|
 Japanese officials have shrugged off the March 31 deadline set by
China to become a founding member of the Beijing-based bank, and say
they attach greater importance to conditions being met rather than
when to join.
"It's not a matter of setting a deadline. Our stance remains
unchanged that we must cautiously watch how (China) guarantees fair
governance at the AIIB," a government source told Reuters.
"We have not ruled out the possibility of either joining or staying
out," the source said, speaking on condition of anonymity because he
was not authorised to speak to media.
Japan is caught between the misgivings about the AIIB expressed by
its biggest ally, the United States, Tokyo's rivalry with Beijing,
and the desire of some officials and businesses to partner with the
rapid growth of China, the world's second-biggest economy.
Washington, worried about China's economic clout, has said it's
still not clear whether the AIIB will uphold international standards
of governance, and social and environmental safeguards.
The Japanese government source said unless China resolves Japan's
concerns about the AIIB, it could be possible that Japan would stay
out of the institution even when it is officially established.
China's Finance Minister Lou Jiwei said earlier this month that the
AIIB would be set up by the end of the year. All parties will
complete talks and sign the charter of the AIIB by mid-year, and by
year-end will make the charter effective and officially establish
the institution, he said.
These dates could be considered key junctures for joining.
Finance Minister Taro Aso has repeatedly said China has not resolved
Japan's concerns but Japanese officials say negotiations on Japan
joining the bank are going on behind the scenes. China has said it
is open to Japan's joining.
"As for whether or not Japan is willing to participate, we have
previously said that we welcome all countries to proactively
participate," foreign ministry spokeswoman Hua Chunying said on
Tuesday.
She added China would respect the wishes of any country "whether or
not they join or when they decide to join".
One Japanese source told Reuters that China has shown some
flexibility on setting up a governing board, which Japan has asked
for, to examine and approve loans for projects.
CONDITIONS MORE IMPORTANT
Some Japanese officials and business executives have voiced concern
about the possible disadvantage latecomers may face in ensuring good
governance principles at the AIIB and securing infrastructure
contracts funded by the bank once it begins operations.
[to top of second column] |
But other government officials have brushed aside such concerns,
arguing that conditions being met are more important than timing.
Views are mixed within the Japanese government, said an adviser to
Prime Minister Shinzo Abe. Japanese media reported on Tuesday that
Abe ordered his ruling party to study whether to join the AIIB.
More than 40 nations including Britain, Germany, Russia, Australia,
Brazil and Egypt have announced their intention to join, adding
clout to an institution seen as enhancing China's regional and
global influence.
"The only option for Japan is to not join," said the Abe adviser.
"The AIIB is a challenge to the status quo led by the World Bank and
Asian Development Bank (ADB). It's impossible that Japan would join
such an institute."
"Doing so without the U.S. would hurt our alliance," he said.
Some analysts have said instead of joining, Japan can cooperate with
the AIIB by co-financing projects through existing institutions such
as the ADB, the Manila-based institution it dominates along with the
United States. That way it could also avoid providing funds to
finance the AIIB.
"Some Japanese firms worry they may be at a disadvantage in
procurement if Japan stays out of the institute," said Toru
Nishihama, emerging market analyst at Dai-ichi Life Research
Institute. "But Japan should not jump on the bus thinking it’s bound
for treasure mountain. We must think whether we have a lot of money
to spend, taking into account our public finances."
(Additional reporting by Yuko Yoshikawa in TOKYO and Ben Blanchard
in BEIJING; Editing by Raju Gopalakrishnan)
[© 2015 Thomson Reuters. All rights
reserved.] Copyright 2015 Reuters. All rights reserved. This material may not be published,
broadcast, rewritten or redistributed. |
