Watermarked Finance ATIP AIIB Announcement Strategy

Department of Finance Ministere des Finances · Canada Canada Memo to the Minister or Minister's Staff

TO A

Min's Office ............. Oriu .. +4

OM0 .................................... 4

Minister of Finance

Assoc OM (TS) ................... 1 Assoc OM MM() .................. 1 EFP ..................................... 1

C&C .................................... 1 Law ..................................... 1

i

lcl ·i-· L::; t::', -11 ,·-1i1· it::', J r1. t;:; · NQTE RVICE E S. OE MEMORANDUM"" . ; · , 1 - u' I ' i , ., { L (' ii O I I ' l VI I I 1, • 1 I J. I ff

f

'""'"' "'·· ··'""

Classification de s:cu,i1c

SECRET

Originator/Tclcpbone number

Autcur/Numero de u:lephonc

Matthew Bock Our file

Your file

FROM DE

..Jo.•·,-

Security classification

Notrc·,crcrencc

Votreittercnce

2016FIN435202 D31C

SUBJECT OBJET

MAY 0 6 ·2016

Asian infrastructure Iµvestment B.ank Announcement Strategy

For Information: As you know, the AIIB recently became operational. For the p"st year, there had been expectations that the Banlc would quick1y move to adopt new members.

AIIB Directors met on April 25-26, 2016, and touched on the subject of new memberships, the outcome of these discussions was inconclusive. We expect AIIB Governors to co,n si�er 'i/1 process and timeline during the Bank's �ual · Meeting scheduled for late June. There h 0een no public statement by Bank officials at this stage, but we understand that the. CTIB �s true) t launch a formal admissions process for new members shortly thereafte . I terestoo arties could then have a few months to indicate their interest in membership.

ADM: ruck Stewart (6!3-369-5691) Director: Katharine Rechico (613-369-4082)

Canada ll+ll

s.15(1) s.16(2)(c)

"6

-.·

-;·-·

--·--

-

•••

·--·

---·-·

•

.

·-�-

......

·::.

··_-._._

: -·�··:. .

-

____l_,__

-

..,.21{1.)(at

_:. - �

- . � - ·---... ..... , -·-- , ._ ..

-s.-21(1)(br----- -- ------ - -

..

.. -·.- ··�: --�---··· .. ·-. ··- . ····• .. -- ·-·'-- - - ............. .,, .. ..... - .. . .: .. . - '•

·"·

··-·

- .. ..

s.69(1)(g) re: (c) s.69(1)(g) re: (e)

000001

- 2Background The Asian Infrastructure Investment Bank (AIIB) is a new US$1 00 billion multilateral infraStructure bank led by China. It became operational on January 16, 2016, during its inaugural Board of Governors meeting. The AIIB has not yet commenced a formal process for admitting new members.

The Bank.has contacted potentially interested parties, inCluding Canada. Most recently, on the sidelines ofthe GZO Finance Ministers meeting in Shanghai in February, AIIB President, Mr. Jin Liqun, expressed his support to you regarding Canada's potential membership. Further, on AprilS, 2016, Sir Danny Alexander, AIIB Vice President and Corporate Secretary, wrote to Canada's Ambassador to China, Mr. Guy Saint-Jacques; seeking to confirm if Canada is interested in joining the Bank and, if so, to request a working level contact in order to share relevant information. We understand that 3 7 countries are interested in joining the Bank,

Considerations

As it stands now, our latest information indicates that we can anticipate, the iaunch of a fonnal admissions process after the Anriual Meetings on June 25-26, 2016, and interested parties will then have several months to indicate their interest. We are awaiting further clarification from the AIIB. . Once the AIIB makes an announcement on the process for ~dmitting new members, The . AIIB may want to finalize a list of prospective new members in order to prepare a Governor's · resolution for the Annual Meeting.

The G7 Finance Ministers and Central

S.15(1) 5.21 (1 )(a) .• . . . ... ---

-----~------

--...---

---

.

5.21(,1~(~). " '"·~ =--~--.,.~--··--···-·-··.J ··''..

-------- --- -s-:2111 Hcr---

5.69(1 )(g) re: (c) 5.69(1 )(g) re: (e)

000002

~ .

'

' .·. \

"

- 3Bank Governors' meeting i,s scheduled for May 19-21, 2016 in Sendai, Japan. The next G20 Finance Ministers and Central Bank Governors Meeting will be held in ·chengdu, China on July 23-24,2016. Of note, it is expected that the Prime Minister will hold a bilateral visit to Japan from May 23-25, immediately prior to the G7 Leaders'· Summit on May 26-27.

5.15(1) 5.21 (1 )(a) 5.21 (1 )(b) 5.21 (1 )(c)



.#2

Paul Samson

Yr:f

Rick Stewart

_dl Timothy Sargent Marta Morgan Paul Rochon

Asian Infrastructure Investment Bank Announcement Strategy

l

File no. No de dossier

Date

2016FIN435202

-QJ/

Associate Deputy Minister & G7 Deputy for Canada Sous-ministre delegue et representant ( Sign on behalf ofDM ) du Canada au G7 ( Signer au nom du SM ) Associate Deputy Minister Sous-ministre deleguee

Assistant Deputy Minister Sous-ministre adjoint(e)

--~-

--~----

- - - - --------- --

(Sign on behalf ofDM) (Signer au nom du SM)

0

( Sign on behalf of DM ) ( Signer au nom du SM )

D

-~-

-- -

---~-

-~

----- --

----~-

-......--

--

~-

... ,--

000004

Embassy of the People's Republic of China in Canada From H.E. Ambassador ExtraordinaJ)' and P/enipoten/ial)'

515 St. Patrick Street, Ottawa, CANADA KIN 5H3 Tel: (613)789-0058 Fax: (613)789-1412

The Honourable William Francis Morneau Minster of Finance L' Esplanade Laurier 140 O'Connor Street 21st Floor, East Tower Ottawa, ON KIA OG5 Canada

5.15(1)

22 February 2016 Dear Minister, I recall with great pleasure the working breakfast we had on 16 December 2015, during which we exchanged views on Asian Infrastructure Investment Bank (AIIB) and other issues concerning China-Canada economic and financial cooperation.

As Your Honourable may be aware, with the joint efforts of all relevant parties, AIIB was legally established on 25 December 2015. On 16 January 2016, the opening ceremony of AIIB was hel