Untitled Document

AIIB will use its US$50 billion to help spur hydroelectric development in Asia

file

With 35 nations signing on as founding members, Beijing-based Asian Infrastructure Investment Bank (AIIB) has a reported US$50 billion foundation from which it plans to spur infrastructure growth in developing Asian countries with projects that include hydroelectric facilities.

AIIB was formed by the Chinese government and began formal operations in October 2014. It is a multilateral development bank meant to provide funding for infrastructure projects in developing countries of the Asia region. Reports indicate almost all Asian countries and most major countries outside Asia have joined the AIIB as of April, with notable exceptions being the U.S., Japan and Canada. AIIB rejected North Korea's application to join its organization.

AIIB, in part because of its location and China’s enormous amounts of bilateral and unilateral lending ability, could become the Asia-based alternative to the World Bank and International Monetary Fund (IMF). However, on Tuesday, April 7, World Bank President Dr. Jim Yong Kim amongst his many comments, said, AIIB is “potentially a strong ally” and “a great new force,” as it relates to providing means for poorly developed Asian nations to strengthen indigenous infrastructure.

Kim made the comments from Washington, D.C., where the World Bank is headquartered, just weeks ahead of the World Bank Group and IMF 2015 spring meetings being held there, April 17-19.

The World Bank, IMF and the Asian Development Bank, which is based in the Philippines capital city of Manila, have pledged to work with AIIB when possible, according to published reports.

To date, according to China’s state operated Xinhua News Agency, the following nations are listed by AIIB as founding members: Bangladesh, Brunei, Cambodia, China, France, Germany, India, Indonesia, Iran, Italy, Jordan, Kazakhstan, Kuwait, Laos, Luxembourg, Maldives, Malaysia, Mongolia, Myanmar, Nepal, New Zealand, Oman, Pakistan, Philippines, Qatar, Saudi Arabia, Singapore, Sri Lanka, Switzerland, Tajikistan, Thailand, United Arab Emirates, United Kingdom, Uzbekistan and Vietnam.
 

Related Articles

183.2-MW Isimba hydro project commissioned in Uganda

The 183.2-MW Isimba hydro project has been commissioned on the Nile River in Uganda, multiple news agencies are reporting.

Voith receives contract for 1,000-MW Pakal Dul hydropower plant in India

Voith Hydro announces it recently received an award from Chenab Valley Power Projects Private Limited (CVPPPL) that includes the supply of four 250-MW Francis turbines and generators, together with auxiliary equipment, for the 1,000-MW Pakal Dul hydropower plant.

Indian government to declare large hydropower projects a renewable energy source

The Indian government’s Union Cabinet, chaired by the Prime Minister Narendra Modi, has approved measures to promote the hydropower sector that include declaring large hydropower projects to be part of the non-solar renewable purchase obligation (RPO).

Sign up for your free subscription to the HydroWorld Weekly e-newsletter