Japan becomes isolated as it continues spurning China-led infrastructure lender

Tokyo

JAPAN has become effectively isolated as it continues to resist joining the proposed China-led Asian Infrastructure Investment Bank (AIIB), which it sees as a rival to the Asian Development Bank (ADB), in which it is a controlling shareholder, together with the US.

Tuesday was the deadline for countries to join the US$100 billion new lender; getting on board commits these countries to taking part in entry negotiations, with a view to finalising a charter in May. The AIIB is slated to start operations by year's end.

Japan's Finance Minister Taro Aso said on Tuesday that the country remained "very cautious" about joining the AIIB; he reiterated concerns about governance at…