The ongoing 2007 annual meetings of the Board of Governors of the African Development Bank Group will vigorously promote financial cooperation between China and Africa, Zhou Xiaochuan, the governor of the People's Bank of China, said on Wednesday.

In an exclusive interview with Xinhua, the central bank governor, who is attending the two-day event, said the annual meetings provide a wonderful opportunity for people from African banks, enterprises and governments to observe and understand China closely and to compare notes on development experience. He said Chinese and African financial institutions will be able to cooperate with each other in a more active and down-to-earth manner.

Zhou said China's experience in offering financial services for under-developed regions will be helpful for some African countries.

Earlier this week, the establishment of the China-Africa Development Fund was approved by the State Council, China's cabinet, with China Development Bank, as the main initiator.

According to CDB's draft plan, the fund will start with 1 billion U.S. dollars, with funding increasing to 3 billion U.S. dollars in the second phase, and eventually to 5 billion dollars.

The fund will be used to support African countries' agricultural, manufacturing and energy sectors, and also transportation, telecommunications, urban infrastructure, resources exploration and the development of Chinese enterprises in Africa.

Zhou Xiaochuan said the Chinese Government joined the ADB group's Africa development fund in 1985, it has pledged to donate 364 million U.S. dollars.

China has become a member of the West African Development Bank, and China Development Bank has signed framework agreements on cooperation with the East African Development Bank and the Eastern and Southern African Trade and Development Bank.

The deepening of financial cooperation between China and Africa will bring greater benefits for both sides, Zhou believed.

There are better investment opportunities for Chinese capital in Africa than in developed nations, Zhou held.

Zhou added that Chinese commercial banks are bound to play a more active role in Africa as they become more powerful and improve their corporate governance.

Source: Xinhua