Jan 21, 2016 (LBO) – The Cabinet has approved the draft bill to enable Sri Lanka to obtain the formal membership of the Asian Infrastructure Investment Bank through ratification of the required agreement.
Sri Lanka has signed the agreement as an initial member to establish this bank on 29 June 2015 in Beijing, China.
57 countries comprised of 37 countries in the region and 20 countries out of the region have pledged support for the bank.
The bank will have an authorized capital of 100 billion US dollars which will be contributed 75 percent by regional countries and the balance 25 percent by countries outside the region.
A quota is allocated to each country depending on their GDP. Sri Lanka will have to subscribe to around 268 million US dollars.
The Cabinet has also approved to join the ‘Group G’ led by Indonesia to form a constituency of the Asian Infrastructure Investment Bank.
The main objective of the infrastructure bank is to develop infrastructure and to enhance the relationship in the Asian region.