With reference to the Asian Infrastructure Investment Bank (AIIB), consider the following statements: 1. It promotes sustainable economic development and improves infrastructure connectivity in Asia. 2. It was established as a subsidiary of the World Bank. 3. It only allows Asian countries as members. Which of the statement(s) given above is/are correct? |ForumIAS

Q. With reference to the Asian Infrastructure Investment Bank (AIIB), consider the following statements:
1.It promotes sustainable economic development and improves infrastructure connectivity in Asia.
2.It was established as a subsidiary of the World Bank. 3.It only allows Asian countries as members.
Which of the statement(s) given above is/are correct?

[A] 1 only

[B] 2 only

[C] 1 and 2 only

[D] 1 and 3 only

Answer: A

Notes:

Explanation –

Statement 1 is correct. The AIIB’s primary objective is to foster sustainable economic development and improve infrastructure connectivity in Asia by investing in infrastructure and other productive sectors.

Statements 2 and 3 are incorrect. The AIIB was created as an independent multilateral development bank, proposed by China. The aim was to provide an alternative to Western-dominated financial institutions like the World Bank and the International Monetary Fund. Its membership is open to countries worldwide, not just Asian countries. It includes members from various regions, including Europe, Africa, Oceania, and the Americas.

Source: AIR

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