Mendez, Alvaro 
ORCID: 0000-0002-0919-5081
(2020)
New Development Assistance: the case of the Asian Infrastructure Investment Bank (AIIB).
The Case Centre.
Abstract
This case is about the Asian Infrastructure Bank (AIIB) which is a prime example of New Development Assistance (NDA). The AIIB is one of the newest and most innovative Multilateral Development Banks (MDBs) in operation today. Unlike the Washington based World Bank or other regional banks such as the Asian Development Bank (ADB), who is also part of the Bretton Woods Committee, the AIIB is based in Beijing in the Peoples Republic of China (PRC). At just five years old, the AIIB already has 102 members (76 full members and 26 prospective ones). Neither Japan nor the US are members as they believe the AIIB threatens the international architecture of global finance. The AIIBs total initial capitalization was USD100 billion, divided into one million shares of USD100,000 par value, of which 20% must be paid-in and 80% is callable. Since its inception, the AIIB has disbursed USD12.04 billion in loans to the sixty-three projects it has approved, including three in Africa (in Egypt), which demonstrates its ability and intention to finance development beyond Asia. The five largest members are: (1) China, with 30.79% of the shares and 26.52% of the total votes; (2) India, with 8.65% of the shares and 7.6% of the votes; (3) Russia, with 6.75% of the shares and 5.98% of the votes; (4) Germany, with 4.63% of the shares and 4.17% of the votes; and (5) South Korea, with 3.86% of the shares and 3.51% of the votes. The AIIB has demonstrated thus far that is a fair player and that it upholds the global governance rules of the game.
| Item Type: | Article |
|---|---|
| Official URL: | https://www.thecasecentre.org/main/products/view?i... |
| Additional Information: | © 2020 |
| Divisions: | International Relations |
| Subjects: | J Political Science > JZ International relations |
| Date Deposited: | 05 May 2020 07:48 |
| Last Modified: | 14 Sep 2024 02:03 |
| URI: | http://eprints.lse.ac.uk/id/eprint/104229 |
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