From dialogue to development

Long before development cooperation became the defining feature of the relationship, Germany, the Ismaili Imamat and the Aga Khan Development Network (AKDN) were working together through initiatives that combined private enterprise, long-term investment and shared endeavour – an ethos that continues to underpin one of AKDN’s most enduring international collaborations.

This understanding has shaped a partnership that spans decades and regions – across public and private, as well as economic and cultural spheres. In the early 1960s, an investment supported by the German management consultancy Kienbaum helped to establish Industrial Promotion Services (IPS); a decade later, Tourism Promotion Services (TPS) was established with initial shareholding from the German aviation group Lufthansa.

A spirit of mutual trust enabled German private-sector partners to play a formative role in the early development of these organisations – today managed under the Aga Khan Fund for Economic Development. In turn, resilient businesses and major power projects have been established – strengthening economies, expanding opportunity and delivering meaningful economic and social impact across multiple regions.

“Since its founding, IPS has aimed to bring together local enterprise with international partners who share a genuine commitment to long-term development. KfW and DEG have embodied that vision for decades, investing alongside IPS with patience, trust and a shared commitment to responsible development,” says Aleem Karmali, Head of Infrastructure at IPS.

From private beginnings to hybrid cooperation

Over time, this private sector engagement evolved into a broader and more integrated model of cooperation. The collaboration deepened in the 1990s, primarily through engagement with the Federal Ministry for Economic Cooperation and Development (BMZ), the German Federal Foreign Office (GFFO), KfW Development Bank and the German Corporation for International Cooperation (GIZ), supporting projects in areas such as climate resilience, water and economic development in northern Pakistan.

Since then, German institutions have committed approximately $993 million to more than 250 AKDN projects. These span sectors including health, climate resilience, agriculture and food security, economic inclusion, education and cultural rehabilitation, as well as support for civil society and governance in both fragile contexts and stable economies. Geographically, the partnership extends across Asia, Africa and the Middle East – from Afghanistan and Pakistan to Syria, East Africa and beyond, encompassing some 15 countries.

The signing of a Memorandum of Understanding between AKDN and BMZ in 2004 gave further expression to a partnership anchored in shared development objectives and common values. Speaking at the signing, the Aga Khan IV emphasised the importance of pluralism to sustainable development, describing it as a “practical means of managing diversity, mitigating conflict, fostering social cohesion and laying the foundation for equitable human development” – principles closely aligned with Germany’s approach to development cooperation.

These shared values were subsequently recognised at the highest level in Germany: in 2005, the Aga Khan IV received the Die Quadriga prize for his life’s work in supporting communities in some of the world’s most challenging contexts, and in 2006 he was presented with the Tutzing Award for Tolerance from then Foreign Minister Frank-Walter Steinmeier.

A partnership for recovery and cohesion

Nowhere is this integrated, values-driven approach more evident than in the Aga Khan Foundation (AKF)’s work with German partners in fragile and transition contexts. In 2024, BMZ and KfW signed an $11.5 million grant with AKF to support agricultural recovery in Syria – making AKF the first non-UN partner for Germany in the country during this period. Further discussions are ongoing around the possibility of partnering with the German government to strengthen social cohesion in Syria’s coastal communities, reinforcing the idea that recovery is both economic and collective.

This emphasis on social cohesion builds directly on the partnership’s longstanding engagement in Afghanistan, where Germany was among AKDN’s largest partners prior to 2021. Programmes such as the Stabilisation Programme in Northern Afghanistan, which since implementation in 2010 has benefitted more than six million people, and the rehabilitation of major cultural sites in Kabul – including Bagh-e-Babur, Chihilsitoon Garden and the Kabul Riverfront – combined economic development with cultural revitalisation, recognising that communities are held together not only by infrastructure and services, but also by shared spaces, histories and identities.

While the modalities of engagement have shifted in recent years, Germany continues to support AKDN-led initiatives through multilateral channels, including major health, education, water and irrigation, and livelihoods programmes, and some direct support for employable skills and culture.

Cultural exchange has long been a connecting thread in the partnership. An early example came in 2002, when the nascent Aga Khan Music Programme collaborated with the Schleswig-Holstein Musik Festival to bring Yo-Yo Ma and the Silk Road Ensemble to Germany. The collaboration was emblematic of a wider shared philosophy that places culture at the heart of pluralism and development – and a nod to the belief that exchanges between peoples and cultures foster the mutual understanding and trust on which peaceful and prosperous societies depend.

AKF in Germany

As the partnership continues to evolve, its next chapter will take shape within Germany itself. AKF is in the final stages of establishing a formal presence in the country, marking an important shift from a partnership focused largely on international development to one that also engages directly within German society.

This presence will open new avenues for collaboration. Once fully registered as a German NGO, AKF Germany will allow the Foundation to deepen its cooperation with German institutions across contexts such as Syria, Afghanistan, Mozambique and elsewhere. At the same time, the office will play a central role in implementing programmes within Germany, reflecting a growing recognition that the values underpinning the partnership – pluralism, cultural understanding and shared opportunity – are as relevant in European contexts as they are elsewhere.

At the heart of this work will be collaboration with German civil society organisations. Across cities including Berlin, Frankfurt, Munich, Hamburg and Essen, AKF will work alongside local partners to support migrants and their families in navigating new environments and accessing opportunities. Programmes will focus on early childhood development, language acquisition and pathways to employment, combining technical support with financial resources and capacity strengthening where needed.

In doing so, AKF’s approach places the exchange of ideas and perspectives at the centre of integration – recognising that well-adjusted communities are built through shared services, mutual understanding, participation and the ability to bridge cultures in everyday life.

A partnership for pluralism and prosperity

In an increasingly interconnected and fragmenting world, the partnership between Germany, the Ismaili Imamat and AKDN offers a distinctive model of cooperation aligned in a shared commitment to pluralism, cultural exchange, dialogue and economic opportunity.

From early private-sector investments in Sub-Saharan Africa and South Asia to community-based programmes in cities across Germany, the partnership reflects an approach to development that combines enterprise with social progress, recognising cultural assets as a springboard for economic growth and pluralism as a driver of stability and prosperity.

As it enters this next phase, and more than six decades after its earliest collaborations, the partnership holds fast to the belief that lasting development is built on mutual trust, shared endeavour and a willingness to invest in people, communities and ideas.