China welcomes Canada’s AIIB application

World Today

China welcomes Canada's AIIB application

Canada has formally applied to join the China-based development bank, the Asian Infrastructure Investment Bank (AIIB). On Wednesday afternoon, Canadian Finance Minister held a joint press conference and announced the decision.

CCTV’s Wang Tongxuan reports.

China welcomes Canada\'s AIIB application

China says it welcomes Canada's decision to join the Asian Infrastructure Investment Bank (AIIB). CCTV’s Wang Tongxuan reports.

President Xi Jinping met Canada’s Prime Minister Justin Trudeau in Beijing Tuesday. AIIB President Jin Liqun says by the end of this year the bank will have 90 members.

The bank’s capital is $100 billion, and about half is pledged by China. By submitting its application to join AIIB, Canada, a key U.S. ally, will possibly become the first North American AIIB member.

“We believe Canada’s membership will generate commercial opportunities for Canadian companies create good jobs and contribute to global economic growth,” said Canadian Finance Minister Bill Morneau.

Last year, 57 countries joined the AIIB as founding members. And at the bank’s first annual meeting in June, board members opened the group to new members.

AIIB President Jin Liqun has welcomed Canada’s decision to apply. But how will the bank keep its promise to be a lean and clean institution while inviting more members to join remains a question.

China, India and Russia are the bank’s top three shareholders. The bank’s President Jin said China’s share will be diluted as more new members go on board.

The size of Canada’s shareholding will be decided in early 2017.