Al-Shimali, SWF heads agree closer cooperation

Kuwaiti Finance Minister Mustafa Al-Shimali and Yi Gang, Deputy governor of the People's Bank of China and administrator of the State Administration of Foreign Exchange, agreed on Monday to step up financial and economic cooperation between the two countries in the face of the ongoing global financial challenges.Speaking to Kuwait News Agency (KUNA) after the talks in the Chinese capital, Al-Shimali said that they exchanged views on their countries' fiscal policies and other economic and banking related issues.The both sides also welcomed the establishment of Kuwait Investment Authority (KIA) Beijing Representative Office, saying the fresh Kuwaiti presence here will push bilateral partnership towards a new high and benefit the both countries.Al-Shimali, who doubles KIA Chairman, also thanked Yi for the full support extended by Chinese authorities that enabled KIA, an investment arm of the Kuwaiti government, to launch its Beijing office, and sought China's continued cooperation for further strengthening the fund's ties with China and facilitating potential investment opportunities here.Yi expressed China's commitment to providing KIA with support and its willingness to further extend the cooperation with Kuwait, according to Al-Shimali.In his separate meeting with Lou Jiwei, Chairman and CEO of China Investment Corporation (CIC), the two sides shared wide-ranging common interests and agreed to strive to boost mutual investment.Established in 2007 as a wholly state-owned corporation with a registered capital of USD 200 billion, CIC is one of the world's largest sovereign wealth funds and is responsible for managing part of China's USD 3 trillion foreign exchange reserves.While Al-Shimali and Lou highly valued KIA's presence in Beijing, investments in Kuwait from Chinese companies were also at the focus of their meeting, with Al-Shimali calling for China's more active engagement in Kuwait's five-year development plan running through 2014.The ambitious development plan would pave the way for Kuwait to become a regional trade and financial hub through sustaining economic development, economic diversification and GDP growth.Mega projects involve renewing energy and oil facilities, the establishment of the new business hub called Madinat Al-Hareer (Silk City), a major container harbor, a 25-km causeway, railway and metro system, infrastructure, hospitals, institutes, and universities.Kuwaiti Ambassador to China Mohammad Al-Thuwaikh and KIA Managing Director Bader Al-Saad also attended the meetings. Al-Shimali is here for a four-day visit to China to hold talks with financial leaders here, including Finance Minister Xie Xuren.