AIIB is the first multilateral financial institutions among governments pushed by China. But AIIB faces great challenges because of geopolitical conflicts leading to the deterioration of investment environment in Asia, the boycott of USA and Japan and China’s insufficient experience of the multilateral financial institutions. So AIIB needs to develop a sound model of loan contracts and efficient daily operating mechanism in order to form a complete risk control system as soon as possible. Secondly, AIIB needs to actively cooperate with the existing multilateral financial institutions in order to convert potential competitive relationship into mutual benefit and cooperation relationship. Lastly, the operation mechanism of AIIB needs upgrading in order to construct a trinity bank group of AIIB constituted by the investment insurance institution and the loan investment dispute mechanism in order to better achieve its functional goals.