Asian Infrastructure Investment Bank

Asian Infrastructure Investment Bank
AIIB logo.svg
AIIB headquarters near Forest Park South Gate (20210404164705).jpg
Headquarters in Beijing
Abbreviation AIIB
Formation 16 January 2016; 5 years ago (2016-01-16)
Type Regional Investment Bank
Legal status Treaty
Purpose Crediting
Headquarters Beijing, China
Region served
Asia and Oceania
104 Members[1]
Official language
Key people
Jin Liqun[3] (President)
Main organ
  • Board of Governors
  • Board of Directors
Asian Infrastructure Investment Bank
Simplified Chinese 亚洲基础设施投资银行
Traditional Chinese 亞洲基礎設施投資銀行
Alternative Chinese name
Simplified Chinese 亚投行
Traditional Chinese 亞投行
Headquarters building of the AIIB

The Asian Infrastructure Investment Bank (AIIB) is a multilateral development bank that aims to improve economic and social outcomes in Asia.[4] The bank currently has 104 members, including 17 prospective members from around the world.[1] The bank started operation after the agreement entered into force on 25 December 2015, after ratifications were received from 10 member states holding a total number of 50% of the initial subscriptions of the Authorized Capital Stock.[5]

The United Nations has addressed the launch of AIIB as having potential for "scaling up financing for sustainable development"[6] and to improve the global economic governance.[7] The starting capital of the bank was US$100 billion, equivalent to 23 of the capital of the Asian Development Bank and about half that of the World Bank.[8]

The bank was proposed by China in 2013[9] and the initiative was launched at a ceremony in Beijing in October 2014.[10] It received the highest credit ratings from the three biggest rating agencies in the world, and is seen as a potential rival to the World Bank and IMF.[11][12]


The proposal for the creation of an "Asian Infrastructure Investment Bank" was first made by the Vice Chairman of the China Center for International Economic Exchanges, a Chinese thinktank, at the Bo'ao Forum in April 2009. The initial context was to make better use of Chinese foreign currency reserves in the wake of the global financial crisis.[13]

The initiative was officially launched by Chinese President Xi Jinping on a state visit to Indonesia in October 2013.[14] The Chinese government has been frustrated with what it regards as the slow pace of reforms and governance, and wants greater input in global established institutions like the IMF, World Bank and Asian Development Bank which it claims are heavily dominated by American, European and Japanese interests.[15]

In April 2014, Chinese Premier Li Keqiang delivered a keynote speech at the opening of the Boao Forum for Asia and said that China was ready to intensify consultations with relevant parties in and outside Asia on the preparations for the Asian Infrastructure Investment Bank.[16][17]

The Asian Development Bank Institute published a report in 2010 which said that the region requires $8 trillion to be invested from 2010 to 2020 in infrastructure for the region to continue economic development.[15][18] In a 2014 editorial, The Guardian newspaper wrote that the new bank could allow Chinese capital to finance these projects and allow it a greater role to play in the economic development of the region commensurate with its growing economic and political clout.[19] But until March 2015, China in the ADB has only 5.47 percent voting right, while Japan and US have a combined 26 percent voting right (13 percent each) with a share in subscribed capital of 15.7 percent and 15.6 percent, respectively. Dominance by both countries and slow reforms underlie China's wish to establish the AIIB, while both countries worry about China's increasing influence.[20]

In June 2014 China proposed doubling the registered capital of the bank from $50 billion to $100 billion and invited India to participate in the founding of the bank.[21][22] On 24 October 2014, twenty-one countries signed a Memorandum of Understanding (MOU) regarding the AIIB in Beijing, China: Bangladesh, Brunei, Cambodia, India, Kazakhstan, Kuwait, Laos, Malaysia, Myanmar, Mongolia, Nepal, Oman, Pakistan, Philippines, Qatar, Singapore, Sri Lanka, Thailand, Uzbekistan and Vietnam.[23] Indonesia's joining was slightly delayed due to their new presidential administration not being able to review the membership in time. Indonesia signed the MOU on 25 November 2014.[24]

The U.S. allegedly tried to keep Australia and South Korea from becoming prospective founding members, after they expressed an interest in it.[25] However, both Australia and South Korea applied to join the bank in March 2015.[26][27][28][29]

Hong Kong's Financial Secretary John Tsang announced in his budget speech in February 2015 that the territory would join the AIIB.[30] It did however not become one of the prospective founding members and negotiated as part of the Chinese delegation.

In early March 2015, the United Kingdom's Chancellor of the Exchequer, George Osborne, announced that the UK had decided to apply to join the Bank, becoming the third Western country to do so after Luxembourg and New Zealand.[31] The announcement was criticised by the U.S. Obama Administration. A US government official told Financial Times, "We are wary about a trend toward constant accommodation of China, which is not the best way to engage a rising power." The official further stated that the British decision was taken after "no consultation with the US."[32] In response, the UK indicated that the subject had been discussed between Chancellor Osborne and US Treasury Secretary Jack Lew for several months preceding the decision. It was further stated that joining the bank as a founding member would allow the UK to influence the development of the institution. By encouraging Chinese investments in the next generations of nuclear power plants, Osborne announced that "the City of London would become the base for the first clearing house for the yuan outside Asia."[33]

Following the criticism, the White House National Security Council, in a statement to The Guardian, declared,

Our position on the AIIB remains clear and consistent. The United States and many major global economies all agree there is a pressing need to enhance infrastructure investment around the world. We believe any new multilateral institution should incorporate the high standards of the World Bank and the regional development banks. Based on many discussions, we have concerns about whether the AIIB will meet these high standards, particularly related to governance, and environmental and social safeguards […] The international community has a stake in seeing the AIIB complement the existing architecture, and to work effectively alongside the World Bank and Asian Development Bank.[34]

Several other European states – including Germany, France and Italy – followed the UK's decision to join the AIIB in March.[35] German Finance Minister Wolfgang Schäuble stated, "We want to contribute our long-standing experience with international financial institutions to the creation of the new bank by setting high standards and helping the bank to get a high international reputation."[36] In March 2015, the South Korean Ministry of Strategy and Finance announced that it, too, is planning to join the AIIB, citing its potential in helping South Korean companies win deals in infrastructural projects as well expanding South Korea's influence in international banking as a founding member.[37] States could indicate their interest in becoming a Prospective Founding Member until 31 March 2015.

Negotiations took place in the framework of five Chief Negotiators Meetings (CNMs) which took place between November 2014 and May 2015. The Articles of Agreement, the legal framework of the bank, were concluded in the fifth CNM. It was signed on 29 June 2015 by 50 of the named 57 prospective founding members in Beijing, while the other seven signed later.

On 25 December 2015, the Articles of Agreement entered into force. On 16 January 2016, the board of governors of the bank convened its inaugural meeting in Beijing and declared the bank open for business. Jin Liqun was elected as the bank's president for a five-year term. 17 states (Australia, Austria, Brunei, China, Georgia, Germany, Jordan, Luxembourg, Mongolia, Myanmar, the Netherlands, New Zealand, Norway, Pakistan, Singapore, South Korea and the United Kingdom) together holding 50.1% of the initial subscriptions of Authorized Capital Stock, had deposited the instrument of ratification for the agreement, triggering entry into force, and making them all founding members[38] and bringing the Articles of Agreement, the bank's charter, into force. 35 other states followed later, taking the amount of Authorized Capital Stock held by the 29 members of the bank to 74%.

AIIB within PRC policy thinking

The Asian Infrastructure Investment Bank can be construed as a natural inter-national extension of the infrastructure-driven economic development framework that has sustained the rapid economic growth of China since the adoption of the Chinese economic reform under chairman Deng Xiaoping. It stems from the notion that long-term economic growth can only be achieved through systematic, and broad-based investments in infrastructure assets – in contrast with the more short-term "export-driven" and "domestic consumption" development models favored by mainstream Western Neoclassical economists and pursued by many developing countries in the 1990s and the first decade of the 21st century with generally disappointing results.[39][40]

In his 29 March 2015 speech at the Boao Forum for Asia (BFA) annual conference, Chinese leader Xi Jinping said:

[T]he Chinese economy is deeply integrated with the global economy and forms an important driving force of the economy of Asia and even the world at large. […] China's investment opportunities are expanding. Investment opportunities in infrastructure connectivity as well as in new technologies, new products, new business patterns, and new business models are constantly springing up. […] China's foreign cooperation opportunities are expanding. We support the multilateral trading system, devote ourselves to the Doha Round negotiations, advocate the Asia-Pacific free trade zone, promote negotiations on regional comprehensive economic partnership, advocate the construction of the Asian Infrastructure Investment Bank (AIIB), boost economic and financial cooperation in an all-round manner, and work as an active promoter of economic globalization and regional integration[16]

Xi insisted also that the Silk Road Fund and the Asian Infrastructure Investment Bank would foster "economic connectivity and a new-type of industrialization [in the Asia Pacific area], and [thus] promote the common development of all countries as well as the peoples' joint enjoyment of development fruits."[16][41]

Legal basis and membership

Articles of Agreement of the Asian Infrastructure Investment Bank
Asian Infrastructure Investment Bank map.svg
  Prospective members (regional)
  Members (regional)
  Prospective members (non-regional)
  Members (non-regional)
Signed 29 June 2015
Location Beijing, China
Effective 25 December 2015
Condition Ratification by 10 states, comprising 50% of initial subscriptions of capital stock[2]
Signatories 57
Parties 72 (96% of initial subscriptions of capital stock)[42]
Depositary Government of the People’s Republic of China[2]
Languages Chinese, English (used in disputes) and French[2]

The Articles of Agreement form the legal basis for the Bank. 57 Prospective Founding Members (PFM) named in annex A of the agreement are eligible to sign and ratify the Articles, thus becoming a member of the Bank. Other states, which are parties to the International Bank for Reconstruction and Development or the Asian Development Bank may become members after approval of their accession by the bank.[5]

The Articles were negotiated by the Prospective Founding Members, with Hong Kong joining the negotiations via China.[43][44]


The 57 Prospective Founding Members can become Founding Members through:

  • Signing the Articles of Agreement in 2015
  • Ratifying the Articles of Agreement in 2015 or 2016

All Prospective Founding Members have signed the Articles, 52 of which have ratified them, comprising 92% of the shares of all PFM. The formal actions towards becoming a Founding Member are shown below, as well as the percentage of the votes and of the shares, in the event all prospective founding states become parties, and no other members are accepted.

In March 2017, 13 other states were granted prospective membership: 5 regional (Afghanistan, Armenia, Fiji, Timor Leste and Hong Kong, China) and 8 non-regional: Belgium, Canada, Ethiopia, Hungary, Ireland, Peru, Sudan and Venezuela. In May 2017, 7 states were granted prospective membership: 3 regional (Bahrain, Cyprus, Samoa) and 4 non-regional (Bolivia, Chile, Greece, Romania). In June 2017, 3 other states were granted prospective membership: 1 regional (Tonga) and 2 non-regional (Argentina, Madagascar).[45] In 2018, 7 other states were granted prospective membership: 1 regional (Lebanon) and 6 non-regional (Algeria, Ghana, Libya, Morocco, Serbia, Togo).[46][47] In 2019, 7 other states were granted prospective membership: 7 non-regional (Djibouti, Rwanda, Benin, Côte d'Ivoire, Guinea, Tunisia, Uruguay).[48] They become members after finishing their domestic procedures. As of 20 July 2021, the total number of countries approved for membership of AIIB is 104 (Regional Members: 46, Non-Regional Members: 41, Prospective Members: 17).[49] Countries holding at least 2.0% of either the total subscriptions or voting powers are in bold.


Country / Region Prospective Founding
Member status
Ratification or Acceptance
Total Subscriptions
(Amount of Shares in
millions USD)
Voting Power
(Number of Votes)
 Afghanistan 13 October 2017 86.6 2,077
 Algeria 27 December 2019 5.0 1,607
 Argentina 30 March 2021 5.0 1,607
 Australia 3 April 2015[50] 29 June 2015 10 November 2015 3,691.2 39,069
 Austria 11 April 2015[51] 29 June 2015 3 December 2015 500.8 7,165
 Azerbaijan 15 April 2015[52] 29 June 2015 24 June 2016 254.1 4,698
 Bahrain 24 August 2018 103.6 2,593
 Bangladesh[a] 24 October 2014 29 June 2015 22 March 2016 660.5 8,762
 Belarus 17 January 2019 64.1 2,198
 Belgium 10 July 2019 284.6 4,403
 Benin 27 May 2020 5.0 1,607
 Brazil[53] 12 April 2015 29 June 2015 2 November 2020[54] 5.0 2,207
 Brunei[a] 24 October 2014 29 June 2015 12 October 2015 52.4 2,681
 Cambodia[a] 24 October 2014 29 June 2015 17 May 2016 62.3 2,780
 Canada 19 March 2018 995.4 11,511
 Chile 2 July 2021 10.0 1,657
 China[a] 24 October 2014 29 June 2015 26 November 2015 29,780.4 299,961
 Cook Islands 1 June 2020 0.5 1,562
 Côte d’Ivoire 26 February 2020 5.0 1,607
 Cyprus 27 June 2018 20.0 1,757
 Denmark 12 April 2015 27 October 2015 14 January 2016 369.5 5,852
 Ecuador 1 November 2019 5.0 1,607
 Egypt 14 April 2015[55] 29 June 2015 12 August 2016 650.5 8,662
 Ethiopia 13 May 2017 45.8 1,923
 Fiji 11 December 2017 12.5 1,682
 Finland 12 April 2015 29 June 2015 7 January 2016 310.3 5,260
 France 2 April 2015[56] 29 June 2015 16 June 2016 3,375.6 35,913
 Georgia 12 April 2015 29 June 2015 14 December 2015 53.9 2,696
 Germany 1 April 2015[57] 29 June 2015 21 December 2015 4,484.2 46,999
 Ghana 21 February 2020 5.0 1,597
 Greece 20 August 2019 10.0 1,657
 Guinea 12 July 2019 5.0 1,597
 Hong Kong 7 June 2017 765.1 9,208
 Hungary 16 June 2017 100.0 2,557
 Iceland 15 April 2015[52] 29 June 2015 4 March 2016 17.6 2,333
 India[a] 24 October 2014 29 June 2015 11 January 2016 8,367.3 85,830
 Indonesia[a] 25 November 2014[24] 29 June 2015 14 January 2016 3,360.7 35,764
 Iran 7 April 2015[58] 29 June 2015 6 January 2017 1,580.8 11,642
 Ireland 23 October 2017 131.3 2,870
 Israel 15 April 2015[52] 29 June 2015 15 January 2016 749.9 9,656
 Italy 2 April 2015[56] 29 June 2015 13 July 2016 2,571.8 27,875
 Jordan 7 February 2015 29 June 2015 25 December 2015 119.2 3,349
 Kazakhstan[a] 24 October 2014 29 June 2015 18 April 2016 729.3 9,450
 South Korea 11 April 2015[51] 29 June 2015 11 December 2015 3,738.7 39,544
 Kyrgyzstan 9 April 2015[59] 29 June 2015 11 April 2016 26.8 2,371
 Laos[a] 24 October 2014 29 June 2015 15 January 2016 43.0 2,587
 Liberia 4 January 2021 5.0 1,607
 Luxembourg 27 March 2015[60] 29 June 2015 9 December 2015 69.7 2,854
 Madagascar 27 June 2018 5.0 1,607
 Malaysia 24 October 2014 21 August 2015[61] 27 March 2017 109.5 3,252
 Maldives 31 December 2014[62] 29 June 2015 4 January 2016 7.2 2,229
 Malta 9 April 2015[59] 29 June 2015 7 January 2016 13.6 2,293
 Mongolia[a] 24 October 2014 29 June 2015 27 November 2015 41.1 2,568
 Myanmar[a] 24 October 2014 29 June 2015 1 July 2015 264.5 4,802
   Nepal[a] 24 October 2014 29 June 2015 13 January 2016 80.9 2,966
 Netherlands 12 April 2015 29 June 2015 16 December 2015 1,031.3 12,470
 New Zealand 5 January 2015[63] 29 June 2015 9 December 2015[64] 461.5 6,772
 Norway 14 April 2015[55] 29 June 2015 22 December 2015 550.6 7,663
 Oman[a] 24 October 2014 29 June 2015 21 June 2016 259.2 4,749
 Pakistan[a] 24 October 2014 29 June 2015 22 December 2015 1,034.1 12,498
 Philippines 24 October 2014 31 December 2015 6 December 2016 979.1 11,948
 Poland 15 April 2015[52] 9 October 2015 20 April 2016[65] 831.8 10,475
 Portugal 15 April 2015[52] 29 June 2015 8 February 2017 65.0 2,807
 Qatar[a] 24 October 2014 29 June 2015 24 June 2016 604.4 8,201
 Romania 28 December 2018 153.0 3,087
 Russia 14 April 2015 29 June 2015 28 December 2015 6,536.2 67,519
 Rwanda 16 April 2020 5.0 1,607
 Samoa[a] 6 March 2018 2.1 1,578
 Saudi Arabia 13 January 2015[66] 29 June 2015 19 February 2016 2,544.6 27,603
 Serbia 15 August 2018 5.0 1,607
 Singapore[a] 24 October 2014[67] 29 June 2015 10 September 2015 250.0 4,657
 Spain 11 April 2015[51] 29 June 2015 19 December 2017 1,761.5 19,772
 Sri Lanka[a] 24 October 2014 29 June 2015 22 June 2016 269.0 4,847
 Sudan 13 September 2018 59.0 1,797
 Sweden 15 April 2015[52] 29 June 2015 23 June 2016 630.0 8,457
  Switzerland 28 March 2015[68] 29 June 2015 25 April 2016 706.4 9,221
 Tajikistan 13 January 2015[66] 29 June 2015 16 January 2016 30.9 2,466
 Thailand 24 October 2014[67] 1 October 2015 20 June 2016 1,427.5 16,432
 Timor-Leste 22 November 2017 16.0 1,717
 Tonga[a] 5 January 2021 1.2 1,569
 Turkey 10 April 2015[69] 29 June 2015 15 January 2016 2,609.9 28,256
 United Arab Emirates 5 April 2015[70] 29 June 2015 15 January 2016 1,185.7 14,014
 United Kingdom 28 March 2015[68] 29 June 2015 3 December 2015 3,054.7 32,704
 Uruguay 28 April 2020 5.0 1,607
 Uzbekistan[a] 24 October 2014 29 June 2015 30 November 2016 219.8 4,355
 Vanuatu[a] 6 March 2018 0.5 1,562
 Vietnam[a] 24 October 2014 29 June 2015 11 April 2016 663.3 8,790
Unallocated Shares 3,229.9
Grand Total 87
46 Regional
41 non-Regional
100,000.0 1,128,975

Prospective Members

Country / Region Prospective Founding
Member status
Ratification or Acceptance
Total Subscriptions
(Amount of Shares in
millions USD)
Voting Power
(Number of Votes)
 Bolivia 26.1 1,911
 Kuwait 24 October 2014 4 December 2015 536.0
 Papua New Guinea
 Peru 154.6 3,196
 South Africa 15 April 2015[52] 3 December 2015 590.5
 Venezuela 209.0 3,740

The Articles of Agreement provide for non-sovereign entities to become members of the bank. In addition to the requirements for sovereign states, the membership of dependent territories must be supported by the state responsible for its external relations.


The Czech Republic,[71] Nigeria, Iraq,[72] Colombia,[73] Ukraine are considering joining the AIIB as members. Mexico, Japan and the United States have no immediate intention to participate. Taiwan's request to become a Prospective Founding Member was rejected by China as it does not consider the former to be a sovereign state.[74]


  • Taiwan applied for PFM to join the AIIB via Taiwan Affairs Office on 31 March, possibly under the name "Chinese Taipei",[75][76] but was rejected by the Multilateral Interim Secretariat of the AIIB on 13 April, without any reason stated. However, mainland China claims that there is the possibility for Taiwan to obtain membership at a later date.[74] Foreign Ministry spokeswoman Hua Chunying said that Taiwan should avoid creating a "two Chinas" or "one China, one Taiwan" situation.[77] ROC Finance Minister Chang Sheng-ford announced in April 2016 that Taiwan was not being treated with "dignity" or "respect" during the registration process and Taiwan eventually chose to leave the decision to join to the new president.[78]

United States United States – No commitment

  • The United States' officials have expressed concerns about whether the AIIB would have high standards of governance, and whether it would have environmental and social safeguards.[79] The United States is reported to have used diplomatic pressure to try and prevent key allies, such as Australia, from joining the bank,[80] and expressed disappointment when others, such as Britain, joined.[67][79] The US' opposition to the AIIB, as well as its attempt to dissuade allies from joining was seen as a manifestation of a multifaceted containment strategy.

Japan Japan – "Under Consideration" / No commitment

  • Masato Kitera, Tokyo's envoy in Beijing, stated previously that Japan might join the AIIB.[81] Japanese Finance Minister Tarō Asō previously indicated interest in joining the AIIB, but later switched his stance. Yoshihide Suga, Japan's Cabinet Secretary, told the public that Japan was still seeking China's full explanation of the AIIB as he stated, "As of today, Japan will not join AIIB and a clear explanation has not been received from China" and "Japan is dubious about whether (the AIIB) would be properly governed or whether it would damage other creditors". He also stated that Japan is no longer considering whether or not to join the bank. The Japanese Government Spokesman also announced that Japan would not join the AIIB. Japanese prime minister Shinzō Abe also added that Japan does not need to join the bank.[82] But two years later, in May 2017, Shinzō Abe said join the AIIB, created in part to fund the initiative, could be an option if governance questions were resolved.[83] Toshihiro Nikai, secretary-general of the ruling party Liberal Democratic Party, suggested join the AIIB.[84]

Shareholding structure

The Authorized Capital Stock of the bank is $100 billion (US dollars), divided into 1 million shares of $100,000 each. Twenty percent are paid-in shares (and thus have to be transferred to the bank), and 80% are callable shares.[2] The allocated shares are based on the size of each member country's economy (calculated using GDP Nominal (60%) and GDP PPP (40%)) and whether they are an Asian or Non-Asian Member. The total number of shares will determine the fraction of authorized capital in the bank.[5][85][86][87] Of the prospective founding members, three states decided not to subscribe to all allocated shares: Malaysia, Portugal, and Singapore,[88] resulting in 98% of available shares being subscribed.[2]

Three categories of votes exist: basic votes, share votes and Founding Member votes. The basic votes are equal for all members and constitute 12% of the total votes, while the share votes are equal to the number of shares. Each Founding Member furthermore gets 600 votes. An overview of the shares, assuming when all 57 Prospective Founding Members have become Founding Members is shown below (values in bold do not depend on the number of members):[89]

Vote Type % of Total Votes Total Votes Vote per Member China
(Largest PFM)
(Smallest PFM)
Basic votes 12 138,510 2,430 2,430 2,430
Share votes 85 981,514 Varies 297,804 72
Founding Member votes 3 34,200 600 600 600
Total 100 1,154,224 varies 300,834 (26.1%) 3,102 (0.3%)


Name plaque of AIIB at its global headquarters in Beijing

The bank's governance structure is composed of the Board of Governors[90] as the top-level and highest decision-making body.[91] It is composed of 1 governor for each member state of the bank and in principle meets once a year.[91] The board of directors, composed of 12 governors, each representing one or more member is responsible for daily operations and tasks delegated to it by the board of governors. Nine of those members are from within the Asia-Pacific region and three representing members outside the region.[91]

Of the non-regional directors, 1 constituency is made up of EU member states having the Euro as their currency, and 1 from other European countries.[92]

New members are considered for admission only once a year. An overview of the constituencies is shown below:[93]

Country of Director Countries of Alternates Other Constituencies
 Saudi Arabia  United Arab Emirates
 Pakistan  Turkey
 Bangladesh  Thailand
 Russia  Kazakhstan
 China  Hong Kong
 Egypt  Canada
 Côte d'Ivoire
 Vietnam  Australia  Cook Islands
 New Zealand
 Poland  United Kingdom
 Spain  Germany
 India  Afghanistan
 Indonesia  Sri Lanka
 South Korea  Mongolia
Senior Management of AIIB
Country Name Position in AIIB
China China Jin Liqun President
United Kingdom United Kingdom Danny Alexander Vice President and Corporate Secretary
Russia Russia Konstantin Limitovskiy Vice President, Investment Operations (Region 2)
India India D. J. Pandian Vice President, Investment Operations (Region 1)
Germany Germany Joachim von Amsberg Vice President - Policy and Strategy
Indonesia Indonesia Luky Eko Wuryanto Vice President and Chief Administration Officer
Brazil Brazil Alberto Ninio General Counsel
Germany Germany Martin Kimmig Chief Risk Officer
New Zealand New Zealand Andrew Cross Chief Financial Officer


The former President of the World Bank, Jim Yong Kim, has said that the need for infrastructure in developing countries is great so that the activities of new organizations would be welcome.[94]

Geopolitical implication in Asia-Pacific and beyond

There is no consensus in the United States about the role of the AIIB. G. John Ikenberry (Princeton University) sees the AIIB as part of "China's emerging institutional statecraft,"[95] but argues that it is not clear whether the institution will tie China more deeply into the existing order or become a vehicle to challenge the order. Phillip Lipscy (Stanford University) argues that the United States and Japan should support the AIIB to encourage China's peaceful global leadership and discourage China from pursuing coercive or military options.[96] On the other hand, Paola Subacchi (Chatham House) argues that the AIIB represents a threat to US-dominated global governance.[97]

Think-tanks such as Chatham House, the China Studies Centre at the University of Sydney and the World Pensions Council (WPC) have argued that the successful establishment of a new supranational financial powerhouse headquartered in PRC would be facilitated by the large number of participating developed economies.[98][99] These experts observe that the establishment of the Beijing-based AIIB does not necessitate rivalry, when economic cooperation is possible,[98] and that the decision by the UK to participate advances its own interests even if some of its allies are opposed.[99]

Environmental record

As the bank is still in its early years, it has no environmental record. Several organisations[which?] have however expressed their concerns over environmental policy of the proposed bank because of the high stake of China in the bank's business. Although the proposed bank declared "AIIB will learn from the best practice in the world and adopt international standards of environmental protection," Oxford scholar of economics and energy policy Yuge Ma has argued that this may be complicated in developing Asian countries.[100]

Comparison with ADB and IBRD

($ million)
AIIB ADB[101] IBRD[102]
Established 2016 1966 1944
Date as of 31 December 2016[103] 31 December 2017[104] 31 December 2017 30 June 2018
Member.[49] Total 57 84 67 189
(Regional, Non-regional, Prospective) 34, 16, 7 40, 20, 24 48, 19, 0
Credit rating Unrated AAA AAA AAA
Capital Subscribed 90,327 95,001 151,169 274,730
Paid-in 18,065 19,000 7,563 16,456
Total assets 17,795 18,973 182,381 403,056
Lending 1,730 4,220 101,126 183,588

Lending results


During 2016, AIIB committed a total of $1.73 billion to nine projects, among which six projects are joint initiatives with other international lenders such as the World Bank and the Asian Development Bank. It had achieved its loan target of $1.2 billion for the first year.[105][106]

2016 AIIB lending[105][106]
Approval date Country Purpose Amount M$ Co-lenders
24 June 2016 Tajikistan Road improvement 27.5 European Bank for Reconstruction and Development
24 June 2016 Bangladesh Power distribution lines 165.0 none
24 June 2016 Pakistan Motorway construction 100.0 Asian Development Bank and United Kingdom's Department for International Development
24 June 2016 Indonesia Redevelopment of poor districts 216.5 World Bank
27 September 2016 Pakistan Hydropower plant 300.0 World Bank
27 September 2016 Myanmar Combined Cycle Gas Turbine power plant 20.0 International Finance Corporation, the Asian Development Bank and certain commercial lenders
8 December 2016 Oman Railways 36.0 none
8 December 2016 Oman Port facilities 265.0 none
21 December 2016 Azerbaijan Gas pipeline 600.0 A number of other multilateral development banks including the World Bank and other commercial entities
Total 1,730.0


2017 AIIB lending[105][106]
Approval date Country Purpose Amount M$ Co-lenders
22 March 2017 Indonesia Regional Infrastructure Development Fund Project 100.0 World Bank
22 March 2017 Indonesia Dam Operational Improvement and Safety Project Phase II 125.0 World Bank
22 March 2017 Bangladesh Natural Gas Infrastructure and Efficiency Improvement Project 60.0 Asian Development Bank
2 May 2017 India Andhra Pradesh 24x7 – Power For All 160.0 World bank and Government of Andhra Pradesh
5 June 2017 Georgia Batumi Bypass Road Project 114.2 Asian Development Bank
15 June 2017 India India Infrastructure Fund 150.0 Other investors
15 June 2017 Tajikistan Nurek Hydropower Rehabilitation Project, Phase I 60.0 World Bank and Eurasian Development Bank
4 July 2017 India Gujarat Rural Roads Project 329.0 Government of Gujarat
4 September 2017 Egypt Egypt Round II Solar PV Feed-in Tariffs Program 17.5 International Finance Corporation and other lenders
27 September 2017 India Transmission System Strengthening Project 100.0 Asian Development Bank and Power Grid Corporation of India
27 September 2017 Philippines Metro Manila Flood Management Project 207.60 World Bank
8 December 2017 India Bangalore Metro Rail Project – Line R6 335.0 European Investment Bank and other lenders
8 December 2017 Oman Broadband Infrastructure Project 239.0 none
8 December 2017 China Beijing Air Quality Improvement and Coal Replacement Project 250.0 Beijing Municipality, China CDM Fund and Beijing Gas


2018 AIIB lending[105][106]
Approval date Country Purpose Amount M$ Co-lenders
9 February 2018 Bangladesh Bhola IPP 60.0 none
11 April 2018 India Madhya Pradesh Rural Connectivity Project 140.0 World Bank
24 June 2018 India National Investment and Infrastructure Fund 100.0 Government of India
24 June 2018 Turkey Tuz Golu Gas Storage Expansion Project 600.0 World Bank, Islamic Development Bank, BOTAS and commercial loans
24 June 2018 Indonesia Strategic Irrigation Modernization and Urgent Rehabilitation Project 250.0 World Bank
28 September 2018 India Andhra Pradesh Rural Roads Project 455.0 Government of Andra Pradesh
28 September 2018 Egypt Sustainable Rural Sanitation Services Program 300.0 World Bank
28 September 2018 Turkey TSKB Sustainable Energy and Infrastructure On-lending Facility 200.0 none
7 December 2018 Indonesia Mandalika Urban and Tourism Infrastructure Project 248.39 Government of Indonesia
7 December 2018 India Andhra Pradesh Urban Water Supply and Septage Management Improvement Project 400.0 Government of Andhra Pradesh


2019 AIIB lending[105][106]
Approval date Country Purpose Amount M$ Co-lenders
26 March 2019 Bangladesh Power System Upgrade and Expansion Project 120.0 Government of Bangladesh and Power Grid Corporation of Bangladesh
26 March 2019 Laos National Road 13 Improvement and Maintenance Project 40.0 Government of Laos, NDF and IDA
4 April 2019 Sri Lanka Reduction of Landslide Vulnerability by Mitigation Measures Project 80.0 Government of Sri Lanka
4 April 2019 Sri Lanka Colombo Urban Regeneration Project 200.0 Government of Sri Lanka and private partner
21 May 2019 Nepal Upper Trisuli I Hydropower Project 90.0 ADB, IFC, Korean Consortium
11 July 2019 Turkey Efeler 97.6 MW Geothermal project 100.0 EBRD
11 July 2019 Bangladesh Municipal Water Supply and Sanitation Project 100.0 World Bank, IDA, Government of Bangladesh
11 July 2019 Cambodia Fiber Optic Communication Network Project 75.0 None
11 July 2019 India L&T Green Infrastructure On-Lending Facility 100.0 None
26 September 2019 Pakistan Karachi Water and Sewerage Services Improvement 40.0 World Bank
26 September 2019 India Tata Cleantech Sustainable Infrastructure On-Lending Facility 75.0 TCCL
11 November 2019 Pakistan Karachi Bus Rapid Transit 71.81 ADB
12 November 2019 Turkey TKYB Renewable Energy and Energy Efficiency On-Lending Facility 200.0 None
6 December 2019 India Rajasthan 250 MW Solar Project–Hero Future Energies 65.0 International Finance Corporation
6 December 2019 India Rajasthan 250 MW Solar Project–Hero Future Energies 65.0 International Finance Corporation
12 December 2019 China Beijing-Tianjin-Hebei Low Carbon Energy Transition and Air Quality Improvement Project 500.0 None
12 December 2019 India West Bengal Major Irrigation and Flood Management Project 145.0 World Bank
12 December 2019 Egypt National Bank of Egypt On-Lending Facility for Infrastructure 150.0 None
12 December 2019 Kazakhstan Zhanatas 100 MW Wind Power Plant 46.7 Sponsors and other financial institutions
12 December 2019 Russian Federation Transport Sector Investment Loan 500.0 None
12 December 2019 Uzbekistan Rural Infrastructure Development Project 82.0 World Bank
12 December 2019 Turkey Istanbul Seismic Risk Mitigation and Emergency Preparedness Project 300.0 World Bank
12 December 2019 Nepal Power Distribution System Upgrade and Expansion Project 112.3 Nepal Electricity Authority


2020 AIIB lending[105][106]
Approval date Country Purpose Amount M$ Co-lenders
17 January 2020 Bangladesh Dhaka and West Zone Transmission Grid Expansion Project 200.0 ADB
11 February 2020 Oman Ibri II 500MW Solar PV Independent Power Plant Project 60.0 ADB
3 April 2020 Bangladesh Sylhet to Tamabil Road Upgrade Project 404.0 None
3 April 2020 Uzbekistan Bukhara Region Water Supply and Sewerage (BRWSSP) 385.1 None
16 April 2020 Bangladesh Dhaka Sanitation Improvement 170.0 World Bank
7 May 2020 India COVID-19 Emergency Response and Health Systems Preparedness Project 500.0 World Bank
7 May 2020 Indonesia COVID-19 Active Response and Expenditure Support Program 750.0 ADB
7 May 2020 Bangladesh COVID-19 Active Response and Expenditure Support Program 250.0 ADB
7 May 2020 Georgia Emergency COVID-19 Response Project 100.0 World Bank
28 May 2020 Philippines COVID-19 Active Response and Expenditure Support (CARES) Program 750.0 ADB
16 June 2020 Mongolia COVID-19 Rapid Response Program 100.0 ADB
16 June 2020 India COVID-19 Active Response and Expenditure Support (CARES) 750.0 ADB
16 June 2020 Pakistan COVID-19 Active Response and Expenditure Support (CARES) Program 500.0 ADB
22 June 2020 Uzbekistan Bukhara Road Network Improvement Project (Phase 1) 165.5 None
22 June 2020 Indonesia Emergency Response to COVID-19 Program 250.0 World Bank
30 June 2020 Maldives COVID-19 Emergency Response and Health Systems Preparedness Project 7.30 World Bank
30 June 2020 Kazakhstan COVID-19 Active Response and Expenditure Support (CARES) Program 750.0 ADB
30 June 2020 Turkey COVID-19 Credit Line Project 500.0 None
16 July 2020 Pakistan Resilient Institutions for Sustainable Economy (RISE) Program 250.0 World Bank
16 July 2020 Turkey Izmir Metro Expansion Phase 4: Fahrettin Altay – Narlidere Line Project 56.0 EBRD, BSTDB
16 July 2020 Georgia COVID-19 Crisis Mitigation 50.0 World Bank
16 July 2020 Vietnam COVID-19 Response Facility 100.0 IFC
13 August 2020 Fiji Sustained Private Sector-Led Growth Reform Program 50.0 ADB
13 August 2020 Kyrgyz Republic Kyrgyz Emergency Support for Private and Financial Sector Project 50.0 World Bank
13 August 2020 Uzbekistan Healthcare Emergency Response Project 100.0 ADB
27 August 2020 Turkey COVID-19 Medical Emergency Response (MER) Project 82.6 EBRD
27 August 2020 Bangladesh COVID-19 Emergency Response and Pandemic Preparedness Project 100.0 World Bank
10 September 2020 Maldives Greater Malé Waste-to-Energy Project 40.0 ADB
24 September 2020 India HDFC Line of Credit for Affordable Housing 200.0 None
24 September 2020 Indonesia Multifunctional Satellite PPP Project 150.0 None
15 October 2020 Laos Climate Resilience Improvement of National Road 13 South Project (Section 3) 30.0 None
15 October 2020 China Legend Capital Healthcare Technology Fund 30.0 None
15 October 2020 Russian Federation Russian Railways COVID-19 Emergency Response Project 300.0 None
16 October 2020 Bangladesh Rural Water, Sanitation and Hygiene for Human Capital Development Project 200.0 World Bank
29 October 2020 India Delhi-Meerut Regional Rapid Transit System (RRTS) 500.0 ADB
25 November 2020 Uzbekistan National Bank for Foreign Economic Activity of the Republic of Uzbekistan COVID-19 Credit Line Project 200.0 None
25 November 2020 Turkey Akbank COVID-19 Crisis Recovery Facility 100.0 None
25 November 2020 Ecuador Corporación Financiera Nacional COVID-19 Credit Line Project 50.0 WB

See also