There are many implications in this, but, Asia is going to need ready cash to continue it's movement in building quality of life into their societies. This is an effort to become autonomous in funding rather than relying on grants and loans.
The primary worry at this point by the USA is the quality of the banks infrastructure.
...China’s official answer (click here) is that Asia has a massive infrastructure funding gap. The ADB has pegged the hole at some $8 trillion between 2010 and 2020. Existing institutions cannot hope to fill it: the ADB has a capital base (money both paid-in and pledged by member nations) of just over $160 billion and the World Bank has $223 billion. The AIIB will start with $50 billion in capital—hardly enough for what is needed but still a helpful boost. Moreover, while ADB and World Bank loans support everything from environmental protection to gender equality, the AIIB will concentrate its firepower on infrastructure. Officially at least, ADB and World Bank officials have extended a cautious welcome to the new China-led bank, saying they see room for collaboration....
I am sure the UK sees the need to assist Asian countries with their upstart of this added bank. There are other banks in the region, all with initials used to name them ADB, AfDB, CAF, EBRD, IADB).
The Asian Infrastructure Investment Bank agreement was signed in October by 21 countries, including China
13 March 2015
The primary worry at this point by the USA is the quality of the banks infrastructure.
...China’s official answer (click here) is that Asia has a massive infrastructure funding gap. The ADB has pegged the hole at some $8 trillion between 2010 and 2020. Existing institutions cannot hope to fill it: the ADB has a capital base (money both paid-in and pledged by member nations) of just over $160 billion and the World Bank has $223 billion. The AIIB will start with $50 billion in capital—hardly enough for what is needed but still a helpful boost. Moreover, while ADB and World Bank loans support everything from environmental protection to gender equality, the AIIB will concentrate its firepower on infrastructure. Officially at least, ADB and World Bank officials have extended a cautious welcome to the new China-led bank, saying they see room for collaboration....
I am sure the UK sees the need to assist Asian countries with their upstart of this added bank. There are other banks in the region, all with initials used to name them ADB, AfDB, CAF, EBRD, IADB).
The Asian Infrastructure Investment Bank agreement was signed in October by 21 countries, including China13 March 2015
The US has expressed concern (click here) over Britain's effort to become a founding member of a
Chinese-backed bank that could rival the likes of the World Bank.
The UK is the first big Western economy to apply for membership of the Asian Infrastructure Investment Bank (AIIB).The AIIB will fund Asian energy, transport and infrastructure projects.
However, the US has raised questions over the bank's commitment to international standards on governance.
In a statement, UK Chancellor George Osborne said the UK had "actively promoted closer political and economic engagement with the Asia-Pacific region" and that joining the AIIB at the founding stage would create "an unrivalled opportunity for the UK and Asia to invest and grow together".
The hope is that investment in the bank will give British companies an opportunity to invest in the world's fastest growing markets....
