Govt Nod For Ratification of AIIB To Raise Resources For Infra Funding

18 November, New Delhi

Government Wednesday gave its approval for the ratification and submission of the Articles of Agreement (AoA) of the Asian Infrastructure Investment Bank (AIIB) in order to obtain more resources for much needed infrastructure development. .

It is expected that with membership in AIIB, India would be able to raise much more resources needed for the infrastructure development, an official statement said. Infrastructure financing in India has traditionally been done through the government and existing multilateral development banks.

These have been supplemented by public sector contributions through Public-Private Partnership projects.

However, in the context of fiscal consolidation and risk-averse private sector, the AIIB will make additional resources available. This is expected to recycle the savings accumulated in emerging countries.