BRICS Bank Considers Expanding Membership to Include Five New Nations.
“The New Development Bank Explores Expansion and Advocates for a Multipolar Financial System”
The New Development Bank (NDB) is actively pursuing a more diverse and multipolar international financial landscape, as articulated by Dilma Rousseff, the former Brazilian president currently heading the Shanghai-based institution. In a recent interview with the Financial Times, Rousseff revealed that the NDB is currently evaluating membership applications from nearly 15 countries.
While specifics on the prospective new members were not disclosed, it is likely that the NDB will welcome four or five new nations into its fold. This expansion aligns with the NDB’s strategic goal of broadening its geographic representation.
Rousseff emphasized the NDB’s commitment to lending between $8 billion and $10 billion this year, with a target of approximately 30% of the total lending to be conducted in local currencies. To achieve this, the NDB plans to initiate lending in South African rand and Brazilian real, aiming to reduce dependency on the US dollar and promote a more multipolar international financial system.
“We’re going to try to either do a currency swap or issue debt. And also in rupees,” Rousseff noted, highlighting that the NDB already conducts lending in renminbi.
The NDB, established by the BRICS group consisting of Brazil, Russia, India, China, and South Africa in 2014, serves as a funding source for infrastructure and sustainable development projects. It officially commenced operations in 2015, with subsequent membership additions including Bangladesh, the United Arab Emirates, Egypt, and Uruguay. The NDB’s founding mission was to provide an alternative to traditional US-dominated financial institutions like the IMF and World Bank.
