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AIIB preparation in full swing

(Xinhua) Updated: 2015-04-16 15:55

BEIJING - Preparations for establishment of the Asian Infrastructure Investment Bank (AIIB) are gaining momentum as a succession of intensive talks are on the horizon.

Representatives of the 57 founding countries, which were finalized Wednesday, will convene at the end of April, and May to deliberate on the AIIB charter. Three earlier rounds of talks were held between November and March.

With the signing of the charter slated for the end of June, the AIIB looks set to be launched by the end of the year.

"The management structure will be the most important part of the AIIB charter," said Finance Minister Lou Jiwei, noting that the drafting of rules and regulations would take time.

"The work will be far from over even when the AIIB charter is signed in June, as it must be approved by all founding countries," said Chen Fengying, a researcher with the China Institute of Contemporary International Relations.

Opinions on the China-proposed bank, which will finance infrastructure projects in the Asia region, have made headlines the world over. Despite concerns voiced by countries such as the US, over the bank's management structure and allegations that it will increase China's political clout, many have given the initiative their seal of approval.

Among the 57 AIIB founding members, 37 are Asian countries. Founding members have the right to help define the bank's rules, including its charter, while countries considered ordinary members, those that applied to join after the deadline of March 31, hold voting rights but have less say in the rule-making process.

As initiator of the AIIB and important shareholder in multilateral institutions such as the World Bank and the Asian Development Bank (ADB), China has always emphasized the necessity for the AIIB to cooperate with existing institutions.

"The AIIB is a multilateral financial institution that aims to supplement, instead of substitute, existing organizations such as the World Bank or the ADB. Its will improve the current global financial order, not subvert it," said Jin Liqun, secretary-general of the AIIB's interim multilateral secretariat.

"Cooperation is a top priority because the AIIB can draw on the experiences of existing multilateral organizations and improve on them," Chen said.

Officials of the World Bank, the International Monetary Fund and the ADB have voiced support for the AIIB and their intention to work closely with it.

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