How AIIB afect Chinese and international economy.doc

How AIIB affect Chinese and international economy After 4 modules of managerial economics course instructed by prof Tang, I have gained insights on the key issues of business strategy and the impacts of government and government policy on business in the globalized world. It will be helpful to my future career. According to prof Tang’s requirement, I choose AIIB to be my object of individual assignment, as AIIB is our new hope of sustainable development, and it will affect the whole country, even the whole Asian infrastructure construction. I choose this topic to test my learning. Introduction The Asian Infrastructure Investment Bank (AIIB) is an international financial institution proposed by the government of China. The purpose of the multilateral development bank is to provide finance to infrastructure projects in the Asia region. AIIB is regarded by some as a rival for the IMF, the World Bank and the Asian Development Bank (ADB), which are regarded as dominated by developed countries like the United States. The United Nations has addressed the launch of AIIB as scaling up financing for sustainable development for the concern of Global Economic Governance. History The first news reports about the AIIB appeared in October 2013. The Chinese government has been frustrated with what it regards as the slow pace of reforms and governance, and wants greater input in global established institutions like the IMF. The Asian Development Bank Institute published a report in 2010 which said that the region requires $8 trillion to be invested from 2010 to 2020 in infrastructure for the region to continue economic development. In a 2014 editorial, The Guardian newspaper wrote that the new bank could allow Chinese capital to finance these projects and allow it a greater role to play in the economic development of the region commensurate with its growing economic and political clout. But until March 2015, China in the ADB has only 5.47 percent voting right, while Japan