China supports the basic framework laid out in the World Bank's long-term strategy, a senior Chinese official said in Washington on Sunday.

 

"This represents positive steps undertaken by the World Bank in response to the new global development trends through strategic restructuring," Li Yong, China's vice finance minister, said at a meeting of the Development Committee of the World Bank and the International Monetary Fund.

 

The World Bank should always adhere to the following principles, said Li.

 

First, the bank should maintain and strengthen its global nature.

 

"The bank should always promote global common development as its mission and provide requisite capital and knowledge for developing members at different development stages."

 

Secondly, the bank should respect country-specifics and country ownership of development.

 

"We appreciate the bank for renewing its development thinking by respecting country ownership of development, appreciating development issues from reality and practices rather than from textbooks, and recognizing the diversity of development paths according to country specifics," said Li.

 

Meanwhile, the bank should also pay attention to the external environment for development.

 

Li said that China supports in principle the bank's "twin pillar" strategy and proposes to add "creating a favorable external environment for development" as the bank's third pillar to more comprehensively reflect the needs of global development.

 

"We hold that, while promoting trade liberalization in a balanced manner, capital flows and increase of official development assistance, the bank should also facilitate rational labor mobility and technology transfer," he said.

 

In addition, the bank should promote innovation, Li said, which is crucial to ensure the bank's long-term viability.

 

"We support the bank in achieving broad-based innovation in development thinking, operational scope, products and instruments as well as business modalities," he said.

 

Li said that the bank should establish a new and equal development partnership with developing countries and explore demand-driven new areas of business such as studying and disseminating development experience, providing knowledge services, supporting cooperation and promoting regional integration.

 

China supports the bank's priority areas, including Sub-Saharan Africa, fragile states, middle-income countries, global public goods, and the learning and knowledge agenda.

 

(Xinhua News Agency October 23, 2007)