Recently, India welcomes Egypt as 4th member of BRICS New Development Bank.
Egypt now the 4th new member of New Development Bank
- India has welcomed Egypt as the fourth new member of BRICS New Development Bank.
- The NDB, established by BRICS — Brazil, Russia, India, China and South Africa — in 2015, has admitted Egypt as a new member.
- The New Development Bank (NDB) started expanding its membership in September 2021 with the admission of Bangladesh, the United Arab Emirates (UAE) and Uruguay.
- Egypt is the fourth new member admitted into NDB, further expanding the bank’s global outreach.
- One of the world’s fastest growing countries, a major economy in the African continent and the Middle East region as well as a key player in development finance institutions.
- A firm believer and supporter of multilateralism.
- NDB a new platform to foster cooperation in infrastructure and sustainable development with BRICS and other emerging economies and developing countries, according the bank’s statement.
Back to Basics
About New Development Bank
- Formerly referred to as the BRICS Development Bank, is a multilateral development bank established by the BRICS states (Brazil, Russia, India, China and South Africa).
- According to the Agreement on the NDB, “the Bank shall support public or private projects through loans, guarantees, equity participation and other financial instruments.” Moreover, the NDB “shall cooperate with international organizations and other financial entities, and provide technical assistance for projects to be supported by the Bank.
- The initial authorized capital of the bank is $100 billion divided into 1 million shares having a par value of $100,000 each.
- Membership to NDB becomes effective once the admitted country completes its domestic processes and deposits the instrument of accession.
- Since its establishment six years ago, NDB has approved about 80 projects in all of its member countries, totaling a portfolio of $30 billion.
- Projects in areas such as transport, water and sanitation, clean energy, digital infrastructure, social infrastructure and urban development are within the scope of the Bank.
- The bank is headquartered in Shanghai, China.
- The first regional office of the NDB is in Johannesburg, South Africa.
- The second regional office was established in 2019 in São Paulo, Brazil, followed by Moscow, Russia.
- Since its establishment six years ago, the NDB has approved about 80 projects for its members, with a total portfolio of USD 30 billion. The projects cover sectors including transport, water and sanitation, clean energy, digital infrastructure, social infrastructure and urban development.
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