Asian Infrastructure Investment Bank Admits Argentina, Tonga & African Nation Of Madagascar

by Bamidele Ogunberu Last updated on July 25th, 2017,

The board of governors of the Asian Infrastructure Investment Bank (AIIB) at its second annual meeting today approved the membership of Argentina, the Republic of Madagascar and the Kingdom of Tonga. The second annual meeting of the board of governors formerly opened earlier in the day in South Korea’s southern resort island of Jeju. Argentina and Madagascar are non-regional members.

The three approved members still have to complete the required domestic processes and deposit the first installment of capital with the bank. The shares allocated to the new prospective members come from the bank’s existing pool of unallocated shares.

The AIIB chief expressed his anticipation of the role the three new members will play once they fully join the bank.

Asian Infrastructure Investment Bank (AIIB) President Jin Liqun  also said of the newly admitted members:

“Well-integrated infrastructure and enhanced connectivity between Asia and the rest of the world has far-reaching benefits for the global economy. Tonga was well known as the friendly islands in the South Pacific, while Argentina and Madagascar are important economies in South America and Africa each.”

Sir Danny Alexander, vice-president and corporate secretary at the AIIB  said interest in the AIIB remained high and that the bank’s door remained open to new members that will be joining later this year.

This year’s annual meeting brought together about 2,000 participants, including delegations of both founding members and new members, international organizations and academia as well as businessmen, financiers and journalists.

The attendees included over 20 finance ministers of the approved AIIB members, according to South Korea’s finance ministry.

The second annual meeting is being held under the theme of “Sustainable Infrastructure,” seeking strategic directions of the international infrastructure bank and making major decisions on the bank’s management.

The first meeting was held in Beijing last year. Since launching the China-initiated Asian Infrastructure Investment Bank (AIIB) only 18 months ago, the bank has welcomed 23 new members from around the world. Officially launched in January 2016, the Beijing-based AIIB is a multilateral development bank initiated by China and supported by a wide range of countries and regions, which will provide financing for infrastructure improvement in Asia.

The international infrastructure bank has about $100 billion of subscribed capital, including some $20 billion in paid-in capital.

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