Japan Won't Join China-Led AIIB

BEIJING, March 31 (Bernama) -- Japan has no interest in joining the China-led Asian Infrastructure Investment Bank (AIIB) as a founding member, despite Tuesday being the deadline for membership application. Japan has to remain cautious over participation in the AIIB, the country's Finance Minister, Taro Aso was quoted as saying by Kyodo News agency. The report was carried by China's state-owned Xinhua news agency on Tuesday. Despite more than 40 countries, including Malaysia having applied to become founder members, Japan and the United States have remained cautious about joining the financial institution. The AIIB is seen as a competitor to the US-led International Monetary Fund (IMF), World Bank, and the Manila-based Asian Development Bank (ADB). Recently, allies of the US such as France, Germany, Italy and Luxembourg announced their intention to join the AIIB, following the United Kingdom's confirmation to becoming a founding member. The AIIB was mooted by Chinese President Xi Jinping last October and is aimed at helping fund infrastructure projects in poor Asian countries. With an expected initial subscribed capital of US$50 billion, the bank will fund infrastructure projects in Asia, and is expected to be formally established by year-end. -- BERNAMA