Opening Remarks at the Sixth Annual Meeting
of the Board of Governors of
the New Development Bank
H. E. Kun Liu
Minister of Finance, China
Governor for China in New Development Bank
30 March 2021
Your Excellency Minister Anton Siluanov,
Dear Governors, and President Troyjo,
Ladies and Gentlemen,
- Greetings to you all. Let me begin by offering, on behalf of the Ministry of Finance of China, warm congratulations on the opening of the 6th Annual meeting of the Board of Governors of the New Development Bank (NDB). I would like to express my sincere appreciation to the government of Russia, colleagues from other member countries and management of the NDB for the tremendous efforts leading to this meeting.
- Since the Beginning of 2020, the NDB has well fulfilled its mandate, and has approved 8 emergency loans totaled USD 8 billion to support its member countries in their fight against the COVID-19 and economic recovery. I highly commend these achievements and would like to express my sincere thanks to President Troyjo and the management team.
- The coronavirus continues to spread around the world, posing daunting challenges to the global economy. In particular, the emerging economies and developing countries are facing unprecedented difficulties in pursuit of sustainable development goals. Acting on the vision of building a community with a shared future for mankind, China is willing to work together with the NDB and international community where all our member countries live and thrive to step up collaboration in experience sharing on COVID-19 response and vaccine procurement. Together, we will make joint contributions to the early victory over the pandemic and global economic recoveries.
Ladies and Gentlemen,
- Along with the ending of the NDB’s First Five-Year General Strategy, this year, the Bank will launch its Second Five-Year General Strategy. At this significant juncture, I would like to share with you my suggestions to the Bank on its current functions and future development.
- First, supporting member countries in fighting against COVID-19 and facilitating their early economic recoveries. In addition to pushing forward smooth implementation of the approved emergency programs, the NDB should proactively help its member countries improve their public health system both financially and intellectually. The Bank should motivate its member countries to establish closer partnership in experience sharing in the fight against the pandemic, as well as the cooperation in R&D, production and use of vaccines. It should also encourage its member countries to choose and purchase valid vaccines based on their own choice. Moreover, the NDB should actively explore new business models such as trade finance to strengthen trade cooperation and promote industrial chains connectivity among member countries. It is also necessary for the Bank to further improve its cooperation with other institutions, to mobilize more financial and intellectual resources to support its member countries’ digital economy, green economy and low-carbon economy, all of which will become new growth drivers for BRICS countries.
- Second, expediting membership expansion with continuous efforts and building the Bank into a global multilateral platform. Membership expansion is of strategic significance in enhancing NDB’s financial capacity, credit rating as well as international impact, and would facilitate the connectivity and trade cooperation between BRICS and their neighboring countries. The formal negotiations with the prospective member countries are well underway at the moment. We hope that all relevant parties continue to work together to have the first batch of new members join the Bank as soon as possible. At the same time, efforts should be made to advance the following rounds of membership expansion. China stands ready to engage with potential new members who are interested in joining the Bank
- Third, improving innovation capacity to better serve member countries’ infrastructure development. The theme of this annual meeting “New Development Paradigms: The Evolution of Infrastructure” is of practical significance. The NDB should follow the new trends of infrastructure development and boost new technologies through infrastructure projects. Supports should be strengthened in “new infrastructure projects” such as 5G, data centers, Internet of Things(IoT), artificial intelligence(AI) and industrial internet, as well as innovative programmes of green financing, smart city, and social infrastructure. Meanwhile, the NDB should innovate its financial tools to set up a mature investment and financing system, by exploring new products including guarantee, equity investment and PPP under manageable risks. In addition, we encourage the Bank to expand local currency investment and financing, and fully implement the country system policy, so as to draw on past experience and create new good practices in facilitating infrastructure development.
Ladies and Gentlemen,
- China achieved major strategic success in our response to COVID-19 and social economic development, and attained a complete victory in the fight against poverty. The recently concluded NPC and CPPCC sessions adopted an overall plan for China’s development in the 14th five-year plan period. Now, China is grounding our efforts in the new development stage, applying the new development philosophy, and creating a new pattern of development where domestic and international circulations can reinforce each other. The high-level opening-up of China promises a greater market for all countries and provides more opportunities for BRICS countries and emerging economies to enhance cooperation and solidarity.
- As a shareholder and the host country of the NDB, China will, as always, provide continuous supports and good services to the Bank. As promised by the Shanghai Municipal government, the Bank would be able to settle in its permanent headquarters building this September, which will be a landmark event in the Bank’s history. We look forward to meeting you in the new headquarters in the near future, and we hope that the NDB could take this opportunity to further strengthen the function of its headquarters, and implement the One Bank Approach, making comprehensive progresses to embrace a brighter future.
- To conclude, I wish the 6th NDB annual meeting every success!