Publication

This paper examines whether establishment of the China-led Asian Infrastructure Investment Bank (AIIB) marks a major change in the international financial order comparable to the establishment of the Bretton Woods system in 1944-45. In general, the author contends that this is not the case and that while the AIIB and other financial institutions involving China are designed to stimulate reform of the Bretton Woods system, they remain closely linked to it. The author also discusses the economic and political consequences for China of the establishment of the AIIB and its initiation of other international financial institutions.