Instead of considering the China-led Asia Infrastructure Investment Bank (AIIB) as a competitor, World Bank Group President Jim Yong Kim said he welcomes the AIIB and stressed that the WB is ready to collaborate with the new bank in fighting global poverty.

Kim, who was speaking at the Washington-based Center for Strategic and International Studies, said the World Bank and the AIIB could co-finance infrastructure projects or work on regional integration to fight poverty.

Like Us on Facebook

"The fundamental issue for us is, the enemy cannot be other institutions; the enemy has to be the poverty," Kim said in advance of the World Bank/IMF spring meetings.

The World Bank chief further dismissed the notion that the AIIB will compete with the US-dominated financial institution, as earlier painted by critics. Others said the AIIB is China's way of stomping off the World Bank, the International Monetary Fund (IMF) and the Manila-based Asian Development Bank.

"With the right environment, labor and procurement standards, the AIIB and the New Development Bank, established by the BRICS countries, have the potential to become great new forces in the economic development of poor countries and emerging markets," he said.

Kim said the AIIB and other institutions around the world can work together to combat poverty and help the most vulnerable.

"If the world's multilateral banks, including the Asian Infrastructure Investment Bank and the New Development Bank, can form alliances, work together and support development that addresses these challenges, we all benefit - especially the poor and most vulnerable," said Kim.

More than 50 countries including Germany, France and Britain have joined China's initiative while the United States and Japan continue to discuss whether to join or not.

Kim was appointed by US President Barack Obama.

In October last year, 21 countries, including China, India and Singapore signed a memorandum of understanding in Beijing in October to the build the AIIB, which will be headquartered in the Chinese capital.

The IMF leadership already said it will support the AIIB and will explore ways to collaborate with the China-led bank to fund infrastructure projects around Asia.

TagsAIIB, Jim Yong Kimg