The Straits Times
Published on Oct 08, 2012

China banks pull out of IMF Tokyo meet amid island dispute


BEIJING (REUTERS) - China's state-owned banks will not attend the annual meetings of the International Monetary Fund (IMF) and World Bank to be held in Tokyo starting Tuesday, state news agency Xinhua said on Monday, the latest sign that a territorial dispute has strained ties between Asia's two biggest economies.

The four Chinese lenders that have pulled out of IMF-related events are the Industrial and Commercial Bank of China (ICBC), Bank of China, China Construction Bank and Agricultural Bank of China, Xinhua said.

The Wall Street Journal reported last week that Bank of Communications will not attend the events either.

"The banks' decision is further evidence that the unilateral actions by Japan is freezing bilateral relations and now starting to weigh on the world's economy," Xinhua cited Mei Xinyu, a researcher at the International Trade and Economic Cooperation Institution under China's Ministry of Commerce, as saying.