China's AIIB initiative chance for emerging markets

DUBAI - China's initiative for Asian Infrastructure Investment Bank (AIIB) was the right move to tackle major challenges in the emerging markets, former French Prime Minister Dominique de Villepin said on Monday.

De Villepin made the remarks in an interview with Xinhua on the sidelines of the two-day Boao Forum for Asia, which kicked off?in Dubai?on Monday and is held for the first time in the Middle East.

"I think the Asian Infrastructure Investment Bank (AIIB) is a very lucky and very useful initiative," de Villepin said, adding that AIIB was rightly positioned to encounter the major challenges of the 21st century, including the huge investment needs for infrastructure.

Developing infrastructure in Asia, Russia and Africa means there was a need for "enormous amounts of capital," he said, pointing out that China had the "right power and the right capacity and credibility to take the initiative for AIIB, and this is essential for its success."

Asked if AIIB was a chance or disadvantage for Europe, de Villepin said it was a chance for Europe in the view of strengthening its partnership with China.

"We in Europe need a partner who is a creditor to cooperate in order to tackle the challenges I mentioned. China is the right partner for cooperation for Europe," said de Villepin, who was in office from May 2005 to May 2007.

AIIB was first proposed by Chinese President Xi Jinping last year. On Oct 24, 2014, 22 Asian countries that are willing to join AIIB as founding members signed a memorandum of understanding on its establishment.

The bank shall be equipped with $50 billion and will invest into infrastructure projects in East Asia, Central Asia and the Middle East and Africa.