Beijing, July 10, 2025

Reflections on Resilient Transport from the International Transport Forum 2025 Summit

To understand why resilient transport matters, its meaning must be defined. Resilient transport is sustainable, data-driven and inclusive. For AIIB, this reinforces the importance of operationalizing climate-resilient and nature-based solutions in its transport investments; leveraging robust data, including digitalization, to support our work across the project cycle including project preparation and implementation; and ensuring seamless integration across transport modes to reduce bottlenecks and make transport systems accessible to all.

Future-proofing transport investments and embedding sustainability is crucial in transport planning. According to the Asian Transport Observatory (ATO) and Life-Links, a disproportionately high share of global disasters occur in Asia – close to 8 of 10 floods, while landslides and wildfires occur in similar proportions, i.e., 9 and 7 out of 10 times, respectively. Resulting infrastructure damages and failures generate substantial costs, such that physical infrastructure damages cost Asia around USD8.5 trillion annually (65% of global costs).

AIIB has committed to align 100% of our financing operations with the Paris Agreement since July 2023. We exceeded our target of 50% climate finance in 2023, achieving 60% of total financing directed to climate initiatives, with the transport sector accounting for the largest share (29%).

Examples include integrating sustainability key performance indicators that incentivize reductions in carbon emissions and plastic use, setting a new standard for maritime transport operations through the Singapore: Regional Transport Connectivity Project; incorporating flood-resilient design and sustainable transit systems to reduce emissions and promote climate-friendly urban mobility through various metro and rail projects such as the Delhi-Meerut Regional Rapid Transit System and Haryana Orbital Rail Corridor; and integrating slope stabilization through reforestation, using nature-based infrastructure to enhance climate resilience to reduce landslide risks in the Reduction of Landslide Vulnerability by Mitigation Measures Project in Sri Lanka.

In addition, AIIB is also supporting the adoption and acceleration of e-mobility, including electric vehicles and charging infrastructures, through non-sovereign-backed financing transactions in India and China; and supporting transport policy reforms that are future-proof and increase electric transportation through the Climate Resilient Inclusive Development Program in Bangladesh.

In addition, high quality and relevant data that can be used to generate insights for resilient transport planning and implementation is just as important. In fact, the Policy Recommendation on Comprehensive Road Safety Policy, adopted by the Council of Ministers of Transport of the International Transport Forum at the International Transport Forum (ITF) 2025 Summit in Leipzig, Germany, highlighted the importance of initiatives on data and evidence for road safety.

However, data collection and utilization are mired with challenges – data fragmentation, equity gaps in data collection, and outdated data – that can lead to lags in policymaking and implementation. To address these challenges, AIIB and the Asian Development Bank are supporting the ATO’s initiative in developing an open-access and innovative transport observatory from various primary and secondary sources, aggregating them, and providing insights for policymakers in Asia.

AIIB also supports its clients’ operational sustainability through financing of road asset management systems (RAMS), such as in Madhya Pradesh, Assam and Manipur. Essentially, RAMS is a system that contains comprehensive road and bridge inventory data. It classifies and prioritizes road networks, enables real-time tracking of infrastructure health, helps track infrastructure exposure to climate risks, and supports the maintenance and upgradation of road assets (e.g., drainage upgrades, covering potholes, addressing road cracks). AIIB supported RAMS that use ground survey techniques such as digitization of road alignments, network survey vehicles, drones, and visual inspections, while also deploying newer data collection techniques (e.g., the use of remote sensing techniques and artificial intelligence for the assessment of road network conditions, and identification of climate vulnerability and road safety hazards).

AIIB also uses data to inform policymakers on the importance of resilience planning. Using the OpenStreetMap road network and hospital locations, it simulated routes and driving times from randomly selected locations to the closest hospitals in selected countries in the Association of Southeast Asian Nations. The analysis found that the simulated driving times to the closest hospitals during floods increased significantly compared to non-flood scenarios (i.e., 40% of locations experienced longer driving times).

Inclusive transport requires a holistic and integrated approach in transport planning and network design. Women, for example, have different mobility needs as they face specific risks when using the transport systems (e.g., sexual harassment) and this affects labor participation at the economy level. Arguably, designing infrastructure for the most vulnerable makes transport systems accessible to all.

Making transport systems accessible to all requires moving from a car-intensive to a multi-modal-intensive system – ideally with seamless integration across transport modes (road, rail, air and maritime) while promoting active mobility (walking and cycling). This may mean inclusive retrofitting of existing transport projects alongside developing large-scale infrastructure, especially in underserved communities. Creating multimodal corridors can further enhance redundancy while addressing supply chain disruptions.

Yet inclusive transport systems, especially in low-density and rural areas, may lack a business case. The private sector is likely to underinvest in large-scale transport projects, which provide benefits to a broader population and make it challenging for private firms to capture all the benefits and recoup their investments. Cross-border transport projects, moreover, are constrained by complex international cooperation arrangements and changes in government regulations that can discourage private investment. Benefits to clean transportation such as climate mitigation and adaptation of transport projects are also accrued far in the future, while the costs are borne today.

This is where governments and multilateral development banks (MDBs) can step in. But the vast infrastructure financing needs, including in transport, far exceed the fiscal capacity of governments and the MDBs’ balance sheets. An important boost can come from the catalytic role AIIB plays in increasing private investors’ appetite for investing in transport infrastructures through public-private partnerships.

The International Transport Forum (ITF) 2025 Summit in Leipzig, Germany, brought together global transport policymakers and infrastructure professionals to discuss Transport Resilience to Global Shocks such as heightened climate risks, technological disruptions, supply-chain vulnerabilities and geopolitical uncertainties. ITF 2025 was a valuable opportunity for the AIIB to engage with development partners and governments and reaffirm our commitment to building resilient transport systems across Asia and beyond.

ITF 2025 demonstrated that resilience is not merely about responding to shocks but designing transport systems that anticipate and adapt. Given AIIB’s vision for a prosperous Asia and beyond, AIIB will continue to mainstream resilient transport in its investments while strengthening collaboration with various stakeholders – governments, development partners (such as the ITF), private sector, and local communities – on resilient transport.

Authors

Andres Pizarro

Manager, AIIB

Anne Ong Lopez

Investment Officer, AIIB

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