13:10 GMT22 February 2020
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    China's World Bank: Opportunity or Threat? (57)
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    The International Monetary Fund (IMF) welcomes the establishment of the Asian Infrastructure Investment Bank (AIIB) and is ready to work with it, IMF Managing Director Christine Lagarde said on Thursday.

    WASHINGTON (Sputnik) — AIIB is an international financial institution proposed by China to stimulate growth in the Asia-Pacific region that is largely viewed as a potential rival for the US and European-dominated World Bank and the International Monetary Fund.

    "That [AIIB] is a most welcomed institution and one with which the IMF certainly is planning to cooperate with," Lagarde said.

    In October 2014, 22 Asian states signed a Memorandum of Understanding to set up AIIB with the headquarters in the Chinese capital of Beijing. The authorized capital of bank amounted to $100 billion.

    "The proposal to have a completely dedicated institution [AIIB] that will focus on infrastructure on a regional basis is actually an attractive proposition and its not that the region is short of needs, its short of potential projects," she added.

    According to the AIIB website, there are 57 prospective founding members to the bank, as of April 16. It is expected to be fully established by the end of 2015.

    On April 17-19, the IMF and World Bank are holding their annual Spring Meetings in Washington, DC to discuss issues like global poverty alleviation, development projects and financial reforms.

    Topic:
    China's World Bank: Opportunity or Threat? (57)

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    Tags:
    economy, Asian Infrastructure Investment Bank (AIIB), World Bank, International Monetary Fund, Christine Lagarde, China
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