The New Development Bank (NDB), sometimes called the BRICS Bank, was established by Brazil, Russia, India, China, and South Africa under the Agreement on the New Development Bank, signed at the 6th BRICS Summit in Fortaleza, Brazil, on 15 July 2014. The bank became operational in 2015 and is headquartered in Shanghai, with a regional office in Johannesburg and additional offices later opened in São Paulo and Moscow.
The NDB's mandate is to mobilize resources for infrastructure and sustainable development projects in BRICS members and other emerging market and developing countries. Its founding capital was set at USD 100 billion, with initial subscribed capital of USD 50 billion divided equally among the five founding members, meaning no single state holds a controlling vote — a deliberate contrast to the weighted voting structures of the World Bank and IMF.
Membership has expanded beyond the original five. Bangladesh, the United Arab Emirates, Egypt, and Uruguay were admitted as new members between 2021 and 2023, broadening the institution's geographic footprint. The bank is led by a President who rotates among founding members; K.V. Kamath of India served as its first President (2015–2020), followed by Marcos Troyjo of Brazil, and then former Brazilian President Dilma Rousseff, who took office in 2023.
The NDB has approved financing for projects spanning renewable energy, transport, water and sanitation, urban development, and digital infrastructure. A distinctive feature is its commitment to lending in members' local currencies to reduce exchange-rate risk; it has issued green bonds denominated in renminbi and rand, among others.
The institution is frequently discussed alongside the Asian Infrastructure Investment Bank (AIIB) as part of a broader trend of non-Western-led multilateral finance. Sanctions following Russia's 2022 invasion of Ukraine led the NDB to pause new transactions in Russia, illustrating the bank's exposure to geopolitical pressures despite its stated political neutrality.
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In 2023, former Brazilian President Dilma Rousseff was inaugurated as President of the New Development Bank, succeeding Marcos Troyjo and signaling Brazil's continued political investment in the institution.
Frequently asked questions
Shanghai, China, with a regional office in Johannesburg and additional offices in São Paulo and Moscow.
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