China-backed Asian Infrastructure Investment Bank expands its global members include 70 countries
The Beijing-led Asian Infrastructure Investment Bank (“AIIB“) approved the membership application of Hong Kong and 12 other jurisdictions including include Canada, the world’s 10th largest economy, as well as Belgium, a midway in China’s overland route for its “One Belt, One Road” initative.
This expansion of AIIB added 13 members to its already considerable weight of tally since it establishment in January last year with 57 members. The tally now stands at 70 nations — minus, most notably, the United States and Japan, first and third among the world’s largest economies.
HK to join AIIB
March 23, 2017
Financial Secretary Paul Chan welcomed the Asian Infrastructure Investment Bank’s announcement today that Hong Kong will become its new member upon the deposit of the first instalment of capital subscription with the bank.
Mr Chan said Hong Kong is an international financial centre with the unique advantage of “one country, two systems”, a well-developed, robust and liquid financial market, and an abundance of top professionals with global vision and experience.
“Hong Kong’s professional services and financial services sectors can contribute to the success of the bank. Hong Kong’s participation in the bank can also create new opportunities for the relevant sectors, and can further reinforce our position as a premier international financial centre.”
He called for early funding approval by the Legislative Council Finance Committee to enable Hong Kong to get a subscription of 7,651 shares of the capital stock.
Among them, 1,530 will be paid-in shares (amounting to $1.2 billion, payable over five years) and 6,121 will be callable shares.
The bank is designed to provide financial support for infrastructure development and regional connectivity in Asia.
The Government has briefed the Legislative Council Financial Affairs Panel on the membership application and is waiting for LegCo funding approval.