About AIIB

• The Asian Infrastructure Investment Bank (AIIB) is an international development bank that provides financing for infrastructure projects in Asia.
• Headquartered in Beijing, it began operations in 2016.
• It includes 102 members worldwide (India is a founder member of AIIB).
• AIIB consists of two classes of membership: regional and non-regional members. Regional members hold 75% of the total voting power in the Bank.
• China is the largest shareholder with 26.64 per cent voting shares in the bank. India is the second largest shareholder with 7.6 per cent voting shares followed by Russia 6.0 per cent.
• India is the biggest borrower of AIIB.

Why in News?

• Asian Infrastructure Investment Bank has approved a $750-million loan to India to help strengthen its response to the adverse impacts of the COVID-19 pandemic on millions of poor and vulnerable households.
• Co-financed by the Asian Development Bank, the budgetary support will go towards bolstering economic aid for businesses, including for the informal sector, expanding social safety nets for the needy, and strengthening the country’s healthcare systems.

About ADB

• The Asian Development Bank (ADB) was founded in 1966 with the primary mission of fostering growth and cooperation among countries in the Asia-Pacific Region.
• It is headquartered in Manila, Philippines.
• At present, ADB comprises 68 members (including India)- of which 49 are from within Asia and the Pacific and 19 outside.
• The ADB was modeled closely on the World Bank, and has a similar weighted voting system where votes are distributed in proportion with members’ capital subscriptions.
• The two largest shareholders of the ADB are the US and Japan.
• ADB is an official United Nations Observer.