Date
19 November 2017
Chinese President Xi Jinping meets with guests at the launch ceremony of the Asian Infrastructure Investment Bank in Beijing on October 24 last year. Photo: Reuters
Chinese President Xi Jinping meets with guests at the launch ceremony of the Asian Infrastructure Investment Bank in Beijing on October 24 last year. Photo: Reuters

US seeks to work with China-led Asian infrastructure bank

The Obama administration wants a new Chinese-led Asian Infrastructure Investment Bank (AIIB) to work in partnership with Washington-backed development institutions such as the World Bank, the Wall Street Journal reported.

“The US would welcome new multilateral institutions that strengthen the international financial architecture,” the paper cited Nathan Sheets, US Treasury Under Secretary for International Affairs, as saying.

“Co-financing projects with existing institutions like the World Bank or the Asian Development Bank will help ensure that high quality, time-tested standards are maintained.”

Co-financed projects will ensure that new bank complements rather than compete with existing institutions, the US official said.

If the new bank were to adopt the same governance and operational standards, it could bolster the international financial system and also help meet major infrastructure-investment gaps, he said.

The AIIB is yet to make a decision on whether it will partner with existing multilateral development banks.

But a Chinese embassy spokesman in Washington was quoted as saying that Beijing is open to collaboration with the existing institutions.

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FL/RC

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