Game of Balancing: China, the AIIB, and the Future of Global Governance

Stream: Panel 75 - Australian Politics / Media & Politics: Australian Foreign Policy and the Rise of China
Date: Wednesday, 28 September 2016
Time: 11.00 am – 12.30 pm

Abstract

The establishment of Asian Infrastructure Investment Bank (AIIB) has signified a “charm offensive” of China toward multilateral institutions. Why did China initiate the AIIB? Why did the AIIB succeed despite US opposition? How will China re-shape global governance and to what extent? If the rise of China is inevitable, what will the future world look like and what should other countries be prepared for? Borrowing insights from institutional balancing theory, this project intends to address these questions with the AIIB as a case study. It suggests that China, the United States, and other countries have applied different types of institutional balancing, i.e., inclusive institutional balancing, exclusive institutional balancing, and inter-institutional balancing, for pursuing influence in dynamics of the establishment of AIIB. Institutional balancing is a new type of balancing among states in the context of globalization and deepening economic interdependence. China’s institutional rise in global governance might be more peaceful than widely predicted.

Authors

Kai He (Presenter), Griffith University

Huiyun Feng (Presenter), Griffith University