Chinese banks boycott Tokyo summit

10 Oct 2012 – AAP

China’s four largest state-owned banks have pulled out of key World Bank and International Monetary Fund economic meetings in Tokyo amid continued tensions linked to the disputed Senkaku/Diaoyu islands, The Australian Financial Review reports.

According to the newspaper, Industrial and Commercial bank of China, Bank of China, China Construction Bank and Agricultural Bank of China have confirmed they will not be in attendance.

The move is considered a pragmatic protest by the Chinese government as its officials and People’s Bank of China governor Zhou Xiaochuan still intend to show up to the summit.

The dispute between China and Japan was ignited by the purchase of the islands in the East China Sea by the Japanese government.

The fallout has seen violent protests and property damaged directed at Japanese companies located in China.

News that the Chinese banks will boycott the summit comes after calls from IMF president Christine Lagarde that the two nations needed to find a solution for the issue for the sake of the global economy.