Ethiopia officially joins AIIB today

Addis Ababa, May 13, 2017 (FBC) – The multilateral development bank, Asian Infrastructure Investment Bank (AIIB), which aims to support development of infrastructure in the Asia-Pacific region, has accepted Ethiopia as a member of the Bank today.

“First of all, we are very happy that you decided to join the Asian Infrastructure Investment Bank. And also we are delighted that we ratified it. Because we meant now you are a full member of this bank as of today”, AIIB President Jin Liqun said.

Ethiopia submitted its application to join the Asian Infrastructure Bank in 2015.

The President also invited Ethiopia to attend the second annual meeting of the board of governors to be held next month in Jeju, South Korea.

Ethiopia is the third African country, after South Africa and Egypt, to join the Bank.

By enhancing connectivity and economic development through infrastructure development and other productive sectors, Asian Infrastructure Investment Bank aspires to help stimulate growth and improve access to basic services in the region.

By being a member of AIIB, Ethiopia can access loan and other capacity building assistance to its infrastructure projects as well as other sectors that contribute to the development of the country, it was learned.

“The acceptance by the Bank has facilitated the situation for Ethiopia to get adequate financing to its different projects”, Prime Minister Hailemariam said after the discussion.

In addition to supporting infrastructural development, the Bank also finances other productive sectors such as manufacturing and mining as well as capacity building assistance that will have direct implication on development.

In this regard, it is a good opportunity for Ethiopia to get additional financier for its development projects, the Premier added.

Being a member of the bank has two distinct advantages for Ethiopia: “The main benefit of this bank is the lower interest rates it offers compared to commercial banks.”

The other advantage is the support to other productive sectors that contribute to the overall development of the country as the Bank finances projects such as finance for agriculture, manufacturing industry and ICT areas, Hailemariam stated.

AIIB is a new multilateral financial institution founded in 2015 with the initiative of China to bring countries together to address infrastructure needs across Asia.