India's Dinesh Sharma elected to board of directors of AIIB

India’s Dinesh Sharma has been elected to the board of directors of the China-sponsored Asian Infrastructure Investment Bank (AIIB).
He has been elected to the 12-member board through a secret ballot. This is the first board of directors of AIIB in which 57 nations are founding members including India.
The inaugural meeting of the board of the governors of the AIIB also held in Beijing after its formal launch. The meeting approved by-laws, rules and codes of conduct for the bank.
It should be noted that Union Finance Minister Arun Jaitley is the designated governor of the AIIB from India. However he was represented by Mr. Sharma at the meeting.
Presently, Dinesh Sharma is serving as Additional Secretary of Union Ministry of Finance.
Comment

• The election of India to board of directors of the AIIB is expected to provide significant role for it as it is the forum that approves the loans for projects.
• With authorised capital of 100 billion dollars, AIIB is expected to begin loan approvals before the end year 2016.
• It will provide financial support for infrastructure development and regional connectivity in Asia in sectors including energy, transportation, urban construction and logistics as well as education and healthcare.

Month: Current Affairs - January, 2016