Beijing: The World Bank today welcomed the setting up of the Asian Infrastructure Investment Bank and promised full cooperation, dismissing worries that the China-sponsored bank will compete against it or existing regional financial institutions.
"Any new initiative that will mobilise funding in order to fill infrastructure gap is certainly welcome. World Bank really welcomes the AIIB initiative," World Bank Managing Director Mulyani Indrawati said.
Indrawati dismissed worries that the AIIB will compete against World Bank or existing regional development banks, saying the global need of infrastructure is huge and the market is large enough.
"What's important is whether you are going to be able to match the funding with the need of infrastructure," she told state-run Xinhua news agency.
AIIB, a USD 50 billion lender to be majority funded by China, is seen by some as a rival to international financial institutions like the International Monetary Fund, World Bank and Asian Development Bank.
"We will definitely open for cooperation with AIIB. Even now, we are working very closely in the beginning and looking at the setting, principle and framework of this institution," she said.
She said World Bank will work to support and make sure that AIIB can live up to the expectation of many countries in the world who really want to see infrastructure to develop in a better and sustainable way.
"By working with us, it's going to show and prove that they (AIIB) are adopting the same principle like other international institutions, for example, like World Bank," Indrawati said.
About 27 countries, including India, have signed up to participate in the AIIB, which is expected to start this year.
Britain, France, Germany, Italy, Luxembourg and Switzerland have applied for its membership.
China has appealed to United States and Japan to shed reservations and join it before the closing date of March 31.
The AIIB aims to become an international financial institution providing support to infrastructure projects in Asia.
