Asian Infrastructure Investment Bank (AIIB)
The Chinese government announced proposals for the establishment of the Asian Infrastructure Investment Bank in Oct. 2013. Articles of agreement, which form the bank’s legal basis, were adopted in May 2015 and the institution was formally launched in Dec. that year, with an initial capitalization of US$100bn.
Aims and Activities. The bank aims to provide financial backing for infrastructure development projects in Asia and to promote regional co-operation to address development challenges. It approved its first four projects within six months of launching, of which three were joint ventures with existing institutions (the single solo project being a scheme to electrify 2·5m. rural homes in Bangladesh). At its inaugural annual meeting in June 2016 the bank signed off projects worth in excess of US$500m.
Organization.The senior decision-making body is the Board of Governors, comprising one governor from each member state. A Board of Directors, made up of 12 Governors, oversees the...