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Canada has announced an expansion of its investigation into the Asian Infrastructure Investment Bank (AIIB) and an indefinite freeze on its involvement in the multilateral organization, according to a statement released by the government on Friday. The move follows Ottawa's initial suspension of participation in June, prompted by claims from a whistleblower asserting undue influence by China's ruling party within the AIIB.
The AIIB, a brainchild of Chinese President Xi Jinping, was established in 2016 with the aim of challenging Western dominance in institutions like the World Bank and the International Monetary Fund. With 106 global members, including major economies such as Australia, Canada, France, and Germany, the AIIB has sought to carve out a distinct space in international finance.
Deputy Prime Minister Chrystia Freeland stated, "In consultation with some of our closest international partners, Canada is expanding its review of the AIIB." The decision to indefinitely suspend participation underscores the seriousness of governance concerns and the need for a comprehensive examination of the bank's operations.
The whistleblower's allegations, which triggered Canada's initial suspension, have ignited broader discussions about the balance of power within the AIIB and its alignment with China's strategic interests. As Canada delves deeper into the investigation, its decision to freeze participation reflects a cautious approach amid evolving geopolitical dynamics and the need for transparency and accountability in international financial institutions.
