The Asian Infrastructure Investment Bank (AIIB) – a China-led financial institution with multilateral support – was formally established on Friday. Brazil and Portugal are among the bank’s 57 founding members.

The AIIB’s president-designate Jin Liqun told Chinese state-run news agency Xinhua that the institution – first proposed by China’s President Xi Jinping in October 2013 –, will operate “in an open, fair and efficient manner”.

“The popularity of AIIB stems from its win-win nature as the bank serves to enhance connectivity among Asian countries by supporting infrastructure development,” he said. “A prosperous Asia will offer huge markets for global enterprises, which are hungry for business opportunities, and will boost international economic growth,” added the official.

The AIIB has US$100 billion in authorised capital. It is anticipated the bank will start issuing loans in mid-2016; investing in sectors including infrastructure, energy, transportation and logistics, Mr Jin said.

China is the largest shareholder in the AIIB with 29.78 percent of the capital, while Brazil is the ninth largest shareholder, Portuguese news agency Lusa reported.