India-China Frictions Not Affecting AIIB’s Operation, Says VP Pandey

Ajay Bhushan Pandey, Vice President of AIIB, stated that tensions between India and China do not affect the bank’s operations. He emphasized the AIIB’s multilateral governance structure and highlighted India as a major player within the bank. Pandey also recognized the contributions of outgoing President Jin Liqun.

In a recent interview with PTI Videos, Ajay Bhushan Pandey, Vice President of Investment Solutions at the Asian Infrastructure Investment Bank (AIIB), asserted that ongoing tensions between India and China have not influenced the bank’s operations. He emphasized that both nations are the top two investors in the AIIB, and despite political differences, the bank continues to function effectively based on economic interests.

Established in 2016, the AIIB has developed a multilateral governing structure rather than being a Chinese bank, as some critics claim. Current data shows that China holds the largest share, with 26.54% of voting rights, while India comes in second with 7.58%. Other shareholders include Russia and Germany. Pandey addressed the perception of the bank as being predominantly Chinese sponsored, arguing that major decisions require a 75% supermajority, thus ensuring diverse representation.

In the nearly hour-long interview, he discussed the impact of geopolitical tensions on financial operations and the importance of maintaining a professional environment within the bank. He pointed out that while countries may stand at odds outside the bank’s governance, their working relationship focuses on economic collaboration and shared goals.

Notably, Pandey stated that the hosted annual meeting will gather officials from its 100 member countries. As Vice President, he oversees multiple departments focused on Sectors, Sustainability, and Portfolio Management. The AIIB has approved significant projects over the years, with approximately $60 billion funding allocated across 310 projects in 38 member countries, with India being the leading borrower at roughly $11 billion.

The leadership of Jin Liqun, the outgoing founder President of the AIIB, was acknowledged by Pandey. Jin’s efforts in uniting 110 nations under a common goal of global public good symbolize the potential of collaborative international finance amidst division. Pandey’s insights stressed that regardless of external political conflicts, the AIIB aspires to uphold its mission as a legitimate multilateral development bank while fostering development across member nations, especially those contributing greatly like India.

Ajay Bhushan Pandey’s comments highlight the resilience of the AIIB amid international frictions, specifically between India and China. His arguments reinforce the notion that the bank transcends national political conflicts by maintaining a focus on economic interests and collaboration. The successful track record of funding underlines the bank’s commitment to supporting development across member nations, dispelling any misgivings about its governance structure. Jin Liqun’s leadership is also recognized as pivotal in achieving the bank’s objectives.

Original Source: www.livemint.com

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