The memorandum of understanding signed by China and 20 other Asian economies agreeing to establish an Asian Infrastructure Investment Bank has attracted much comment.

Clari on calls for explanation and justification from the United States, its allies in the Asian region and voices at the World Bank have overshadowed this exciting and momentous development.

Yet the rationale behind the bank's formation is clear: focused, market-driven investment that will support Asian countries' infrastructure construction to propel economic growth.