Storchak: China launches AIIB, comparable with the world Bank and the IMF

Storchak: China launches AIIB, comparable with the world Bank and the IMF

On Saturday in Beijing officially launched the new global financial institution – Asian infrastructure investment Bank (AIIB). The Bank representatives from 57 countries-founders. Russia was in it the third largest party.

BEIJING, 17 Jan. The launch in Beijing of a new global financial institution — Asian infrastructure investment Bank (AIIB), which is comparable in importance with such “pillars” of the global financial architecture as the world Bank and the IMF suggests that China has become not only very large, but truly influential power in the global market, said Deputy Minister of Finance of Russia, Deputy Manager from the Russian Federation in the AIIB Sergei Storchak.

Representatives of 57 countries-founders of AIIB on Saturday in Beijing gave the official start of operation of the Bank. Russia became the third largest party in the Bank after China and India, having received a 5.92% stake in equity. China and India possess 26,06% and 7.5% in the capital of the AIIB, respectively.

“From this point on we can assume that the initiative put forward by the leadership of the people’s Republic of China, became a reality. And that reality, my feeling, very comparable to the reality which took place in 1944 in Bretton woods, when a group of countries decided on the establishment of the IMF and world Bank,” Storchak told journalists.

He noted that the Bank started its work, despite serious geopolitical interests in the world. “And in terms of this specific aggravation of the country, pursuing different goals, have different interests, have agreed on the establishment of a global financial institution and lept to fill the Institute budgetary allocations,” he said.

The stated capital of AIIB is $ 100 billion, paid — $ 20 billion. Payments of the participating countries will be carried out within five years.

Storchak has reminded that at Bretton woods the initiative of establishing the world Bank and IMF developed economies: the US and the UK. “In the modern world was an initiative of the country — indeed the emerging market. 20 years ago no one could speak about China as a major financial power, and now she not only became a major in fact, but authoritative and in fact, as in ABII and there are developed countries and developing,” — said Storchak.

The members of the Bank became all of the major European countries, and the post of one of the two Vice-chairmen of the Board of governors of the AIIB became the representative of Germany. From participation in the Bank among the largest economies in the world, abstained, only the USA and Japan. According to Storchak, this does not diminish the importance of the AIIB in the global plan.

“I don’t think this is a big problem given the fact that the largest country in Europe joined the Union very actively involved in the formation of its governing bodies, in shaping the regulatory framework of the Bank,” he said.

“The USSR also was not involved (at the world Bank — ed). Here let US repeat the experience of the Soviet Union,” said Storchak, noting that the procedure of entering the capital of the Bank for the new members will be very challenging and will require serious political decisions.