Economy, Business And Markets

Iran Buys 2.8% Stake in AIIB

Iran Buys 2.8% Stake in AIIBIran Buys 2.8% Stake in AIIB

Iran has purchased 2.8% of shares in the Asian Infrastructure Investment Bank's (AIIB), deputy economy minister for foreign investment affairs said Tuesday.

Mohammad Khazaei, who also is head of the Organization for Investment Economic and Technical Assistance of Iran (OIETAI), said that move to buy the stake in the bank established by Russia and China is in line with Tehran's declared policy to enhance its role in regional organizations, Mehr News Agency quoted him as saying.

It was not clear how much Tehran paid for the stake in the newly emerging bank. AIIB is regarded as a rival of the International Monetary Fund and the World Bank -- both dominated by western powers, the United States in particular.

Iran, as a founding member of the bank, intends to play an effective role in the China-led bank. Minister of Economy Ali Tayyebnia and representatives from 27 founding member states signed the constitution for the new bank on June 29 in Beijing.

"Iran is also willing to buy shares of the BRICS Bank though the volume has yet to be determined," Khazaei added.

Brazil, Russia, India, China and South Arica (BRICS) launched the multi-billion dollar development bank at the 7th BRICS summit in the Russian city of Ufa on July 8, amid efforts to finance infrastructure projects, mainly in member countries. Iran has cordial political and economic ties with all five members of the group.