China pledges additional 100 billion RMB in financial support for B&R

China will contribute an additional 100 billion yuan (about 14.5 billion US dollars) in financial support for the Belt and Road Initiative, said Chinese President Xi Jinping, who also stressed the country "will not resort to outdated geopolitical maneuvering" in pursuing the initiative.

Chinese President Xi Jinping delivers a keynote speech at the opening ceremony of the Belt and Road Forum (BRF) for International Cooperation in Beijing, capital of China, May 14, 2017.[Photo: Xinhua]

President Xi made the remarks while delivering a keynote speech at the opening ceremony of the Belt and Road Forum for International Cooperation in Beijing on Sunday.

The two-day forum, attended by more than 1,500 delegates from over 130 nations, including 29 foreign heads of state and government leaders, is by far the most important meeting on the Belt and Road Initiative since the Chinese President first raised the concept in 2013.

President Xi said China will scale up financial support for the Initiative by contributing a further 14.5 billion US dollars to the Silk Road Fund, in addition to the 40 billion US dollars pledged by the Chinese president when announcing the establishment of the fund in late 2014.

Backed by China's foreign exchange reserves, the China Investment Corp., the Export-Import Bank of China and China Development Bank, the fund plays an active role in providing investment and financial support for infrastructure, resources, industrial cooperation, financial cooperation and connectivity-boosting projects along the Belt and Road.

Xi added that China will encourage financial institutions to conduct overseas RMB fund business with an estimated amount of about 300 billion yuan (about 43.5 billion US dollars).

The China Development Bank and the Export-Import Bank of China will set up special lending schemes respectively worth 250 billion yuan (about 36.2 billion US dollars) equivalent and 130 billion yuan (about 18.8 billion US dollars) equivalent to support the initiative, he said.

To launch more projects, the world's second largest economy has also pledged to provide assistance worth 60 billion yuan (about 8.7 billion US dollars) to developing countries and international organizations participating in the initiative in the next three years.