I'm assuming your framing the basement with 2x4's R-13 would be the right choice. What I would recommend is to make sure you keep your framing off the foundation wall at least 2". Reason 1. you don't want the insulation to come in contact with the exterior wall. In case of leaks. I have seen a few basements where the fiberglass made contact with the foundation and black mold was formed on the back half the insulation.
If you can paint the interior of the walls with some type of sealer. Like dry lock. Years ago I can remember using tar to seal the walls, the smell stayed in the house for weeks, when my wife put the close in the clothes dryer the would come out smelling like burnt asphalt. but it worked and still, 27yrs later no leaks. good luck BOB