7th Annual Meeting of the Board of Governors of AIIB

7th Annual Meeting of the Board of Governors of AIIB


  • Union Minister of Finance & Corporate Affairs attended the 7th Annual Meeting of the Board of Governors of Asian Infrastructure Investment Bank (AIIB).

Key Details 7th Annual Meeting of the Board of Governors of AIIB

  • Every year at the Annual Meeting, the Board of Governors meets to take key decisions on important matters relating to AIIB, and its future vision. 7th Annual Meeting of the Board of Governors of AIIB
  • India is a Founding Member and the second largest shareholder in AIIB.
  • India also has the largest project portfolio within AIIB.
  • The theme of this year’s Annual Meeting was “Sustainable Infrastructure Toward a Connected World”.
  • The Finance Minister also highlighted that Prime Minister is actively leading India’s climate change response efforts through various programs such as ‘Lifestyle for Environment’ (or LiFE), among many others.
  • The Finance Minister suggested that in order to ensure meaningful impact is achieved and resources are not scattered in multiple areas, AIIB needs to scale-up investments in key priority areas including clean energy and energy efficiency, disaster resilient infrastructure, social infrastructure with a special focus on education and health, and digital infrastructure.

Back to Basics

About AIIB

  • A multilateral development bank that aims to improve economic and social outcomes in Asia.
  • The bank currently has 105 members, including 14 prospective members from around the world.
  • The breakdown of the 105 members by continents are as follows: 42 in Asia, 26 in Europe, 20 in Africa, 8 in Oceania, 8 in South America, and 1 in North America.
  • The bank started operation after the agreement entered into force on 25 December 2015, after ratifications were received from 10 member states holding a total number of 50% of the initial subscriptions of the Authorized Capital Stock.
  • The United Nations has addressed the launch of AIIB as having potential for “scaling up financing for sustainable development” and to improve the global economic governance.
  • The starting capital of the bank was US$100 billion, equivalent to 23 of the capital of the Asian Development Bank and about half that of the World Bank.
  • The bank was proposed by China in 2013 and the initiative was launched at a ceremony in Beijing in October 2014.
  • It received the highest credit ratings from the three biggest rating agencies in the world, and is seen as a potential rival to the World Bank and IMF.

Governance of AIIB

  • The bank’s governance structure is composed of the Board of Governors as the top-level and highest decision-making body.
  • It is composed of 1 governor for each member state of the bank and in principle meets once a year.
  • The board of directors, composed of 12 governors, each representing one or more member is responsible for daily operations and tasks delegated to it by the board of governors.
    • Nine of those members are from within the Asia-Pacific region and three representing members outside the region.
    • Of the non-regional directors, 1 constituency is made up of EU member states having the Euro as their currency, and 1 from other European countries.
  • New members are considered for admission only once a year.

Source: PIB

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