Two years after its conception, the Asian Infrastructure Investment Bank (AIIB) has officially been launched. Malta joins Asian Infrastructure Investment Bank, whereby Minister Edward Scicluna, on MOnday morning attended the inaugration of the Asian Infrastructure Investment Bank – AIIB.
$100 billion is being put up by the 57 founding-members, 50 of which have initialled the articles of agreement at a gathering in Beijing. The rest of the members are likely to sign by the end of this year, as per sources of the Editorial, A new multilateral institution, The Hindu. [1]
Chinese President Xi Jinping back in 2013 set out a plan for an institution that would be swifter that its ‘bureaucracy-bound rivals’. The main focus of the AIIB will be to work in collaboration with the Asian Development Bank (ADB), the World Bank and a range of other banks to satisfy an estimated US$8tn infrastructure shortfall in Asia over the next 10 years.[2] During the Signing Ceremony on the 29th June 2015, President Xi Jinping stated the following
"The very fact that representatives from the 57 prospective founding members are gathering in this room today is testimony to this spirit of solidarity, cooperation, openness and inclusiveness."
Malta joins Asian Infrastructure Investment Bank
Malta was amongst the 57 governments that formally set up the AIIB and was represented at the ceremony held in the Grand Hall of the People in Beijing, by Finance Minister Edward Scicluna.[3] An advantage of Malta as a founding memeber of the Asian Infrastructure Investment Bank (AIIB), is that founding members, such as Malta, have more influence than future members, as they have the right to set the rules of the bank.[4]
The IMF and the World Bank have greeted the founding of this new institution and see AIIB as an essential partner in developing the world’s infrastructure.[5] The bank will be led by a president with a five-year term that can be extended once. Its working language will be English.[6]
[1] Editorial, A new multilateral institution, The Hindu, <www.thehindu.com> accessed on 02nd July 2015
[2] Australian Associated Press, Asian Infrastructure Investment Bank will provide ‘massive opportunities’, 24th June 2015, <www.theguardian.com> accessed on 2nd July 2015
[3] Times of Malta, Malta among founding members of the Asian Infrastructure Investment Bank, 29th June 2015 <www.timesofmalta.com> accessed on 02nd July 2015
[4] Cary Huang, 57 Nations approved as founder members of China-led AIIB, South China Morning Post, 15th April 2015, <www.scmp.com> accessed on 2nd July 2015
[5] Gabriel Wildau & Charles Clover, AIIB launch signals China’s new ambition, Financial Times, <www.ft.com> accessed 02nd July 2015
[6] Ibid No. 4
