Asian Infrastructure Investment Bank
News:
What:
- It is a multilateral development bank.
Why:
- Conceived as a vehicle to address the growing need for development finance in Asia.
Significance:
- The AIIB is perceived as a rival of the Asian Development Bank and the World Bank. However, AIIB has much lesser capacities than the latter two.
- It also seen as a diplomatic coup for China. Through the AIIB, China has successfully attracted countries (including India) that are wary of Chinese development initiatives like BRI.
Who:
- It has a membership of >100 countries.
- China has the most voting power (26.58%), given its $27 billion contribution.
- India is the 2nd largest shareholder (7.6% voting power) with $8 billion commitment.
- Russia is the 3rd largest with 5.97% voting power.
- Other members include- Germany, South Korea, UK, Australia, France, Indonesia, etc.
Where:
- It is based in Beijing.
When:
- Started in 2016, with 57 members.
Facts:
- Some of the projects financed by the AIIB in India:
- Chennai Metro Rail Phase 2
- Chennai Peripheral Ring Road
- Project to improve Assam’s secondary road network, etc.
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