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Meanwhile, Hua Liming, who has served as Chinese ambassador to both Iran and the United Arab Emirates, said that the region has a young and comparatively well-educated labor force and that production capacity cooperation with China will create more jobs and thus help eliminate factors leading to social unrest and instability.

The founding and opening of the AIIB will effectively boost investment to support infrastructure development in Asia. It will serve to channel more resources, particularly private investment, into infrastructure projects to promote regional connectivity and economic integration. It will bring along a better investment environment and more job opportunities and trigger greater medium- to long-term development potential on the part of developing members in Asia. This, in turn, will give impetus to economic growth in Asia and the wider world.

China was ready to strengthen the integration of two countries' development strategies within the framework of the Belt and Road initiative, and assist Iraq's reconstruction in energy, electricity, communication and infrastructure, Xi said.

Liu also urged China's think tanks to deepen research cooperation with international established counterparts and promote mutual understanding and trust.

This will for sure serve China's Belt and Road initiative as building a large network of roads and railways in Africa will ease commercial exchanges between China and Africa, he said.