On Fishing, Learning to Fish and Aquaculture: The Asian Infrastructure Investment Bank (AIIB) as a Multilateral Development Financial Institution

Abstract

The Asian Infrastructure Investment Bank (AIIB) was established on 24 October 2014 on the basis of a Memorandum of Understanding of Establishing AIIB signed by 22 prospective founding members, including China as the largest contributing member. According to its articles of agreement, the AIIB aims to foster regional development through a combination of investment on infrastructure and other productive sectors, with the promotion of regional cooperation and partnership. As far as multilateral development financial institutions go, the AIIB’s take on the promotion of development is somewhat distinct and therefore noteworthy, targeting poverty alleviation indirectly through financing of key-economic areas, most notably infrastructure. More broadly, the AIIB is a pivotal element of the Belt and Road Initiative (BRI), coomonly referred to as the (new) Silk Road, and its particular features should be seen at this light. The purpose of this contribution is to provide a brief comparison with existing multilateral development financial institutions affiliated to the World Bank Group with the novel AIIB taking into the account the latter’s function in the implementation of the BRI.