China: New Asian infrastructure bank to complement, not replace, lenders like World Bank

Industries Associated Press

A senior Chinese official says that Beijing's proposed infrastructure bank for Asia is intended to complement and not replace existing lenders dominated by the U.S. and Japan.

Continue Reading Below

China's vice finance minister said Friday after a meeting of the Group of 20 leading world economies that China has proposed its Asian Infrastructure Investment Bank to help fill an estimated $8 trillion gap in infrastructure funding for the region over the next decade.

Fifty-seven countries have signed up, including 16 of the world's 20 largest economies. Notable exceptions are the U.S. and Japan, which are the leading shareholders of the World Bank and Asian Development Bank.

The vice finance minister said China plays a constructive role in the current international financial system, and it wants to enhance that system not "overthrow" it.