The purpose of this note is to provide a realistic analysis of where MDBs have made progress in improving performance and governance, the risks and challenges they and their shareholders confront today, possible areas of US-China collaboration, and a specific recommendation for a joint effort.

CGD Board Chair Lawrence H. Summers delivered this keynote speech at an event hosted at the Center for Global Development on November 8, 2017. A video of the speech is also available.

The Asian Infrastructure Investment Bank (AIIB) has enjoyed considerable success in its young life. The challenge going forward is to translate this resounding political success into operational effectiveness and sound strategy. Given the political dimensions of this new institution, it is also wort...