Asian Infrastructure Investment Bank plays down Beijing role, says transparency and creditworthiness guide decision making
- Jin Liqun, bank’s president, plays down role in Chinese economic diplomacy
- Infrastructure-focused bank has extended US$7.5 billion in loans as of end of 2018
China-led multilateral lender Asian Infrastructure Investment Bank (AIIB) said on Tuesday it would prioritise policy, transparency and creditworthiness when deciding on deals.
Jin Liqun, the bank’s president, was keen to play down its role in Chinese economic diplomacy amid the trade war between Beijing and Washington. He was addressing a forum on business environment organised as part of the China International Import Expo (CIIE), which runs in Shanghai from November 5 to 10.
“We want to make sure that our investment is safe and sustainable,” he said. “Credibility has to be earned through what you do, not what you say.”
“It is important to reiterate the bank’s role as a driver for the global and regional economies at the CIIE, given the event’s high profile,” said Li Lifan, an international affairs professor at the Shanghai Academy of Social Sciences. “The AIIB still has a long way to go, as it invests more in infrastructure projects.”
AIIB hit a milestone in July after its membership reached 100 countries, Benin, Djibouti and Rwanda being the latest to join the multilateral lender.
But the bank has taken just a small step forward in its quest to reshape the global economic order. “The bank is at its initial stage, and focuses on only regions such as Southeast Asia,” said Li. “It will be a long and convoluted road for it to become a game changer in the global finance sector.”
