AIIB First Batch of Investments Shows Support for the Belt and Road Initiative
The Asian Infrastructure Investment Bank first batch of investments which will be announced this coming June 24 during the bank’s third board meeting which is presided by the bank’s president Jin Liqun. Part of the bank’s financed projects will be included along with those co-financed with the World Bank and the Asian Development Bank. Having a authorized capital of $100 billion, AIIB is investing in energy, infrastructure, transportation, water supply, urban construction, logistics, healthcare, education and environmental projects.
According to the World Bank, AIIB is expecting to approve around $1.2 billion in financing for this year with projects that are jointly financed by the World Bank getting a sizable share of the financing. AIIB will be building branch offices that will be responsible in raising capital in the international and regional financial centers, namely London, Frankfurt and New York. A meeting with global executives coming from 15 companies is se with the Belt and Road Initiative to serve a a road map on how China will further integrate itself into the global economy and bring out new opportunities and a new future to China along with every country along the developing trade routes.
The Belt and Road Initiative is about growing together globally and the best way to do it is by dealing with the conflicts in a constructive way and build financial bridges. The initiative is a big factor for the development of the region, and the mere fact that AIIB is supporting this is highly important in terms of building infrastructure while bringing out economic opportunities. Other banks such as Standard Chartered Bank, Bank of China and Industrial and Commercial Bank of China are also active in developing businesses in countries found along the Belt and Road routes.
AIIB will be supporting projects under the Belt and Road Initiative in these countries but not exclusively. AIIB will be financing infrastructure projects in emerging market economies even if these projects are not with the Belt and Road Initiative.