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A late surge among top European countries, including Germany, France, Britain, and now Russia along with Australia to join the China-led Asian Infrastructure Investment Bank (AIIB), has imparted a new sense of realism to Beijing’s Silk Road plans.
If implemented, they are likely to shift the global balance of economic power towards Eurasia.
Russia, Australia and the Netherlands, announced its decision to join the Chinaled AIIB.
The decision of key European powers along with South Korea to join the bank, overriding strong objections from the United States, has split the Atlantic Alliance on this issue.
China’s “One belt One road” initiative envisages connecting the Pacific coast with Europe by an extensive transport, cyber and energy network along the Eurasian corridor.
Inter-linked with the land route, China wants to establish the 21st century Maritime Silk Road (MSR) , which would connect China with a string of ports, from where would radiate economic corridors, in Southeast Asia, South Asia, West Asia and Africa. The MSR would terminate in Europe.
The AIIB’s apparent success has now brought into sharper focus China’s ‘One belt One Road’ initiative which requires massive investment, including finance from the $40 billion Silk Road fund, which Chinese have separately established.
‘One Belt One Road’ initiative, backed by a solid financial institutional network, once implemented, is expected to accelerate the shift of geo-economic power away from the United States, towards Eurasia.
More than 4.4 billion people, or 63 per cent of the global population countries, are expected to benefit from China’s game-changing plans.