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BRICS Development Bank To Be Based In China

NEW DELHI, July 16 (Bernama) -- The BRICS group have launched the New Development Bank (NDB) which will be located in Shanghai, China with an initial authorised capital of US$100 billion.

BRICS is the acronym for the association of five major emerging national economies namely, Brazil, Russia, India, China, and South Africa.

"The Bank shall have an initial authorised capital of US$100 billion. The initial subscribed capital shall be US$50 billion, equally shared among founding members," said a joint declaration released at the Sixth BRICS Summit in Fortaleza, Brazil.

The first chair of the Board of Governors will be from Russia, while the first chair of the Board of Directors from Brazil and first President of the Bank from India, said the declaration, which was made available by India's Ministry of External Affairs here on Wednesday.

The NDB Africa Regional Centre will be established in South Africa concurrently with the headquarters.

The purpose of the Bank is to mobilise resources for infrastructure and sustainable development projects in BRICS and other emerging and developing economies.

"Based on sound banking principles, the NDB will strengthen the cooperation among our countries and will supplement the efforts of multilateral and regional financial institutions for global development, thus contributing to our collective commitments for achieving the goal of strong, sustainable and balanced growth," said the declaration.

-- BERNAMA





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