Former UK minister tipped to be named an AIIB vice president, FT says

Danny Alexander holds a yellow budget box during his keynote speech on the second day of the party's spring conference in Liverpool, northern England, March 14, 2015. [Photo/Agencies]

Danny Alexander, a UK Treasury Minister in the last Conservative-Liberal Democrat coalition government, will be named a vice president of the Chinese-backed Asian Infrastructure Investment Bank and will move to Beijing, the Financial Times reported, citing a person familiar with the bank's operations.

Alexander, a leading Liberal Democrat, lost his parliamentary seat last year when the Conservative Party swept to power in the May General Election.

He was nominated by UK Chancellor George Osborne in a move widely understood to be a reward for his work in helping implement the chancellor's austerity plans which have helped revive the UK economy.

Britain was the first western country to sign up as a founder member of the AIIB, created by China, which the Financial Times said was a major challenge to the US-based global financial institutions such as the World Bank and International Monetary Fund.

Germany, also a major shareholder in the AIIB, will be allocated a vice president's role and one of two vice-chairmanships, the newspaper said.

Alexander, a Scot, would represent the European countries who do not have the euro as their currency, whilst the German vice president would represent the euro-zone.

The FT said Britain is the 10th biggest shareholder, with China holding more than 30 percent and India the second largest investor with 11 percent.

Alexander would not comment on the report.

To contact the reporter: chris@mail.chinadailyuk.com