CHINA'S POLITICAL ECONOMIC INTERESTS THROUGH AIIB (ASIAN INFRASTRUCTURE INVESTMENT BANK) IN ASIA

Abstract

This study aims to see how China’s political economy interests through Asian Infrastructure Investment Bank (AIIB) in the Asian region. AIIB as one of the MDBs (Multilateral Development Banks) is an International Financial institution in the infrastructure sector located in the Asian region. AIIB as one of the MDBs aims to provide easy financial lending facilities for developing and needy countries. AIIB was founded in 2015 by China as a strategy to expand the use of Chinese currency on an international scale.
This research is theoretically built using the perspective of neo-liberalism, and is supported by state theory and international institutions. The formulation of all arguments,data,facts,and theoretical frameworks in this study uses descriptive qualitative methods. This study also uses the nation-state as a level of analysis.
The conclusions is there China has an interest in 1. Influencing the global political economy through AIIB. 2.Making the Chinese currency a global transaction tool. 3. Optimizing the role of AIIB as its instrument of interest. Although AIIB is one of the new MDBs, in several stages of its implementation, AIIB is able to provide influence and solutions for other countries in terms of international financial facilities in the infrastructure sector.

Key Word : AIIB, economic politics, MDBs (Multilateral Development Banks)