22 July 2015
According to Bloomberg, the opening of New Development Bank (NDB) countries BRICS – Brazil, Russia, India, China and South Africa – today was welcomed by the Chinese Finance Minister Lou Tzigouei, during the start ceremony in Shanghai. The bank has an initial capital of 50 billion dollars, which will gradually increase at 100 billion dollars. Chinese Minister said that the NBD will help the recovery and growth in emerging economies. It can promote the cooperation between developing countries without undermining the roles of existing banks, as the World Bank, Lou noted.
“The support of NDB infrastructure construction will effectively reduce the tightness that restricts emerging and developing countries for a long time and will support the upgrade and development of their economies” even said Minister, adding: “The NDB is a new member and partner in global development system. ” Although the BRICS countries account for about one quarter of the global economy, these and their neighbors depended at length by the World Bank loans, led by the US and the Asian Development Bank under the guidance of Japan.
China leads also the creation of the Asian Investment Bank Infrastructure (AIIB) with funds of 100 billion dollars. The bank of BRICS will cooperate with AIIB, President of the Kountapour Vaman Camatte said , noting that it will search for solutions for spot funding such as access to money and capital markets in the BRICS countries. “We will be open regarding the way of financing projects,” Camatte said.