China says AIIB will have better understanding of developing world’s needs than other international development banks
Finance Minister Lou Jiwei says this expertise will help the Chinese-led lender create its own special niche and role
The China-led Asian Infrastructure Investment Bank will be different from institutions like the World Bank because it has a greater understanding of the developing world’s needs, officials said on Sunday at its first annual meeting.
President Xi Jinping proposed the bank two years ago and it began operations in January, with 57 founding member countries and US$100 billion in committed capital, which it plans to invest in projects across the region.
The AIIB, which intends to invest US$1.2 billion this year, has said it is aiming to meet international standards of governance, although some members say there is still work to be done.
Finance Minister Lou Jiwei said on the final day of the bank’s inaugural annual meeting that the AIIB needed to find its niche.
“The AIIB needs to establish its comparative advantage relative to existing multilateral development banks like the World Bank,” Lou said.
“Compared with the Asian Development Bank, World Bank and other multilateral development banks, the AIIB’s advantage lies in its keener understanding of the successful experience and lessons of developing countries’ years of development.”