FILFOT: Chinese Finance Minister Liu Kun attends a press conference during the ongoing National People’s Congress, China’s parliamentary body, in Beijing, China, March 7, 201
9. REUTERS / Jason Lee
BEIJING (Reuters) China strives to make Belt and Road initiative sustainable and prevent debt risks, Finance Minister Liu Kun said on Thursday and tried to eliminate criticism that its infrastructure is planning to increase debt and investment indebtedness and lack transparency.
China will support multi-channel Belt and Road funding, Liu told delegates on a forum to start a three-day Belt and Road Beijing Summit.
Yi Gang, Governor of the Central Bank, said in the same case that local currencies will be used for investment in connection with their flagship infrastructure plan to limit currency risks.
China will follow market principles and rely on commercial funds for Belt and Road funding, Yi says, adding that China will improve the transparency of these projects.
The Belt and Road Initiative is an important policy for President Xi Jinping and intends to build the old Silk Road to connect China with Asia, Europe and beyond with massive infrastructure spending.
But it has proved controversial in many Western worlds, especially Washington, which regards it as a means of spreading Chinese influence abroad and the unsustainable saddle countries through invisible projects.
In a clear pleasure to these concerns, a draft commission repeats Reuters’ repeated promises at the 2017 Sustainable Financing Summit – but adds a debt line that was not previously included.
Reporting by Kevin Yao and Stella Qiu; Editing by Jacqueline Wong
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