(MENAFN- AzerNews) The government of Brazil views the New Development Bank of the
BRICS group of nations (Brazil, Russia, India, China, and South
Africa) as a promising alternative to traditional financial
institutions, Brazilian President Luiz Inacio Lula da Silva has
said, Azernews reports citing TASS.
"We want the BRICS bank to strengthen as an alternative
financial [instrument], and we will reinforce our cooperation with
the African Development Bank," he said at a meeting with
ambassadors from African countries.
In his opinion, traditional international financial and banking
institutions ignore the needs of developing nations and are not
suitable for them, because many of those countries are being
"strangled by overwhelming debt burdens."
The agreement on establishing the BRICS New Development Bank was
reached on July 15, 2014 in Brazil's Fortaleza. The bank's starting
capital was set at $100 bln. The Shanghai-headquartered bank has
been set up to finance infrastructure projects and projects for
sustainable development of BRICS and other developing countries.
The bank previously received international credit ratings of "AA +"
from Fitch Ratings and S&P Global Ratings, which allow it to
effectively attract long-term funding in international and local
capital markets. Over the years, the bank has approved almost 100
projects totaling $32.8 billion in support of such areas as
transport, water supply, clean energy, digital and social
infrastructure, and urban construction.
In 2021, the bank approved the
accession of Bangladesh, Egypt, UAE and Uruguay.
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