BRICS bank to increase membership, finance in local currencies, says president

The New Development Bank (NDB) will promote the inclusion of new members and finance in local currencies of member countries, Dilma Rousseff, the bank’s president, has said.

“Just for 2023 and 2024, we already have a pipeline of 76 projects, totaling 18.2 billion dollars,’’ Rousseff said.

Rousseff said this recently in a written interview, noting that the bank was well-capitalised with low leverage.

The bank is in a strong position to expand its role as a tool for carrying out sustainable development projects.

“Financing in local currencies is one of the bank’s main goals, as it is clearly stated in the Bank’s General Strategy 2022-2026.

“It stipulates that 30 per cent of all our financing will make use of the currencies of our member countries,’’ said Rousseff.

Rousseff told a Correspondent that the inclusion of new members supported NDB’s vocation of functioning as a true platform for cooperation among the countries of the Global South.

“This strengthens its capital base and incorporates a wider array of trade relations and of diverse development projects.

“This will enable the construction of a financial structure that bears the mark of multilateralism and a multipolar world,’’ said Rousseff.

He added that multiple and diverse voices would be heard.

Additionally, Rousseff emphasised the NDB’s commitment to promoting social and gender inclusion and supporting projects capable of guaranteeing a range of opportunities.

This would help to promote entrepreneurship to access to income, public services and quality jobs, particularly for women.

Headquartered in Shanghai, the NDB was established with the purpose of mobilising resources for infrastructure and sustainable development projects in BRICS and other emerging market economies and developing countries.

This was so because it helped to complement efforts of multilateral and regional financial institutions for global growth and development.

The bank started expanding its membership in 2021 with Bangladesh, the United Arab Emirates, Uruguay and Egypt as new members.

It marked substantial progress in the bank’s membership and a remarkable step toward a global multilateral development bank.