Ying & Yuan: New Chinese Bank Shakes-up World Economics
Foes as well as friends are joining the new Chinese lead bank. The new financial institution known as Asian Infrastructure Investment Bank (AIIB) will be based out of Beijing, the country’s capital.
Russia joined the bank of $50 billion operating dollars as did U.S. ally nations Australia & Denmark. Great Britain, Germany, France, Italy, and South Korea have all said they intend to join the bank which would be used to fund infrastructure improvements in Asia. India and all the members of Southeast Asia’s regional bloc as well as dozens of other nations have sought to join the new powerhouse bank.
The U.S. is understandably concerned that the AIIB will undercut the World Bank and U.S. hegemony. As more and more allies join the Chinese Bank, the U.S. may be forced to follow suit and do the same.
Deadline for joining the bank is March 31.