India joins Asian Infrastructure Investment Bank

Highlights:  

  • India and 49 other founding countries, have signed an agreement which provides a legal framework for the China-led '100 Billion' US Dollar, Asian Infrastructure Investment Bank (AIIB).
  • The 60-article agreement specified each member's share as well as governance structure and policy-making mechanism of the bank, which is designed to finance infrastructure in Asia.
  • The delegates from over 50 founding countries gathered at the Great Hall of the People in Beijing for the signing ceremony yesterday. 
  • Seven more countries are due to sign by the end of the year.

What is  AIIB ?

  • The Asian Infrastructure Investment Bank (AIIB) is an international financial institution proposed by the government of China. 
  • The purpose of the multilateral development bank is to provide finance to infrastructure projects in the Asia region.
  • AIIB is regarded by some as a rival for the IMF and the World Bank.
  • As of April 15, 2015, almost all Asian countries and most major countries outside Asia had joined the AIIB, except the US, Japan (which dominated the ADB) and Canada.
  • Its headquarters located in Beijing, China
  • Presently, total members are 57.
  • Secretary General- Jin Liqu