KUALA LUMPUR – The Asian Infrastructure Investment Bank (AIIB) Bill, which was tabled for the second reading in the Dewan Rakyat on Tuesday, aims to enable Malaysia to become a member of the bank.
Second Finance Minister, Datuk Johari Abdul Ghani, said the Bill was important to enable the country to submit the ratification instruments and then to pay the subscription which was a precondition to become a full AIIB member.
He said the Bill, among others, would allow the purchase of the AIIB shares.
“Malaysia has expressed its commitment to subscribe for a total of 1,095 units worth US$109.5mil (RM459.6mil).
“Malaysia will pay US$21.9mil, or 20% of the stake, in five installments over a period of five years,” he said when tabling the Bill in Dewan Rakyat in Kuala Lumpur on Tuesday.
He said the first installment had to be paid within 30 days after the submission of the rectification instruments to AIIB.
Johari said Malaysia, together with the other 56 founding members, had signed the articles of association (AOA) on the establishment of the bank on Aug 21, 2015.
“All founding AIIB members who have signed the AOA have to complete the rectification process before Dec 31 this year,” he said.
AIIB, a multilateral international development bank, was set up on Dec 25, 2015. It has an initial capital of US$100bil with one million shares.
The initial paid-up capital is US$20bil.