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The Asian Infrastructure Investment Bank (AIIB) has approved two loans totaling 301 million U.S. dollars for transport sector projects in Oman, the bank's first in the Arabian Peninsula.

The financing comprises 265 million dollars to maritime infrastructure at Duqm Port and 36 million dollars to the country's first railway system, the AIIB said in a statement.

The projects are expected to enhance Oman's economic prospects and maritime trade links with other countries, the AIIB said.

"I am pleased the bank will be able to help the government of Oman diversify its economy through the approval of these two projects," AIIB President Jin Liqun said.

The two projects bring the total amount of loans approved so far by the bank to 1.13 billion dollars since it started operation in January.

"We have a strong pipeline of investments for next year, and we will continue working hard to help develop the sustainable infrastructure that Asia needs," Jin added.

The Beijing-based AIIB is a multilateral development bank initiated by China and supported by a wide range of countries and regions, which provides financing for infrastructure improvement in Asia.