BRICS countries discussed the efficacy of “establishing” a bank institute and a rating agency of their own following the New Development Bank (NDB) becoming fully operational.
BRICS finance ministers and central bank governors met on the sidelines of the Annual Spring meeting of the International Monetary Fund and the World Bank.
Key Points
BRICS comprises five emerging economies â Brazil, Russia, India, China and South Africa.
The findings of the technical group would be presented to BRICS finance ministers and central bank governors in their next meeting.
The Board of Governors of NDB noted that the bank has commenced operations through approval of its maiden projects on April 13.
The NDB which commenced operations in July, 2015, is headquartered in Shanghai and its initial authorised capital is USD 100 billion.
The NDB has approved four green renewable energy projects from India, China, Brazil and South Africa entailing bank financing of USD 811 million.
The project from India entails provisioning of a multi-tranche loan of USD 250 million to Canara Bank for lending to renewable energy ventures.
The project will result in generation of 500 MWs of renewable energy and savings of about 800,000 tonnes of carbon emissions.
The two discussed areas of mutual collaboration and commonality of their positions in various multilateral fora.
Current Affairs 15th April, 2016 Highlights of Union Budget 2016-17 Highlights of Railway Budget 2016-17
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