AIIB - AIIB NEG(Starter Pack Version Case Squo solves US...

AIIB NEG (Starter Pack Version)

Case

S’quo solves
US policy goldilocks – signals coordination with existing institutions while
encouraging Chinese best practices – AIIB failure is likely but the ball is in THEIR
court.
Dreyer, 15
(June Teufel Dreyer a Senior Fellow in FPRI’s Asia Program as well as a member of the
Orbis Board of Editors, Professor of Political Science at the University of Miami, Coral Gables,
Florida, “The Asian Infrastructure Investment Bank: Who Will Benefit?,”
-
benefit/ , CMR)
Still,
Beijing may have overreached itself
.
It has backed two other financial institutions, both to be
headquartered in Beijing and predominantly financed by the PRC : a BRICS bank in spite of the
problems in several of the BRICS’ economies, and a Shanghai Cooperation Bank, despite
objections from Moscow
.[15] And
this at a time when the PRC’s economic growth rate is slowing,
resulting in the postponement of structural reforms
deemed
necessary to enhance its future
prospects
. A first test will be at the end of April, when members will meet to discuss share distribution and select officials. Jin
Liqun a well-regarded former PRC deputy finance minister and former ADB vice-president is expected to be named the AIIB’s
governor. Several states, Indonesia most publicly, have lobbied to have one of their nationals as deputy governors and put forth
various conditions. Satisfying their competing demands will require careful coordination and the utmost diplomacy.
For now,
Washington seems to be taking a wait and see attitude
.
Treasury Secretary Jacob Lew , in Beijing
for consultations, said he welcomed the new bank and would encourage it to coordinate with
existing financial institutions such as the World Bank
.
However, he
also
warned
that
poor lending
and governance standards could harm rather than help global development
.[16] Asian Development
Bank officials have also pledged cooperation.
The burden is now on Beijing to deliver
on its ambitious plans
and
to
live up to the promises it has made
.
Xi’s visit was a game-changer – US and China committed to truce over AIIB –
solves relations.
Donnan, 15
(Shawn, “White House declares truce with China over AIIB,” Sept 27,
, CMR)
US officials have declared
what amounts to
a truce in their campaign over China’s A sian i nfrastructure
b ank, claiming they have secured commitments from Beijing to address Washington’s concerns
as well as a “meaningfully increase” its financial contributions to the World Bank and other
potential regional rivals to the new institution
. The US has declined to join the Asian Infrastructure Investment Bank
and been leading what many allies and others see as a failed campaign against it. Together with the New Development Bank being
founded with other Brics economies, the AIIB represents perhaps the biggest challenge yet mounted to the Bretton Woods
international financial architecture established in 1944.