,368		124,689		33,771		89,723		123,494

Asian Infrastructure Investment Bank

Notes to the Financial Statements

For the three months ended March 31, 2026

(All amounts in thousands of US Dollars unless otherwise stated)

Financial Risk Management

Credit and other investment risks (Continued)

Credit quality analysis (Continued)

(i) Concentration of credit risk in investment operations portfolio (Continued)

The sector distribution of the proceeds of the Bank’s projects for loan investments (gross carrying amount of loans and exposure of undrawn loan commitments), issued guarantee commitments and associated ECL is as follows:


	March 31, 2026						Dec. 31, 2025
Sector	Stage 1		Stage 2		Total		Stage 1		Stage 2		Total
Sovereign- backed loans and guarantees
CRF⁽¹⁾-Economic Resilience/PBF⁽²⁾		10,341,663		784,065		11,125,728		11,215,565		-		11,215,565
CRF-Finance/Liquidity		419,724		-		419,724		457,873		-		457,873
CRF-Public Health		3,202,110		-		3,202,110		3,266,821		-		3,266,821
Education Infrastructure		252,115		-		252,115		249,891		-		249,891
Energy		6,050,244		289,458		6,339,702		5,917,897		286,544		6,204,441
Transport		10,518,828		374,545		10,893,373		10,661,785		93,086		10,754,871
Urban		2,188,006		-		2,188,006		2,227,739		-		2,227,739
Water		3,896,135		287,067		4,183,202		4,213,762		-		4,213,762
Health Infrastructure		1,331,602		-		1,331,602		1,361,782		-		1,361,782
Multi-sector		2,698,072		237,435		2,935,507		2,914,769		-		2,914,769
Others		896,572		300,374		1,196,946		1,199,137		-		1,199,137
Subtotal		41,795,071		2,272,944		44,068,015		43,687,021		379,630		44,066,651

	March 31, 2026						Dec. 31, 2025
Sector	Stage 1		Stage 2		Total		Stage 1		Stage 2		Total
ECL allowance
CRF-Economic Resilience/PBF		8,298		5,936		14,234		10,391		-		10,391
CRF-Finance/Liquidity		794		-		794		1,098		-		1,098
CRF-Public Health		887		-		887		997		-		997
Education Infrastructure		27		-		27		30		-		30
Energy		2,123		4,606		6,729		2,403		4,627		7,030
Transport		1,609		6,772		8,381		1,935		4,231		6,166
Urban		1,504		-		1,504		1,417		-		1,417
Water		897		3,890		4,787		1,283		-		1,283
Health Infrastructure		15		-		15		15		-		15
Multi-sector		1,031		265		1,296		1,475		-		1,475
Others		1,752		3,633		5,385		2,062		-		2,062
Subtotal		18,937		25,102		44,039		23,106		8,858		31,964

⁽¹⁾

Crisis Recovery Facility (CRF) supported AIIB’s members and clients in alleviating and mitigating economic, financial and public health pressures arising from COVID-19.

⁽²⁾

PBF refers to policy-based financing.

Asian Infrastructure Investment Bank

Notes to the Financial Statements

For the three months ended March 31, 2026

(All amounts in thousands of US Dollars unless otherwise stated)

Financial Risk Management

Credit and other investment risks (Continued)

Credit quality analysis (Continued)

(i) Concentration of credit risk in investment operations portfolio (Continued)


	March 31, 2026						Dec. 31, 2025
Sector	Stage 1		Stage 2		Total		Stage 1		Stage 2		Total
Nonsovereign- backed loans
CRF-Finance/ Liquidity		199,384		-		199,384		213,412		-		213,412
CRF-Public Health		38,741		-		38,741		38,284		-		38,284
Digital Infrastructure and Technology		227,267		-		227,267		224,029		-		224,029
Energy		1,361,186		521,393		1,882,579		1,232,418		544,088		1,776,506
Multi-sector		695,017		14,228		709,245		716,970		-		716,970
Transport		551,577		286,413		837,990		441,216		289,075		730,291
Urban		422,444		-		422,444		374,009		-		374,009
Education Infrastructure		83,071		-		83,071		82,109		-		82,109
Health Infrastructure		119,134		-		119,134		121,690		-		121,690
Subtotal		3,697,821		822,034		4,519,855		3,444,137		833,163		4,277,300
Total		45,492,892		3,094,978		48,587,870		47,131,158		1,212,793		48,343,951

	March 31, 2026						Dec. 31, 2025
Sector	Stage 1		Stage 2		Total		Stage 1		Stage 2		Total
ECL allowance
CRF-Finance/ Liquidity		662		-		662		597		-		597
CRF-Public Health		70		-		70		87		-		87
Digital Infrastructure and Technology		501		-		501		813		-		813
Energy		2,682		40,135		42,817		3,128		46,455		49,583
Multi-sector		1,249		43		1,292		1,431		-		1,431
Transport		2,670		31,088		33,758		2,849		34,410		37,259
Urban		850		-		850		973		-		973
Education Infrastructure		244		-		244		292		-		292
Health Infrastructure		456		-		456		495		-		495
Subtotal		9,384		71,266		80,650		10,665		80,865		91,530
Total		28,321		96,368		124,689		33,771		89,723		123,494

Asian Infrastructure Investment Bank

Notes to the Financial Statements

For the three months ended March 31, 2026

(All amounts in thousands of US Dollars unless otherwise stated)

Financial Risk Management

Credit and other investment risks (Continued)

Credit quality analysis (Continued)

(ii) Movement analysis

Set out below are movement analyses of the gross carrying amount of loans, exposures of undrawn loan commitments, issued guarantee commitments, and debt securities with the related changes in ECL allowances.

Sovereign-backed loans and issued guarantee commitments


	Stage 1			Stage 2			Total
Gross carrying amount of loans and exposure of undrawn loan/issued guarantee commitments as at Jan. 1, 2026		43,687,021			379,630			44,066,651
New loans, commitments and guarantees originated		448,208			-			448,208
Repayments		(239,150	)		(3,280	)		(242,430	)
Movement in net transaction costs, fees, and related income through EIR method		44,113			1,483			45,596
Cancelled commitment		(35,725	)		-			(35,725	)
Foreign exchange movements		(214,285	)		-			(214,285	)
Transfer to stage 1		-			-			-
Transfer to stage 2		(1,895,111	)		1,895,111			-
As at March 31, 2026		41,795,071			2,272,944			44,068,015

	Stage 1			Stage 2			Total
ECL allowance as at Jan. 1, 2026		23,106			8,858			31,964
Additions		48			-			48
Change in risk parameters ⁽¹⁾		(2,310	)		(202	)		(2,512	)
Change from lifetime (stage 2) to 12-month (stage 1) ECL		-			-			-
Change from 12-month (stage 1) to lifetime (stage 2) ECL		(1,858	)		16,446			14,588
Reversal of ECL allowance		(49	)		-			(49	)
As at March 31, 2026		18,937			25,102			44,039

⁽¹⁾

The change in the loss allowance is due to change in the Probability of Default, Loss Given Default and Exposure at Default used to calculate the expected credit loss for the loans.

Asian Infrastructure Investment Bank

Notes to the Financial Statements

For the three months ended March 31, 2026

(All amounts in thousands of US Dollars unless otherwise stated)

Financial Risk Management

Credit and other investment risks (Continued)

Credit quality analysis (Continued)

Nonsovereign-backed loans


	Stage 1			Stage 2			Total
Gross carrying amount of loans and exposure of undrawn loan commitments as at Jan. 1, 2026		3,444,137			833,163			4,277,300
New loans and commitments originated		360,731			-			360,731
Repayments		(59,232	)		(12,027	)		(71,259	)
Movement in net transaction costs, fees, and related income through EIR method		3,597			(5,865	)		(2,268	)
Derecognition		-			-			-
Cancelled commitment		(10,348	)		-			(10,348	)
Foreign exchange movements		(26,836	)		(7,465	)		(34,301	)
Transfer to stage 1		-			-			-
Transfer to stage 2		(14,228	)		14,228			-
Transfer to stage 3		-			-			-
As at March 31, 2026		3,697,821			822,034			4,519,855

	Stage 1			Stage 2			Total
ECL allowance as at Jan. 1, 2026		10,665			80,865			91,530
Additions		136			-			136
Change in risk parameters ⁽¹⁾		(1,273	)		(9,642	)		(10,915	)
Change from lifetime (stage 2) to 12-month (stage 1) ECL		-			-			-
Change from 12-month (stage 1) to lifetime (stage 2) ECL		(56	)		43			(13	)
Reversal of ECL allowance		(88	)		-			(88	)
As at March 31, 2026		9,384			71,266			80,650
Total gross carrying amount of loans and exposure of undrawn loan commitments as at March 31, 2026		45,492,892			3,094,978			48,587,870
Total ECL allowance as at March 31, 2026		28,321			96,368			124,689

⁽¹⁾

Asian Infrastructure Investment Bank

Notes to the Financial Statements

For the three months ended March 31, 2026

(All amounts in thousands of US Dollars unless otherwise stated)

Financial Risk Management

Credit and other investment risks (Continued)

Credit quality analysis (Continued)

Sovereign-backed loans and issued guarantee commitments


	Stage 1			Stage 2			Total
Gross carrying amount of loans and exposure of undrawn loan/issued guarantee commitments as at Jan. 1, 2025		36,769,077			876,860			37,645,937
New loans, commitments and guarantees originated		7,576,729			-			7,576,729
Repayments		(1,487,925	)		(57,232	)		(1,545,157	)
Movement in net transaction costs, fees, and related income through EIR method		(135,690	)		164			(135,526	)
Cancelled commitment		(552,467	)		(3,066	)		(555,533	)
Foreign exchange movements		1,080,201			-			1,080,201
Transfer to stage 1		437,096			(437,096	)		-
Transfer to stage 2		-			-			-
As at Dec. 31, 2025		43,687,021			379,630			44,066,651

	Stage 1			Stage 2			Total
ECL allowance as at Jan. 1, 2025		28,318			35,860			64,178
Additions		1,632			-			1,632
Change in risk parameters ⁽¹⁾		(7,651	)		(4,188	)		(11,839	)
Change from lifetime (stage 2) to 12-month (stage 1) ECL		1,219			(22,506	)		(21,287	)
Change from 12-month (stage 1) to lifetime (stage 2) ECL		-			-			-
Reversal of ECL allowance		(412	)		(308	)		(720	)
As at Dec. 31, 2025		23,106			8,858			31,964

⁽¹⁾

The change in the loss allowance is due to change in the Probability of Default, Loss Given Default and Exposure at Default used to calculate the expected credit loss for the loans. It also includes those changes resulting from methodology updates, for details please refer to section D3 ECL measurement in the Bank’s annual financial statements for the year ended Dec. 31, 2025.

Asian Infrastructure Investment Bank

Notes to the Financial Statements

For the three months ended March 31, 2026

(All amounts in thousands of US Dollars unless otherwise stated)

Financial Risk Management

Credit and other investment risks (Continued)

Credit quality analysis (Continued)

Nonsovereign-backed loans


	Stage 1			Stage 2			Total
Gross carrying amount of loans and exposure of undrawn loan commitments as at Jan. 1, 2025		3,034,979			503,597			3,538,576
New loans and commitments originated		1,485,961			-			1,485,961
Repayments		(559,023	)		(333,590	)		(892,613	)
Movement in net transaction costs, fees, and related income through EIR method		(4,971	)		(4,015	)		(8,986	)
Derecognition		-			-			-
Cancelled commitment		(54,423	)		-			(54,423	)
Foreign exchange movements		118,318			90,467			208,785
Transfer to stage 1		-			-			-
Transfer to stage 2		(576,704	)		576,704			-
As at Dec. 31, 2025		3,444,137			833,163			4,277,300

	Stage 1			Stage 2			Stage 3
ECL allowance as at Jan. 1, 2025		16,363			119,271			135,634
Additions		21,731			-			21,731
Change in risk parameters ⁽¹⁾		(4,685	)		(3,807	)		(8,492	)
Change from lifetime (stage 2) to 12-month (stage 1) ECL		-			-			-
Change from 12-month (stage 1) to lifetime (stage 2) ECL		(22,165	)		51,542			29,377
Reversal of ECL allowance		(579	)		(86,141	)		(86,720	)
As at Dec. 31, 2025		10,665			80,865			91,530
Total gross carrying amount of loans and exposure of undrawn loan commitments as at Dec. 31, 2025		47,131,158			1,212,793			48,343,951
Total ECL allowance as at Dec. 31, 2025		33,771			89,723			123,494

⁽¹⁾

The change in the loss allowance is due to change in the Probability of Default, Loss Given Default and Exposure at Default used to calculate the expected credit loss for the loans. It also includes those changes resulting from methodology updates and Post Model Adjustment, for details please refer to section D3 ECL measurement in the Bank’s annual financial statements for the year ended Dec. 31, 2025.

Asian Infrastructure Investment Bank

Notes to the Financial Statements

For the three months ended March 31, 2026

(All amounts in thousands of US Dollars unless otherwise stated)

Financial Risk Management

Credit and other investment risks (Continued)

Credit quality analysis (Continued)

Debt securities in investment operations portfolio


	Stage 1			Stage 2		Stage 3 ⁽¹⁾		Total
Debt securities as at Jan. 1, 2026		884,141			-		5,069		889,210
New debt securities		47,808			-		-		47,808
Accrual and amortization		550			-		-		550
Foreign exchange movements		(13,446	)		-		-		(13,446	)
Transfer to stage 1		-			-		-		-
Transfer to stage 2		-			-		-		-
Transfer to stage 3		-			-		-		-
Derecognition		(125,227	)		-		-		(125,227	)
As at March 31, 2026		793,826			-		5,069		798,895

	Stage 1			Stage 2		Stage 3 ⁽¹⁾		Total
ECL allowance as at Jan. 1, 2026		3,051			-		5,045		8,096
Additions		947			-		-		947
Change in risk parameters		(461	)		-		3		(458	)
Change from lifetime (stage 2) to 12-month (stage 1) ECL		-			-		-		-
Change from 12-month (stage 1) to lifetime (stage 2) ECL		-			-		-		-
Change from 12-month (stage 2) to lifetime (stage 3) ECL		-			-		-		-
Reversal of ECL allowance		(1,060	)		-		-		(1,060	)
As at March 31, 2026		2,477			-		5,048		7,525

⁽¹⁾

The Bank held one debt security from one issuer that was assessed as “credit impaired” and downgraded to Stage 3. As at March 31, 2026, USD5.05 million of ECL allowance has been provided for the debt security.

Asian Infrastructure Investment Bank

Notes to the Financial Statements

For the three months ended March 31, 2026

(All amounts in thousands of US Dollars unless otherwise stated)

Financial Risk Management

Credit and other investment risks (Continued)

Credit quality analysis (Continued)

Debt securities in treasury investment portfolio


	Stage 1			Stage 2		Total
Debt securities as at Jan. 1, 2026		10,492,096			-		10,492,096
New debt securities		502,803			-		502,803
Accrual and amortization		(34,986	)		-		(34,986	)
Foreign exchange movements		-			-		-
Transfer to stage 1		-			-		-
Transfer to stage 2		-			-		-
Transfer to stage 3		-			-		-
Derecognition		(506,492	)		-		(506,492	)
As at March 31, 2026		10,453,421			-		10,453,421

	Stage 1			Stage 2		Total
ECL allowance as at Jan. 1, 2026		1,157			-		1,157
Additions		81			-		81
Change in risk parameters		116			-		116
Change from lifetime (stage 2) to 12-month (stage 1) ECL		-			-		-
Change from 12-month (stage 1) to lifetime (stage 2) ECL		-			-		-
Change from 12-month (stage 2) to lifetime (stage 3) ECL		-			-		-
Reversal of ECL allowance		(26	)		-		(26	)
As at March 31, 2026		1,328			-		1,328

Asian Infrastructure Investment Bank

Notes to the Financial Statements

For the three months ended March 31, 2026

(All amounts in thousands of US Dollars unless otherwise stated)

Financial Risk Management

Credit and other investment risks (Continued)

Credit quality analysis (Continued)

Debt securities in investment operations portfolio


	Stage 1			Stage 2		Stage 3			Total
Debt securities as at Jan. 1, 2025		707,197			-		14,988			722,185
New debt securities		321,955			-		252			322,207
Accrual and amortization		1,792			-		238			2,030
Foreign exchange movements		(9,552	)		-		-			(9,552	)
Transfer to stage 1		-			-		-			-
Transfer to stage 2		-			-		-			-
Transfer to stage 3		-			-		-			-
Derecognition		(137,251	)		-		(10,409	)		(147,660	)
As at Dec. 31, 2025		884,141			-		5,069			889,210

	Stage 1			Stage 2		Stage 3			Total
ECL allowance as at Jan. 1, 2025		2,162			-		14,010			16,172
Additions		1,186			-		128			1,314
Change in risk parameters		(113	)		-		20			(93	)
Change from lifetime (stage 2) to 12-month (stage 1) ECL		-			-		-			-
Change from 12-month (stage 1) to lifetime (stage 2) ECL		-			-		-			-
Change from 12-month (stage 1) to lifetime (stage 3) ECL		-			-		-			-
Reversal of ECL allowance		(184	)		-		(9,113	)		(9,297	)
As at Dec. 31, 2025		3,051			-		5,045			8,096

Asian Infrastructure Investment Bank

Notes to the Financial Statements

For the three months ended March 31, 2026

(All amounts in thousands of US Dollars unless otherwise stated)

Financial Risk Management

Credit and other investment risks (Continued)

Credit quality analysis (Continued)

Debt securities in treasury investment portfolio


	Stage 1			Stage 2		Total
Debt securities as at Jan. 1, 2025		11,045,284			-		11,045,284
New debt securities		2,214,427			-		2,214,427
Accrual and amortization		42,420			-		42,420
Foreign exchange movements		-			-		-
Transfer to stage 1		-			-		-
Transfer to stage 2		-			-		-
Transfer to stage 3		-			-		-
Derecognition		(2,810,035	)		-		(2,810,035	)
As at Dec. 31, 2025		10,492,096			-		10,492,096

	Stage 1			Stage 2		Total
ECL allowance as at Jan. 1, 2025		2,808			-		2,808
Additions		225			-		225
Change in risk parameters		(1,354	)		-		(1,354	)
Change from lifetime (stage 2) to 12-month (stage 1) ECL		-			-		-
Change from 12-month (stage 1) to lifetime (stage 2) ECL		-			-		-
Change from 12-month (stage 1) to lifetime (stage 3) ECL		-			-		-
Reversal of ECL allowance		(522	)		-		(522	)
As at Dec. 31, 2025		1,157			-		1,157

Asian Infrastructure Investment Bank

Notes to the Financial Statements

For the three months ended March 31, 2026

(All amounts in thousands of US Dollars unless otherwise stated)

Fair Value Disclosures

The majority of the Bank’s assets and liabilities in the Statement of Financial Position are financial assets and financial liabilities. Fair value measurement of nonfinancial assets and nonfinancial liabilities does not have a material impact on the Bank’s financial position and operations, taken as a whole.

The Bank does not have any financial assets or financial liabilities subject to nonrecurring fair value measurements for the three months ended March 31, 2026 (for the year ended Dec. 31, 2025: none).

The fair value of the Bank’s financial assets and financial liabilities are determined as follows:

If traded in active markets, fair values of financial assets and financial liabilities with standard terms and conditions are determined with reference to quoted market bid prices and ask prices, respectively.

If not traded in active markets, fair values of financial assets and financial liabilities are determined in accordance with generally accepted pricing models or discounted cash flow analysis using prices from observable current market transactions for similar instruments or using unobservable inputs relevant to the Bank’s assessment.

Fair value hierarchy

The Bank classifies financial assets and financial liabilities into the following three levels based on the extent to which inputs to valuation techniques used to measure fair value of the financial assets and financial liabilities are observable:

Level 1:

Fair value measurements are those derived from quoted prices (unadjusted) in an active market for identical assets or liabilities;

Level 2:

Fair value measurements are those derived from inputs other than quoted included within Level 1 that are observable for the asset or liability, either directly (that is, as prices) or indirectly (that is, derived from prices); and

Level 3:

Fair value measurements are based on models, and unobservable inputs are significant to the entire measurement.

The Bank assesses the fair value hierarchy at security level. The Bank recognizes transfers in and transfers out of levels at the end of the reporting period during which the change has occurred.

Asian Infrastructure Investment Bank

Notes to the Financial Statements

For the three months ended March 31, 2026

(All amounts in thousands of US Dollars unless otherwise stated)

Fair Value Disclosures

Financial assets and financial liabilities not measured at fair value on the Statement of Financial Position

The table below summarizes the carrying amounts and fair values of those financial instruments not measured in the Statement of Financial Position at their fair value:


	March 31, 2026				Dec. 31, 2025
	Carrying amount		Fair value		Carrying amount		Fair value
*Financial assets*
- Loan investments, at amortized cost		30,136,608		31,063,623		29,626,580		30,496,466
- Debt securities, at amortized cost		11,178,294		11,200,765		11,297,092		11,402,179
- Paid-in capital receivables		213,532		213,035		219,625		219,151
*Financial liabilities*
- Borrowings		4,639,268		4,640,822		2,477,268		2,481,420

As at March 31, 2026, other than those disclosed above, the Bank’s balances of financial instruments are not measured at fair value but with short-term maturity approximate their fair values.

Fair value of loan investments and paid-in capital receivables measured at amortized cost has been calculated using Level 3 inputs by discounting the cash flows at a current interest rate applicable to each loan and paid-in capital receivable.

The significant input used in the fair value of loan are risk-free rate, credit default swap spreads, expected recovery rate and foreign exchange rates. Management makes certain assumptions about the unobservable inputs to the model. These are regularly assessed for reasonableness and impact on the fair value of loans. An increase in the level of forecast cash flows in subsequent periods would lead to an increase in the fair value and an increase in the discount rate used to discount to forecast cash flow would lead to a decrease in the fair value of loans.

Fair value of debt securities held at amortized cost are generally based upon quoted market prices, if available. If the market prices are not readily available, fair values are estimated using either values obtained from independent parties offering pricing services or adjusted quoted market prices of comparable investments or using the discounted cash flow methodology.

Fair value of borrowings held at amortized cost are generally based upon quoted market prices, if available. If the market prices are not readily available, fair values are determined using discounted cash flow models.

Asian Infrastructure Investment Bank

Notes to the Financial Statements

For the three months ended March 31, 2026

(All amounts in thousands of US Dollars unless otherwise stated)

Fair Value Disclosures

Financial assets and financial liabilities measured at fair value on the Statement of Financial Position (Continued)

The table below summarizes the fair values of the financial assets and financial liabilities measured in the Statement of Financial Position at their fair value:


As at March 31, 2026
	Level 1		Level 2			Level 3		Total
Financial assets and financial liabilities
Investments at fair value through profit or loss
- External Managers Program		5,032,911		194,455			-		5,227,366
- Investments with equity participation		-		-			1,485,690		1,485,690
- Debt securities		7,819,014		1,925,262			-		9,744,276
- Investment operations fixed-income portfolio		226,179		35,855			-		262,034
Money Market Funds		-		96,660			-		96,660
Derivative assets		-		1,037,770			-		1,037,770
Total financial assets		13,078,104		3,290,002			1,485,690		17,853,796
Borrowings		-		(38,048,515	)		-		(38,048,515	)
Derivative liabilities		-		(1,040,453	)		-		(1,040,453	)
Total financial liabilities		-		(39,088,968	)		-		(39,088,968	)

As at Dec. 31, 2025
	Level 1		Level 2			Level 3		Total
Financial assets and financial liabilities
Investments at fair value through profit or loss
- External Managers Program		4,495,360		224,966			-		4,720,326
- Investments with equity participation		-		-			1,435,173		1,435,173
- Debt securities		6,967,412		1,712,809			-		8,680,221
- Investment operations fixed-income portfolio		218,173		46,768			-		264,941
Money Market Funds		-		691,412			-		691,412
Derivative assets		-		1,312,674			-		1,312,674
Total financial assets		11,680,945		3,988,629			1,435,173		17,104,747
Borrowings		-		(36,592,173	)		-		(36,592,173	)
Derivative liabilities		-		(841,922	)		-		(841,922	)
Total financial liabilities		-		(37,434,095	)		-		(37,434,095	)

Asian Infrastructure Investment Bank

Notes to the Financial Statements

For the three months ended March 31, 2026

(All amounts in thousands of US Dollars unless otherwise stated)

Fair Value Disclosures

Financial assets and financial liabilities measured at fair value on the Statement of Financial Position (Continued)

The MMFs’ shares are not traded in any market. The fair value of the MMFs is derived from that of the net assets value, therefore MMFs are classified as Level 2 instruments.

External Managers Program and debt securities have been valued either using the discounted cash flow method based on observable market input, or obtained from market price. Derivative instruments and borrowings have been valued using discounted cash flow methodology based on observable market inputs. Quoted prices (unadjusted) in active markets are typical Level 1 inputs, while inputs other than quoted prices included within Level 1 that are observable for the asset and liability, either directly or indirectly, are typically Level 2 inputs.

In some situations, the inputs used to measure fair value might fall in different level of the fair value hierarchy. The level in the fair value hierarchy within which the fair value measurement falls shall be determined based on the lowest level input that is significant to the fair value measurement in its entirety. When unobservable inputs are significant to the fair value measurement, those financial instruments are to be categorized as level 3.

During the three months ended March 31, 2026, due to changes in market conditions for certain investment securities, quoted prices in active markets were no longer available for these securities. However, there was sufficient information available to measure the fair values of these securities based on observable market inputs. Therefore, there were USD4.41 million of debt instruments transferred from Level 1 to Level 2 of the fair value hierarchy. In addition, there were transfers of USD158.64 million in investments of debt instruments from Level 2 to Level 1, when quoted prices in active markets become available.

The table below provides a reconciliation of the fair values of the Bank’s Level 3 financial assets for the three months ended March 31, 2026 and the year ended Dec. 31, 2025.

Investments with equity participation:


	For the three months ended March 31, 2026			For the year ended Dec. 31, 2025
As at beginning of period/year		1,435,173			1,255,460
Additions		49,359			282,326
Return of capital contributions		(11,590	)		(100,326	)
Fair value gain/(loss), net		12,748			(2,287	)
Total		1,485,690			1,435,173

The fair value gains or losses are attributable to changes in unrealized gains or losses relating to those financial assets held at the end of the reporting period, which are recognized in profit or loss under “Net gain on financial instruments measured at fair value and foreign exchange”. For the three months ended March 31, 2026, the realized gain arising from the Bank’s Level 3 financial assets amounted to USD2.01 million (for the year ended Dec. 31, 2025: USD14.03 million).

Asian Infrastructure Investment Bank

Notes to the Financial Statements

For the three months ended March 31, 2026

(All amounts in thousands of US Dollars unless otherwise stated)

Fair Value Disclosures

Financial assets and financial liabilities measured at fair value on the Statement of Financial Position (Continued)

The fair value of the investments with equity participation is mainly based on an adjusted net assets method and discounted cash flow model. The unobservable inputs for discounted cash flow model mainly include weighted average cost of capital, liquidity discount and projected cash flows.

There has been no transfer in and/or out of Level 3 during the three months ended March 31, 2026 (for the year ended Dec. 31, 2025: none).