‘ADB, AIIB can complement each other’
YOKOHAMA: The massive needs for spending on infrastructure and support for poverty alleviation means the Asian Development Bank (ADB) can work with and not compete against China’s new infrastructure lender, said ADB president Takehiko Nakao yesterday.
Speaking as the ADB began its annual meeting yesterday, here, Nakao said he hoped for more cooperation with the Beijingbacked Asia Infrastructure Investment Bank (AIIB).
“We can complement each other,” said Nakao. “The financing needs are so large, we don’t need to regard the AIIB as a rival. We can cooperate.”
He noted that the two lenders had already agreed on three cofinancing projects.
The ADB has been led by Japan and the United States since its founding in 1966, and China joined in 1986. Japan and the US have not joined the AIIB.
The ADB has worked to fight poverty and support the Asia-Pacific region’s ascent as a global centre of growth, but poverty remains a daunting problem.
The 5,500 bankers and other leaders gathered here are assessing how they can support growth as income inequality grows in both rich and poor countries.
In the early days, the Manilabased ADB leadership sought a role as a “family doctor” in supporting its members, who now number 67, mostly in the farm sector.
These days the bank is more focused on lending for a wide range of projects, promoting good policies and supporting social sector projects, including clinics and schools — in addition to infrastructure such as bridges and roads. AP
The Asian Development Bank has been led by Japan and the United States since its founding in 1966.