1. The Asian Infrastructure Investment Bank (AIIB) is a multilateral development bank that aims to improve economic and social outcomes in Asia.
2. It is headquartered in Beijing and began its operations in January 2016.
3. China is the largest contributor to the Bank, contributing USD 50 billion, half of the initial subscribed capital.
4. India is the second-largest shareholder, contributing USD 8.4 billion.
5. Voting Rights: China is the largest shareholder with 26.61 % voting shares in the bank followed by India (7.6%), Russia (6.01%) and Germany (4.2 %).
6. The bulk of AIIB’s operations are in South Asia. The Bank can lend outside Asia provided that it supports connectivity with Asia or it is for a global public good and that the loan significantly benefits Asia. However, the ceiling for non-regional loans is 25%.
| India and AIIB The AIIB has approved lending USD 200 million to National Investment and Infrastructure Fund (NIIF). India is the largest beneficiary of AIIB financing for infrastructure projects. The AIIB has approved five projects in India. Example Bangalore Metro Rail Project, Gujarat Rural Roads (MMGSY) Project, Andhra Pradesh 24×7 – Power For All project etc. |