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The announcement was made at the conclusion of the sixth China-India Financial Dialogue held in Beijing on Thursday, ahead of a crucial state visit to Beijing by Indian Prime Minister Manmohan Singh in October.
“Both countries agreed to intensify cooperation with other BRICS member countries towards tangible results on the initiatives on BRICS Development Bank and Contingency Reserve Arrangement in the next BRICS summit,” said an official joint statement after the meet.
China and India said they are committed to pushing forward reforms in the international financial institutions, particularly at the International Monetary Fund (IMF).
“Both sides urge other countries to fulfil their commitment of implementing the 2010 IMF Quota and Governance Reform expeditiously and to complete the next general quota review by January 2014,” said the statement.
“The two sides held in-depth discussions on new challenges facing the global economy, macro-economic situations and policies in China and India, progress on structural reforms in both countries, cooperation under multilateral frameworks as well as bilateral financial cooperation,” added the statement.
Both sides have fixed a bilateral trade target of $100 billion by 2015.
The two neighbours also announced that they will step up cooperation in infrastructure investment and financing.
“Financial regulators from both countries exchanged views on market access regulation policies for foreign banks, agreed to support banks to establish branches and subsidiaries in each other’s market, and advocated deeper cooperation between financial institutions from the two countries, especially in areas of infrastructure investment and financing,” said the statement.
The two fastest growing economies asserted the need for them to collaborate with emerging markets to avoid negative spillovers of monetary policies of developed countries.
“With growth picking up in advanced economies, there is a need for them to collaborate with Emerging Market Economies (EMEs) on the pace and timing of recalibration of their unconventional monetary policies and strengthen communication with the market to avoid negative spillovers,” read the statement.
China and India are also working to speed up the construction of an economic corridor linking China, Bangladesh, India and Myanmar (BCIM), said Chinese Foreign Minister Wang Yi in New York this week.
China is keen on developing an ‘international highway’ that will connect both countries to China’s Yunnan province and end in the eastern Indian city of Kolkata through Bangladesh.
China and India also called for greater international coordination on economic policies, particularly in the implementation of policy measures adopted by the G20 in Saint Petersburg.
The China-India Financial Dialogue was first announced during Chinese Premier Wen Jiabao’s visit to India in April, 2005.
The seventh China-india Financial Dialogue will be held in 2014 in New Delhi.
The BRICS Post