As the first multilateral financial institution initiated by China, the AIIB was formally established in late 2015 and has continued to expand globally. Among the more than 100 members who have joined the AIIB, countries from Latin America are very important. Argentina, Brazil, Chile, Ecuador, Peru, and Uruguay are non-regional members of the AIIB, while Bolivia and Venezuela are still prospective members. The development of the AIIB has been questioned and hindered by factors represented by the U.S. government, but it still extends all the way to the backyard of the U.S. This thesis answers the reasons why Latin American countries have joined the AIIB.
Power transition theory, neoliberal institutionalism theory, and international public goods theory can provide reasonable tools for analyzing this research question. The ongoing power transition between the U.S. and China provides an important international context for Latin American countries to join the AIIB. In this context, the benefits provided by AIIB also attract Latin American countries. These include its significant institutional advantages, financing infrastructure and related projects, and complementing the existing multilateral development banking system. On this basis, this thesis provides feasible suggestions for the obstacles faced by the AIIB's further expansion in Latin America.