The Asian Infrastructure Investment Bank (AIIB), set up with the sole Chinese intention of rivaling the World Bank and the Asian Development Bank, has held its official signing ceremony. Opposed strongly by the U.S. and Japan, the AIIB held the official ceremony that witnessed the signing of articles regarding members’ shares and the bank’s initial capital. 50 delegates, representing a diverse range of countries such as China, India, Russia, UK, South Korea and Germany, were present, with Australia being the first country to sign, followed by 49 other members. By the end of the year, a further 7 countries will have signed up to the framework.
China has enjoyed continued economic growth for many years, becoming a major global player but has not seen this converted into higher status among the world’s financial elite. Therefore, as a vehicle to push their own economic agenda, they, along with many other global partners, have created this new “world bank.” The U.S.’s strong opposition is highlighted by their questioning of the new institutions’ “governance standards,” and their own practice of trying to persuade others to keep away.
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