Recommended wall insulation for semi-finished, below grade basement?

The house we bought 4 years ago has a semi-finished basement; most of the walls are finished, as is some of the ceiling. In the mechanical room, the previous owner framed the walls against the cinder block and placed insulation, but did not put up any kind of wall board.

As I've researched different ideas to finish off that wall, I never see fiberglass insulation being recommended for insulating a below grade wall. Websites are always recommending the rigid foam, so while I can, should I replace all of this fiberglass insulation with rigid foam board? I have a project in the garage starting soon of finishing off a wall, so I could repurpose the fiberglass in there.

Thanks!

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Recommended wall insulation for semi-finished, below grade basement?