Brazil plans to join the China-led Asian Infrastructure Investment Bank, China’s state-run news agency Xinhua reported.

The office of Brazilian President Dilma Rousseff said in a statement over the weekend that the country had accepted China’s invitation to join the bank as a founding member.

“Brazil is very interested to be part of this initiative aimed at guaranteeing financing for infrastructure projects in Asia,” the statement added.

Xinhua later reported that Chinese Foreign Minister Wang Yi and his Brazilian counterpart Mauro Vieira discussed bilateral cooperation over the phone following the announcement.

Mr Wang was quoted saying the decision will further cement the China-Brazil strategic partnership. He added that China is willing to promote cooperation with Brazil in the international financial area.

The new lender, with a capital target of US$100 billion, aims to fund construction of roads, railways, power plants and telecommunications networks in Asia.