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AIIB 'open for business by end of year'

By Wu Jiao in Manila and Zhang Yunbi in Beijing (China Daily) Updated: 2015-11-19 07:47

President says Beijing is working with more than 50 countries to prepare the bank's launch

President Xi Jinping said on Wednesday that the Asian Infrastructure Investment Bank (AIIB) is "expected to be officially up and running by the end of this year".

Observers noted that although some senior Chinese officials voiced similar hopes earlier this year, Xi's estimation on Wednesday may be the most assuring and promising message so far about the long-awaited financial institution that will directly address the hunger for capital in the region.

The top Chinese leader made the announcement in a keynote speech at the APEC CEO Summit in Manila as he was elaborating on a series of major projects and economic corridors.

Beijing is "now working actively with more than 50 countries" to prepare the launching of the AIIB, and it "will provide financing support for a number of important projects".

Xi added: "Moreover, we will gradually put in place new cooperation platforms in such priority areas as economy and trade, energy, investment, people-to-people and cultural exchanges, and work to reinvigorate the existing bilateral and multilateral mechanisms."

Currently the AIIB has 57 prospective founding countries and will have an authorized capital of $100 billion. At the end of June, finance ministers of the founding members gathered in Beijing to sign the AIIB agreement.

Earlier this month, China's top legislature ratified the AIIB agreement, which was believed to be a significant step toward the AIIB's formal establishment.

Finance Minister Lou Jiwei told lawmakers that as long as at least 10 signatories, and no less than 50 percent of the capital contribution, obtain legislative approval, the AIIB agreement will become effective.

Jin Liqun, president-designate of the AIIB, said in October at an event held by the Brookings Institution, a Washington-based think tank, that the AIIB will enjoy a "first-class top management" as the bank will have universal recruitment and universal procurement.

Chen Fengying, a senior researcher on the world economy at the China Institute of Contemporary International Relations, noted that as China is entering a new stage of boosting opening up and increasing its involvement in global economic governance, the establishment of the AIIB is helpful for facilitating the opening up and growth.

The AIIB will not only boost the Chinese say in global economic governance but also shape the community of shared interests based on mutual benefits, Chen said.

In his speech, Xi also highlighted the need to boost teamwork among regional stakeholders.

"We must focus on development, spare no effort in fostering an environment of peace conducive to development, and never allow anything to disrupt the Asia-Pacific development process," Xi said.

He called upon all the parties to "resolve differences through dialogue and consultation".

Xinhua contributed to this story.

Contact the writers at zhangyunbi@chinadaily.com.cn

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