PHNOM PENH — The China-initiated Asian Infrastructure Investment Bank (AIIB) and Silk Road Fund are crucial for Asia’s developing countries that need capital for connectivity and infrastructure development, Cambodian Transport Minister Sun Chanthol said on Aug 29.

“Efficient connectivity is vital to the growth of the economy and trade,” he said during the opening ceremony of the 37th ASEAN Ports Association Working Committee meeting held in Cambodia.

The minister said that according to the Asian Development Bank estimate, ASEAN needs about $70 billion a year in the next 5 to 10 years to carry out the Master Plan on ASEAN Connectivity, and Asia needs between $8 and $10 trillion over the next 5 to 10 years to invest in the infrastructure projects to improve connectivity.

“The newly-established Asian Infrastructure Investment Bank (AIIB) with its capital of $100 billion, China’s $40-billion One Belt One Road strategy, and the Asian Development Bank fund provide much needed capital to fund energy, power, transport and telecommunications infrastructure in Asia,” he said.

The AIIB was formally established in Beijing, capital of China, in Dec 2015, and the Silk Road Fund with China’s contribution of $40 billion was announced in November 2014 in Beijing.

The two sources of funding are aimed to provide financial support to regional infrastructure development projects in the framework of the Silk Road Economic Belt and the 21st Century Maritime Silk Road, known as Belt and Road initiative or One Belt One Road initiative.