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Chinese-led AIIB positive for infrastructure development in Asia: BOJ chief

Xinhua | Updated: 2017-05-03 15:14

TOKYO - Bank of Japan Governor Haruhiko Kuroda has said that the Chinese-led Asian Infrastructure Investment Bank (AIIB) attracting members from Asia and beyond is a positive for infrastructure development in Asia.

Kuroda, former Asian Development Bank chief, said in a speech recently that in terms of infrastructure development in Asia, there was room for more than just the Asian Development Bank and the World Bank.

"It's simply not possible for the ADB and the World Bank to fill the gap completely in infrastructure development in Asia," The BOJ chief said during a question and answer session after a speech he made in Yokohama on Tuesday.

He also noted that healthy competition among various players is a positive for infrastructure development and economic growth.

Kuroda was speaking at a gathering of think tanks organized by the Asian Development Bank (ADB) Institute ahead of the 50th annual meeting of the ADB later this week.

The ADB currently comprises 67 member states and regions and has for a long time assisted developing countries with advancement projects by way of loans.

The AIIB's members, however, while not including Japan or the United States, have already stood at 70, with the bank poised to make significant inroads into regional infrastructural development projects.

During his speech, the BOJ chief called on policy makers to ensure that households and businesses have access to financial services, stating that this is key to poverty reduction in Asia.

He also said that removing existing barriers that are currently preventing financial inclusiveness is of paramount importance to reducing poverty.

Kuroda added that information and communication technology will continue to play a large part in the development of Asia by way of helping financial inclusion mechanisms to expand.

The former ADB chief said that economic growth in Asia specifically over the last 50 years has been key to driving down poverty.

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