New Development Bank: Algeria Joined
Algeria has officially joined the BRICS-backed New Development Bank (NDB), marking a major expansion of the bank’s influence into North Africa.
- The New Development Bank (NDB), formerly known as the BRICS Development Bank, is a multilateral development bank operated by the BRICS states (Brazil, Russia, India, China, and South Africa).
- NDB aims to mobilize resources for infrastructure and sustainable development projects in BRICS countries and other emerging economies and developing countries.
- The idea of setting up NDB was first conceived in 2012 during the BRICS Summit in New Delhi, India.
- The agreement for establishing the NDB was signed during the BRICS Summit held in Fortaleza on July 15, 2014, and the Bank started operations on July 21, 2015.
- The bank is headquartered in Shanghai, China, with regional offices in South Africa and Brazil.
- Membership in NDB is open to any member of the United Nations.
- The NDB has an initial authorized capital of USD 100 billion and an initial subscribed capital of USD 50 billion, which was equally distributed among the five founding members.
- Unlike in the case of the World Bank or ADB, each member in the NDB has an equal voting power.
- The Bank is governed by a Board of Governors made up of the finance ministers of the five BRICS countries, and a Board of Directors.
- Both the presidency and vice-presidency of the NDB are rotated among BRICS founding members: Brazil, Russia, India, China, and South Africa.
