Abbott slaps China one more time on AIIB

After months of indecision, preceded by outright opposition, the Australian Government yesterday said it would sign a memorandum of understanding on the Asian Infrastructure Investment Bank, which would allow Australia to participate as a prospective founding member.

Prime Minister Tony Abbott said in a media release there would be ongoing consultations concerning the AIIB's design, governance and transparency.

Questions of governance and merit had delayed Australia's willingness to sign up to the China-initiated multilateral bank.

Dozens of countries have flagged an intention to back the bank, although the United Sates still has not.

A "key matter to be resolved before Australia considers joining the AIIB include the bank's board of directors having authority over key investment decisions, and that no one country control the bank," Abbott said.