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Joint Site of Ministries of Foreign Affairs of BRICS Member States

Tuesday, July 4, 2017

Brics Bank to Fund 75 Projects to Developing Countries

The New Development Bank (NDB), the bank set up by the Brics group, announced its plans to expand and increase its development and infrastructure programs by 2021, outlining a plan to finance up to 75 projects by 2021.

“NDB signifies developing countries’ coming of age and reflects their aspirations to stand on their own feet,” the document says, detailing the strategy which will take place from 2017 to 2021.

NBD officially released their finalized and recently approved five-year plan which was adopted by the board of governors (BoG).

“The Bank will dedicate around two-thirds of all financing commitments in this period to sustainable infrastructure development, i.e., infrastructure projects that incorporate economic, environmental and social criteria in their design and implementation,” the institution stated, in accordance with the policy document.

NBD explained that the bank will be expanded gradually, in order not to load the mechanism of operation of the institution. In this way, new members will be able to allow the bank to increase its capital and strengthen its global position.

"Table 2 has been constructed by assuming that 15 projects will be approved in 2017, going to 50 in 2021. Table 3 assumes a faster roll out plan and a higher number of projects appraisals annually, going up to 75 in year 2021," the strategy said.

The document detailed that the first regional office will be located in the South African city of Johannesburg and then in Brazil, India and Russia.

Clean energy, transport infrastructure, irrigation, water resource management and sanitation, sustainable urban development, and economic cooperation and integration among member countries are a few of the plans in store for the Brics members.

According to the strategy, NBD plans to dedicate the next few years to developing “the relationships, projects and instruments, and approaches”.

NBD bank’s President K.V. Kamath said in May the bank plans to increase its loan from US$2.5 billion to US$3 billion this year, almost doubling the amount lent in 2016.

Established in 2014, NBD is supported by its five founders the BRICS member states Brazil, Russia, India, China and South Africa with the purpose of financing infrastructure and sustainability throughout developing countries.

Source: telesurtv.net